Lawsikho Blog

This article covers the impact of foreign law firms entering the Indian legal market and how it affects young lawyers. With the Bar Council of India’s 2023 regulatory changes, foreign firms can now practice in non-litigation matters. The article explores new career opportunities and essential skills that you will need to thrive. This guide will help you navigate the challenges and seize the opportunities in this transformative era.

Introduction

You might have heard that the Indian legal industry is undergoing a major transformation. And why is that? In 2023, the Bar Council of India (BCI) introduced new rules allowing foreign law firms to establish offices and practice in India in non-litigious matters which comes as great news for Indians in the legal field. This is being compared to the economic liberalisation of 1991, signaling a new era for the legal profession. If you are a young lawyer, you need to understand, what these changes mean for your career and how to prepare for the opportunities and challenges ahead.

What has changed? The new regulatory framework

On March 13, 2023, the BCI issued the “Bar Council of India Rules for Registration and Regulation of Foreign Lawyers and Foreign Law Firms in India.” 

Under these rules, foreign lawyers and law firms will now be able to advise on foreign law, international legal issues, and cross-border transactions. This includes providing legal opinions and drafting contracts. They are permitted to advise on matters governed by the laws of their home jurisdictions or other foreign laws.

However, they can’t practice Indian law, appear in Indian courts, or advise on Indian legal matters. That space stays reserved for Indian lawyers.

Foreign firms can only operate in India if their home countries allow Indian lawyers to work there. This ensures fairness and opens doors for you to explore opportunities abroad.

These rules and regulations have already begun reshaping the legal market, and as a young lawyer, you need to prepare for the shifts ahead.

How foreign law firms are changing the game in India 

Since the announcement, several shifts have taken place, and here’s what you need to know about the new trends and opportunities:

1.  New partnerships and career paths

• Global collaborations: Big names like Dentons and Link Legal have teamed up, opening doors for more partnerships between Indian and foreign firms. If you’re in a mid-sized firm, then this is your chance to work on international projects. Further, global firms like Herbert Smith Freehills and Allen & Overy are exploring entry into the Indian market and if you have wanted to work in these firms before, now is your chance to do so. 
• New practice areas: Foreign firms are focusing on cross-border deals, mergers, private equity, and arbitration. If you’re skilled in these areas, then make the most out of it because you’re in demand.

2. More competition, but also more opportunities

• Indian firms stepping up: Top Indian firms like Shardul Amarchand Mangaldas and Cyril Amarchand Mangaldas are expanding their international desks to compete. If you’re working in a top-tier firm, you can expect more high-value work, this will be your chance to upskill and learn more than ever before.
• Specialization is key: Mid-sized firms are focusing on niche areas like intellectual property and tech laws to stand out. If you’re in a smaller firm, think about specializing to stay competitive, this also means that it will give you a chance to still be active in the field. 
• Premium work: Foreign firms are likely to take on big-ticket corporate work, pushing Indian firms to focus on domestic cases or mid-market deals. If you’re in corporate law, this could mean more exciting projects for you.

3.  New skills in demand

• Arbitration expertise: With India becoming an arbitration hub, skills in international dispute resolution are hot right now. If you’re interested in arbitration, this is your moment or if you already have expertise in arbitration then you can explore more opportunities in foreign firms if you want to challenge yourself. 
• Cross-border transactions: Lawyers who know their way around cross-border deals, private equity, and securities law are in high demand since these are always expected and done in law firms. If you’re in corporate law, consider brushing up on these areas and learning more about it so that you can have an opportunity to explore opportunities.
• Tech & Data Privacy: Data privacy and cybersecurity compliance are growing so much now and having expertise in this field will open many doors for you. If you’re looking to future-proof your career, these are areas to explore.

4.  Better pay and global opportunities

• Higher salaries: This is no surprise. Foreign firms are going to pay more than traditional Indian firms along with bonuses and perks. If you’re looking for a pay bump, this could be your chance.
• Global Exposure: Working with foreign firms can open doors to international assignments and secondments. If you’ve got an LLM or cross-border experience even working remotely, you’re in a strong position so all you have to do is make yourself seen in order to get opportunities knocking at your door.

