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Legal Trends Businesses and Employers Should Watch in 2025 

Legal Trends Businesses and Employers Should Watch in 2025 

Fortis Law Partners attorneys offer strategic insights and guidance on M&A, employment law, and litigation trends 

DENVER, Colo. (Jan. 8, 2025) – The legal landscape for businesses and employers is evolving rapidly as political, economic, and regulatory changes take shape. Partners at Denver-based law firm Fortis Law Partners delve into the top trends and issues likely to impact employers and businesses in 2025.  

Employment Law Trends: Expect Continued Challenges with Complex Leave Laws and Changes with Incoming Trump Administration 

Workplace regulations continue to evolve at a breakneck pace, creating challenges for employers striving to stay compliant. Fortis attorneys expect Colorado’s Paid Family and Medical Leave Insurance (FAMLI) program to continue to be an ongoing source of confusion for employers and employees alike in 2025. 

“FAMLI interacts with a web of other leave laws, including the Healthy Families and Workplaces Act (HFWA), the Family and Medical Leave Act (FMLA), and employer-specific leave policies,” said Christine Lamb, head of the firm’s employment law practice. “I anticipate the high volume of questions on this topic to continue in 2025 as employers struggle to understand how these programs overlap and how to layer them effectively.” 

Partner Liz Hartsel expects the incoming Trump administration to reshape broader employment policies. Under the Biden administration, the Federal Trade Commission (FTC) proposed a sweeping rule that effectively banned non-compete agreements, signaling what many believed would be a monumental shift in employment law. However, she thinks the new administration may rescind the FTC’s rule entirely, returning control to individual states. A Trump-led administration could also influence the National Labor Relation Board to adopt more employer-friendly policies, signaling a departure from recent rulings that favor workers’ rights and potentially altering the legal outcomes of disputes over unionization, employee classification, and workplace conditions. 

Partner Leni Plimpton highlighted the growing legal risks surrounding diversity, equity, and inclusion (DEI) initiatives. The legal environment surrounding DEI programs has become more precarious in the wake of the Supreme Court’s decision striking down affirmative action in education,” she said. “It’s a ruling that has further emboldened critics of corporate DEI efforts, and I expect to see a continued rise in lawsuits alleging reverse discrimination.” 

M&A Trends: The Dawn of a Deal-Making Boom 

A confluence of economic and political factors is poised to drive significant activity in mergers and acquisitions (M&A) this year. Interest rate cuts, alongside a pro-business federal administration, are creating an environment ripe for deal-making. 

“I’m predicting the unleashing of a pent-up demand for M&A deals,” said Julie Herzog, partner and head of the firm’s corporate practice. “With the federal reserve approving consecutive interest rate cuts, and projections showing a potential drop to as low as 3.50% in 2025, the cost of financing acquisitions is decreasing, making larger deals more viable.” However, if Trump does impose new tariffs on imports, Herzog said impacted businesses should plan for compressed profit margins, especially for companies unable to pass increased costs on to consumers.  

In addition to favorable financing conditions, Herzog expects the continued growth of artificial intelligence (AI) to play a transformative role in M&A. “AI companies are attracting significant capital, fueling acquisitions and partnerships across industries,” Herzog explained. “More than 40% of S&P 500 companies mentioned AI in earnings calls last year, and we expect that number to grow in 2025.” 

Litigation Trends: The Shift to Boutique Law Firms, Fixed-Fee Arrangements, and Increases in Bankruptcy and Data Privacy Litigation 

Expect to see a recalibration of businesses’ approach to hiring law firms in 2025, driven by rising discontent over escalating legal fees. A recent Wall Street Journal article spotlighted the skyrocketing costs at major law firms, where billing rates have reached as high as $2,500 per hour. 

“Clients are beginning to question whether big-name firms are worth the premium,” said partner Henry Baskerville, a member of the firm’s litigation team. “We’re seeing a pivot toward boutique firms, which can often deliver the same caliber of work without the exorbitant fees.” Baskerville recommends businesses consult reputable ranking services like Chambers & Partners or Super Lawyers to evaluate the quality and expertise of firms they’re considering hiring. “These companies put significant time into their vetting and review processes and can provide meaningful guidance for businesses that are tired of simply relying on ‘name brand’ recognition, which costs more but doesn’t always equate to superior legal outcomes,” he explained. 

Partner Cara Thornton, a litigator and head of the firm’s trademark practice, echoed these sentiments, emphasizing that smaller firms can often deliver equivalent—or even better—results with the added benefit of more personal attention. She also noted that she is seeing a trend of clients increasingly drawn to alternative fee arrangements. “Flat fees and predictable pricing models are gaining a lot of traction, particularly when it comes to trademark applications,” she said. “Working with a skilled trademark attorney who understands the nuances of crafting an application and anticipates the most common areas of pushback can significantly raise your chances of overcoming common hurdles to obtaining trademark rights.”  

Partner David Olsky, who specializes in complex commercial litigation cases, notes that the softening market is putting pressure on small businesses, and, as such, he expects to see a surge in bankruptcy litigation in 2025. “As Warren Buffet aptly observed, ‘Only when the tide goes out do you learn who has been swimming naked,’” he said. “The current economic environment is exposing financial vulnerabilities, and I expect these challenges to drive significant legal activity in the bankruptcy space as a result.” 

Partner Liz Hartsel forecasts that the California Invasion of Privacy Act (CIPA) will spark a wave of predatory litigation targeting businesses that utilize cookies and similar tracking technologies on their websites.  CIPA imposes statutory damages of $5,000 per violation for collecting user data without explicit consent, making it easy for plaintiffs to claim thousands of dollars in statutory damages and attorney fees.  

“I’m predicting an upswing in CIPA lawsuits, and businesses need to be aware that no company is immune to these claims, regardless of location,” explained Hartsel. “A company based in Crested Butte can still face CIPA-related lawsuits simply because its website is accessible to California residents.” 

A Proactive Approach to 2025 

As businesses navigate the complexities of 2025, staying ahead of legal trends is crucial for success. Proactive planning will be key to success in an ever-changing landscape, whether that means reevaluating the law firm your business hires, protecting against litigation, adapting to evolving employment laws, or capitalizing on M&A opportunities. 

For more information or to schedule an interview with one of the attorneys, please contact Bree DeVita at bree@themaverickpr.com.  

About Fortis Law Partners   

Fortis Law Partners offers broad expertise to help clients achieve effective legal solutions, from the simplest matters to the most challenging business problems. Whether a successful outcome means winning at trial, dismissing a lawsuit, negotiating a settlement, closing a transaction, or just getting thoughtful legal advice, Fortis lawyers get results. Our business-minded problem-solving approach, coupled with a persistent dedication to client service, enables us to create unmatched value. Practices include Cannabis; Commercial Litigation, Compliance Programs and Internal Investigations; Construction; Corporate / Securities / M&A; Employment Law; Psychedelics; Public Utilities Commission; Real Estate & Development; Tax; Trademark; and Trusts & Estates. For more information, visit FortisLawPartners.com. Continue the conversation on LinkedIn and Facebook.    

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