Nearly half (47%) of in-house lawyers surveyed by the Manchester firm Pannone Corporate expect legal action to increase for their business in the next 12 months, with the rapid development of technology and AI named as the main cause of potential disputes. The firm published the findings on 21 October 2026.
What the survey found
According to Pannone Corporate, which conducted the research, cost pressures, increased supply chain risks and a rise in cyber-attacks also pose legal challenges to businesses across sectors including hospitality and leisure, financial services, retail and technology.
Looking three years ahead, more than 60% of the in-house lawyers surveyed believe there will be a greater risk of commercial and contract disputes, the firm said, with a similar proportion concerned about an increase in employment disputes. Data, cyber and technology disputes make up the top three concerns, with regulatory and compliance disputes also rating highly.
The findings broadly match what respondents reported for the past year. Pannone Corporate said approximately half of respondents had been involved in significant contractual disputes during the last year, and a quarter had been involved in employment and regulatory disputes.
The firm also asked what weighs on the decision to pursue litigation. The value of the claim and the financial impact of legal action top the list, it said, with reputational damage and the demands on an organisation’s time and resource also playing a significant part.
Pannone Corporate did not disclose how many in-house lawyers took part, which organisations they worked for or when the survey was carried out. ## The firm’s comment
Martin Pennington, dispute resolution partner at Pannone Corporate, said: “Businesses across a wide range of sectors are facing increasing challenges and greater uncertainty than ever before. Those pressures are creating a more litigious environment, with disputes covering a host of business functions, whether that’s commercial and contracts, employment, IP, real estate or M&A.”
He added: “As difficult trading conditions continue, businesses will need to remain attuned to the growing risks that they face, both internal and external. As always, navigating disputes successfully is a vital component of commercial success. Early intervention and proactivity are usually rewarded in the long run.”
Mr Pennington also said: “The sooner that companies examine issues which arise, the more options are typically open to them. The disputes which become more difficult to resolve are those where parties have not confronted difficulties between them early enough in the relationship, creating a more intractable situation.”
What the official court figures show
The survey measures expectations rather than case numbers, and the latest Ministry of Justice figures cover a different population. The MoJ’s Civil Justice Statistics Quarterly for April to June 2026, published on 3 September 2026, cover county court civil cases, High Court judicial review cases and the Business and Property Courts.
Legal Futures reported on 4 September that 571,250 new claims were issued in the county court in the quarter, 11% more than in the same period of 2025 and the highest quarterly total since the MoJ began publishing quarterly statistics in 2009. Money and damages claims made up 91% of all claims, the publication said.
The MoJ said the rise was “likely driven by a rise in claims to recover monies in relation to parking on private land”, according to Legal Futures. The county court total therefore says little about the commercial disputes that Pannone Corporate’s respondents were asked about.
About the firm
Pannone Corporate is a Manchester-based commercial law firm. According to the firm, its dispute resolution team acts on high-stakes commercial disputes for clients in the North West, the UK and internationally, and it has been ranked as the most recommended firm in the North West according to Legal 500 client feedback.
