Indeed, the deeper reason for that is how law firms are only allowed to be "professional companies", no limited liability shareholders allowed. Thus the industr

Indeed, the deeper reason for that is how law firms are only allowed to be "professional companies", no limited liability shareholders allowed. Thus the industry could never be securitized and profits sold. Instead participating in the profits requires participating in the firm, even if only in risk and name only. This also speaks to why competition is hard to create. No outside limited liability partners means no VCes or passive investors. The closest a law firm can do is loans. Loans partners will be 100% personally liable for.