In today’s business environment, innovation has become strategic for any organization to survive. This empirical study aimed to analyze the relationship between innovation and performance in the law firm industry. The sample size of this study was GKJ Law Firm based in Washington, DC. Data were collected from the organization’s financial reports from 2010 to 2022. The results of the data analysis revealed a significant correlation between innovation and performance. The results indicated that using innovation theory enabled GKJ Law Firm to develop innovative strategies to sustain performance. The results also showed that innovation increases the organization’s viability and credibility. The implications of this study for positive social change include the potential to enhance tax revenues for the government and improve positive social change by promoting the benefit of legal compliance in local communities.