Valerie Henderson, Managing Shareholder, Baker Donelson

In an interview with Invest:, Valerie Henderson, managing shareholder of national law firm Baker Donelson, discussed Houston’s active business climate, the firm’s collaborative approach, and how technology is reshaping client expectations. “In the legal industry, we certainly have parameters for how we can use AI, and it continues to evolve,” Henderson said.

How would you describe the overall business climate in Houston?

Houston has an active, booming economy. The Houston economy is cyclical, and a lot of times that is related to the oil and gas market. That is certainly happening now.

Houston also has several strong industries, including healthcare, financial services, oil and gas, and real estate. It is definitely a busy market, and that diversity continues to create opportunities across sectors.

Which sectors are creating the most opportunity for Baker Donelson?

Our firm is a full-service law firm, and that helps because we are able to step in where we are needed, depending on the economy and what our clients are facing.

We are always busy, but we see ebb and flow in terms of the types of cases we handle. The litigation side is busy. We are also seeing some additional bankruptcy filings, and our firm assists with that. Houston is an active location for bankruptcy filings, but I do not think that is indicative of the economy as a whole.

Oil and gas companies are active, and that is generating additional work, along with the real estate market. On the financial services side, our firm represents some financial institutions in all areas of the market, and that is busy right now.

What trends are you seeing as companies move operations or headquarters into Texas, and what does that mean for Houston’s legal sector?

Everybody wants to move to Texas, or they want to move their business here. Law firms across the world want to be here, particularly in Houston. That creates a competitive market among law firms, which is good. It allows us to recruit great talent and provide the best legal services for our clients.

It is always an interesting market in terms of competition with other law firms because there are so many attorneys in Houston and in Texas overall. We see it in the news all the time: different businesses moving to Texas, particularly Houston. It is an exciting market to be a part of.

As someone from Houston, how have you seen the city evolve?

I am from Houston, and I have lived here most of my life. Seeing the city expand over the years has been amazing. It has gotten huge, and there are so many different areas of business now. It is impressive how large Houston has become and how many businesses are here.

There are also so many restaurants and things to do. New areas are popping up with restaurants and entertainment options, and that is part of the attraction of Houston. There are many different parts of town to live in, each with its own activity and energy.

What are legal professionals looking for today in terms of workplace culture and career development, and how is Baker Donelson meeting those expectations?

Attorneys want to be somewhere they can grow professionally and provide the best service for their clients. That looks different depending on who their clients are and the type of law they practice. Our firm meets that expectation because our offices across the country are collaborative with each other. We are able to quickly jump in and meet the needs of the client, no matter where the issue arises.

We are not siloed among our offices or practice groups, and that allows us to be a trusted advisor to clients. It is also a good platform for recruitment because we often see that attorneys who are looking to make a move may not be getting that at their current firm. That is something Baker Donelson is good at.

How are cybersecurity, AI, and data privacy changing the conversations you are having with clients?

It is a constant topic of conversation. We talk about it internally on a regular basis, and we are always answering questions and talking about AI and cybersecurity with our clients. Baker Donelson has a cybersecurity team, so if anything cybersecurity-related comes up, I refer clients to them. They are outstanding and were proactive in getting in front of AI tools and cybersecurity issues. They are also helpful with clients.

It is interesting to see how different clients navigate these issues. It is often industry-specific in terms of what a client can do with AI and what their parameters are. In the legal industry, we certainly have parameters for how we can use AI, and it continues to evolve.

How is AI affecting legal services, client expectations, and the way your firm works?

Clients want to see more efficiency all the time. That has always been important and has always been a goal for clients, even before AI. With the advances in AI, clients want those tools to be used to create additional efficiencies where possible. I am a litigator, and there are specific parameters on how and when we can use AI in filings with the court, for example.

From the client perspective, our firm is working to determine different solutions we can use to prepare discovery, for example. We are looking at how to create efficiencies that way and provide different options to clients if they are interested and if it fits within their own parameters.

What do you see as the biggest opportunities and challenges for Houston’s business community over the next few years?

The biggest issue is maintaining and managing the growth opportunities. Businesses are moving to Houston, and businesses are expanding in Houston. It is important to manage that in a way that makes sense.

The oil and gas industry is cyclical, so it is important to keep an eye on that and manage talent in a way that makes sense.

Houston has a diversified economy, and maintaining that has always helped Houston ride the economic waves.

What are Baker Donelson’s top priorities over the next few years?

We are on a growth path, and our priorities reflect that. Our firm has done well financially over the past several years, so we are focused on continuing that. It is not growth just from a financial perspective. It is about continuing to build out our practice areas to best serve our clients. Our offices and our practice groups work closely together. The goal is to expand in ways that best serve our clients and allow us to be trusted advisors to them in all ways.

Our litigation practice is constantly growing. We have a nationally renowned healthcare practice that we are continuing to grow. On the financial services side, we are continuing to build out and expand our compliance and regulatory practice. On the energy side, we are also continuing to grow because it remains a booming area.