The Evolving Role Of Corporate Counsels Example

The Evolving Role Of Corporate Counsels Example The Evolving Role Of Corporate Counsels â€" Essay Example > IntroductionFor as far back as one can go lawyers have acted as advisers to those engaged in business ventures. Whether in the early days of setting up a venture or at the maturity stage where competitors are doing all they can to take over in the marketplace, business people have had occasion to use the advise of lawyers. The relationship has always been an uneasy one, however, because even though lawyers have not been unknown to provide the kind of advice that can save many a businessperson from ruin, the high fees generally charged by lawyers can make having to consult them a not too pleasant activity. When business people have had definite need for the services of lawyers, traditionally they had to visit a lawyer, who may either be working solo or as part of a group of attorneys specializing in some area of the law. While this model of interaction between lawyers and business people continues to exist, it seems that there is a new dynamic happening in the world of business to which both those with an interest in the legal profession and business need to take note. This is the evolving role of lawyers as active members of management, and not just in the role of providing advice after strategy has been crafted, but rather as advisers who are intimately involved in strategic planning and for helping to position a business not only to avoid making costly mistakes but also to take advantage of any unique opportunities in its sphere of operations. The nature of this relationship is worthy of examination, however, because one of the hallmarks of the legal profession and its relationship with business is the belief that lawyers can give dispassionate advice. Statement of the problemThe question of whether lawyers who are very much a part of the crafting of strategy can step back from that role in order to provide independent or objective advice is one of great importance. Rationale In the past, even companies that hired lawyers to work within the company kept the lawyers at arms length from the regular run of business. Even though the lawyers may have worked within a company their role was essentially as a separate group of advisers who had simply switched from serving many masters to serving a single one. In effect, problems that were presented for the consideration of lawyers would have felt somewhat removed from the attorney who would need require the officers of the company to explain exactly what they had been up to and what legal problems needed the attorney’s consideration. In recent years, however, rather than having to explain to in-house lawyers what problems the company might be facing, it is very likely that the lawyer would know exactly what is going on because he or she would have been attending all the strategy sessions of the company and be familiar with the details of what the company was doing and where it was headed. This would seem like a sensible idea because rather than having to explain matters to an in-house l awyer, which might mean even missing some critical details, the lawyers, who may have been in on the deals and strategies right from the beginning could provide just the advice the company needs when such advice is needed. More than just sitting in on meetings, however, in some companies the lawyers have actually taken on a strategic role, meaning that they are very much a part of the team that sets the direction and mission of the company, and decide on the alliances and strategies that would move the company forward toward its goals. There is a concern, however, that when lawyers have been a part of strategic planning from the beginning their involvement and their contribution may make it difficult for them to back off and provide dispassionate advice because it would seem as though they were criticizing themselves or give the impression that they did not have enough foresight. It is in the interest of companies, therefore, to consider this relationship carefully and to decide w hether such an active participation of lawyers in strategy formulation can be a boon or a detriment.