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Chennai has local law firms. Even the big Names are basically local practices. National Competition virtually doesn't exist. Students from all NLU's/Top Private Universities across the country, irrespective of language or state of orgin work in Bangalore, Mumbai and Delhi.
This is rarely seen in Chennai. Even JSA, Khaitan, SAM offices in Chennai are mostly from South/Tamil Nadu. They are mostly from Sasta, Chennai law college and TNNLU - all TN colleges, There is very less diversity there.
Mostly lawyers from Tamil Nadu or South Indians work in Chennai law firms, while this is not the case in Bangalore.
Bangalore, Mumbai etc are more diverse and has national competition in the corporate legal services market, which is absent is Chennai.
Because of this lack of competition, salaries are low.