5. Tech is changing the game

• AI and automation: Foreign firms are bringing in advanced tools like AI for contract analysis and blockchain for smart contracts. If you’re tech-savvy, this is your chance to shine, it will set you apart and give you an edge over the others in the field. If you are new to tech, then this is the right time to learn and you must do it immediately.
• Remote work: The pandemic has made remote work the norm. You may prefer remote over in-person and you might be someone who wants some flexibility, and many firms now offer virtual options, which you can explore. 
• Online dispute resolution: Platforms for resolving disputes online are gaining traction. If you’re in litigation, this could change how you work so get to know the process and get adjusted to the change. At the same time, learn how you can improve with the tech that is used in these processes.

So this is all very exciting but what does this mean for you? If you’re a lawyer, these changes bring both challenges and opportunities, but you need to focus on the benefits so that you don’t get left behind. You might face more competition, but there’s also a chance to work on exciting international projects, learn new skills, earn better pay and essentially be part of something bigger than you are right now. Let me give you an idea of some challenges that you might face.

What are the immediate steps you need to take? 

The legal world in India is changing fast, and if you’re a young lawyer, it’s time to adapt. Here’s what you need to know about the challenges and opportunities ahead:

1. Become a dual/tri-qualified attorney 

You can write the Solicitors Qualifying Exam, which makes you eligible to practice in courts of England and Wales. There are two qualifying papers, out of which the first one is conducted in various centres across India. For the second paper, you can get an exemption if you are enrolled with any State Bar Council of India for over two years. You should jump on this opportunity now as this will make you a lucrative candidate for any law firm operating cross-jurisdictionally. 

You can also write the California Bar Exam (CBE), which allows lawyers to practice in one of the world’s most dynamic legal markets. If you are a practicing lawyer in India, you do not need to get any foreign LLM or other qualifications to write this examination. This can open doors to working with international firms, gaining cross-border experience, and positioning yourself for high-value corporate and commercial work—skills that will be in high demand as global firms set up operations in India.

2. Upskill! 

You will have to adapt and upskill constantly. As I mentioned before, there will be an increase in competition, and you cannot afford to fall behind in this competitive world. Foreign firms may bring foreign lawyers, so you’ll need to show practical legal skills that are useful in foreign markets. Take charge of your own learning and development and join some upskilling courses that teach you practical skills. 

3.  Get hands-on training without waiting for your firm to equip you.

If you’re in a small or mid-sized firm, focus on areas like intellectual property or regulatory compliance. Smaller firms may shift to domestic litigation, so if you’re interested in corporate or international law, plan your career path carefully. It is also likely that smaller firms may not have the budget for fancy tech or training so you must adapt and change in a way wherein you will fit better in a different sector or different practice area.

If you are in law school, then these are the skills you need to stay ahead of the curve and learn these skills immediately, or by the time you enter the market, you will face stiff competition. You have a lot of time now and this is the best time to start, you can talk to your mentors, professors, and professionals in the field who can guide you well!

I will discuss specific skills in the section below. 

Specific practice areas impacted by foreign law firms and skills you need to build 

The entry of foreign law firms into India will likely have a significant impact on specific practice areas and you need to be aware of them These areas are often the ones where foreign firms have a competitive edge due to their global expertise, resources, and experience, and at the same time, these will also bring in opportunities for you so don’t miss out on them. Below are the key practice areas that will be affected:

1. Corporate and commercial law

This is quite obvious, foreign law firms will dominate high-value corporate transactions, including M&A, joint ventures, and private equity deals. They bring expertise in structuring complex cross-border transactions and navigating regulatory challenges and this also means a ton of new opportunities.

What can you do? You can specialize in corporate law, particularly in cross-border transactions, M&A, and private equity. You can also focus on regulatory compliance, corporate governance, and contract drafting and better your skills in these areas.

Key skills to build:

• Drafting and negotiating complex agreements: Mastering agreements like shareholder agreements and joint ventures will give you an added advantage and is an important skill to develop.
• Understanding regulatory frameworks: You need to have an understanding of SEBI, RBI, and FEMA regulations for cross-border deals and this will help you grow better in this field.
• Structuring transactions: Structuring tax-efficient M&A transactions and ensuring competition law compliance.

How to get there:

You can take advanced courses or certifications in corporate law and M&A. Try and gain hands-on experience through internships at top law firms if you are still a law student. If possible, find mentors who can guide you in drafting and negotiation.

2. International arbitration and dispute resolution

Arbitration is very popular right now and foreign firms handle high-stakes arbitration cases, requiring expertise in international rules and global dispute resolution. This will also require expertise in (e.g., ICC, UNCITRAL) and familiarity with global dispute resolution mechanisms.

Opportunities for you: You can now build a career in arbitration, mediation- alternative dispute resolution (ADR), in general. 

Key skills to build:

• Drafting effective dispute resolution clauses in contracts.
• Understanding arbitration rules (ICC, LCIA, SIAC) and enforcement mechanisms.
• Strong advocacy skills for drafting pleadings and presenting arguments.

How to get there:

ADR proceedings are highly confidential, you will get little on the internet free source to learn actual work. Think of joining some courses to learn from industry experts. Think about cross-border work rather than limiting yourself to domestic ADR. 

3. Intellectual property (IP) law

IP laws are never out of the picture and foreign law firms play a big role in complex IP litigation, patent filings, and global trademark registrations.

Opportunities for you: You can specialize in IP litigation, patent law, and trademark law and if you are new to this field, then you can take a course, read up more on IP laws and gain knowledge before you enter the field.

Key Skills to build:

• Drafting IP agreements: Drafting agreements such as licensing deals, and technology transfer agreements is a key skill in the IP filed 
• Global IP laws: Understanding global IP laws, including TRIPS and Indian regulations.
• IP litigation: Handling IP litigation cases, from trademark disputes to patent enforcement.

How to get there:

You can take IP law courses and certifications, and if you are in law school then you can intern at IP law firms or corporate legal teams. If you have already entered the job market, then join IP legal associations and attend industry events.

4. Banking and finance law

If you don’t already know, foreign firms structure complex financial transactions like project finance and syndicated loans. They also help banks comply with regulations.

Opportunities for you: You can specialize in banking and finance law, particularly in project finance, and regulatory compliance.

Key skills to build:

• Drafting financial agreements: Drafting loan agreements, security documents, etc. 
• Regulatory compliance: Understanding different regulatory requirements and learning to draft compliance checklists across various jurisdictions.
• Structured finance: Navigating structured finance, securitization, and asset-backed securities.

How to get there:

Upskill and try your hands on freelancing work that is already available in the market from other jurisdictions. Unless you actually do the work, it will be difficult to keep pace. 

5. Technology and data privacy law

Digital transformation is driving demand for legal experts in data privacy, cybersecurity, and AI regulation and new issues come up around this all the time. Tech giants and startups alike are more in need of experts in this domain, and law firms are gobbling up new talent in the market, if you want to be that talent, then you must make yourself seen.

Opportunities for you: Specialize in data privacy, cybersecurity, and emerging tech law.

Key skills to build:

• Data privacy compliance: Navigating GDPR, India’s Personal Data Protection Bill, and global privacy laws.
• Cybersecurity regulations: Understanding cybersecurity regulations and risk management strategies.
• Know your tech: Advising on AI, blockchain, and smart contract legal issues.

How to get there:

You must take tech law and data privacy courses. Earn certifications like CIPP or CIPT, this will definitely make you stand out. Work on tech law cases during internships if you are still a student. 

Conclusion

What should you do now? If you’re a young lawyer in India, this is the time to take charge of your career. The legal field is changing fast, and the right steps now can set you up for success.

Pick a specialization— generalists struggle, but specialists thrive. Areas like international arbitration, fintech, AI-driven legal services, and corporate law are growing fast. Find what interests you and start building deep expertise.

The competition is fierce, but so are the opportunities. The Indian legal market is evolving fast, and those who stay proactive, adaptable, and well-connected will thrive. Now is the time to invest in your skills, expand your network, and build a career that lasts.