LeveragingLegalLeadership:TheGeneralCounsel

asaCorporateCultureInfluencer

“The only thing we have is one another. The only competitive advantage we have is the culture and values of the company. Anyone can open up a

coffee store. We have no technology, we have no patent. All we have is the relationship around the values of the company and what we bring to the

customer every day. And we all have to own it."

Howard Schultz, founding CEO, Starbucks

Introduction

Corporatecultureiswidelyacknowledgedasaddingvaluetocompanies,

bothintermsofimprovingfinancialperformanceandincreatinganatmosphere

thatencouragesethicalbehavior.Evaluatingandsettingcorporatecultureisan

importantresponsibilityforboardsandexecutivemanagement,andbecausethe

boardchoosesthechiefexecutive,ultimatelycultureemanatesfromthe

boardroom.1Corporatecultureisnotatopictypicallylinkedtoacompany’sgeneral

counselandlegaldepartment,butthefailuretodrawthatlinkmayprove

shortsightedonthepartoftheboard.Giventheimportanceofthegeneralcounselin

mattersofethics,compliance,corporategovernance,andriskandreputation

management,thegeneralcounselshouldbeakeyallyandpartnerinestablishinga

1“ToneFromtheTop:HowBehaviorTrumpsStrategy,”byIanMuir,KeeldeepAssociatesLtd,UK.Firstpublishedin2015byGowerPublishingLOCControl,No.2014957909.

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corporateculturethatsupportscorporateperformancewithoutcompromising

ethicalbehavior,andlegalandregulatorycompliance.

Thiswhitepaperexploreshowthegeneralcounsel(a/k/achieflegalofficer)

canbeleveragedasacorporatecultureinfluencer,andhowherstandingand

staturevis-à-vistheCEOandotherC-suiteexecutivesshouldbeatopicofboard

inquiry.Whenthegeneralcounselhasaseatatthechiefexecutive’sleadership

table,itsendsasignaltothecompany’sstakeholders(internalandexternal)that

ethics,compliance,andotherlegalriskconsiderationsareatoppriorityofthe

company.Adirectreportinglinebetweenthechieflegalofficerandchiefexecutive

officerisimportanttocorporatecultureasareflectionofthe“toneatthetop,”and

throughwhichtheCEOsendsapowerfulmessagethatbusinessdecisionsaremade

withappropriateconsiderationoftheethical,legal,andreputationalimpacts.

Therearemanywaysinwhichtheboardcansendsignals.Themostpowerfulsignalscomefrombehaviour,language,andactionsofexecutivedirectors,particularlytheCEO.IftheCEOissendingsignalsthatbusinessisagamewherefoulingisOKiftherefereedoesnotseeyou(thinkfootball),orthatcuttingcornersisacceptabletodeliverresults,noamountof‘goodtone’fromtherestoftheboardwillhavemuchimpact.2

Astheboardmeetsitsfiduciarydutytokeepacriticaleyeonthecompany’s

culture,partofthatexaminationmustincludehowthegeneralcounselfunctions

withinthecompany.Throughtalkingwithwell-respectedgeneralcounselandour

ownresearchregardingtheexpectationsofcorporatedirectorsandchiefexecutives

regardingthechieflegalofficer,theAssociationofCorporateCounsel(ACC)has

developedfiveindicatorsthatalldirectors,particularlynon-executivedirectors,

shouldlooktoinordertoassesswhetheracompany’sgeneralcounseliswell-

positionedtohaveapositiveinfluenceoncorporateculture.

2Id.atpage34.

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Regulatoryandbusinessdemandsexpandtheneedforgeneralcounselinfluence

In1991,theUSgovernmentissuedtheUnitedStatesSentencingGuidelines

forOrganizations,whichincentivizedthecreationofcorporatecompliance

programsmeanttopreventanddetectviolationsofthelaw.Thisbeganamore

systematicapproachbycompaniestoaddressregulatorycomplianceaswellas

ethicswithintheirorganizations.Ultimateresponsibilityforacompany’sregulatory

complianceusuallyrestswithitsgeneralcounsel,andasregulatoryscrutinyhas

increased,sohascompanies’needforregulatorycomplianceadvice.Althoughsome

companieshavecompliancefunctionsthatareseparatefromthelegaldepartment,

manyoftheactivitiesmandatedbyacomplianceprogramrequirelegalanalysis,and

anyeffectivecomplianceprogramrequirescoordinationwiththegeneralcounsel.

Theemphasisonthegeneralcounsel’sroleinethicsandcompliancehas

madethepositiongrowinprofessionalstatureandinfluence.Regulatorsrecognize

thatin-housecounselhaveanessentialroleinpromotingcomplianceandethicsin

theircompanies.Theyhaveevenincludedin-housecounselinregulatoryregimes

meanttodetercorporatewrongdoingliketheSarbanes-OxleyActof2002.Both

directorsandgeneralcounselareacutelyawareoftheimportanceofthegeneral

counselroleinpromotingethicsandcompliancewithinthecompany.InACC’sSkills

forthe21stCenturyGeneralCounselsurvey,54percentofdirectorsranked“ensuring

acompany’scompliancewithrelevantregulations”asoneofthetopthreeways

generalcounselprovidevaluetothecompany.ACC’s2017ChiefLegalOfficerSurvey

foundthat74percentofgeneralcounselratedethicsandcomplianceas“extremely”

or“very”importantoverthenext12months—thehighestrankedconcerninthe

survey.Thisemphasisonthegeneralcounsel’sroleinethicsandcompliancecreated

theneedforgeneralcounseltoexertgreaterinfluencewithintheircompaniesin

ordertofulfillthecompliancemandatefromregulatorsandtheboard.

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Evenoutsideofcomplianceconcerns,legalandregulatoryissuesare

increasinglycentraltotheimplementationofsophisticatedbusinessstrategies.For

example,protectinginnovationrequiresunderstandingintellectualpropertylaw;

overseasexpansionrequiresknowingtheemploymentlawsofothercountries;

advancesindataanalyticsrequireknowledgeofdataprivacylaws.Whereoutside

counselusedtobetheprimarylegaladviserstotheCEO,generalcounselhavecome

tofillthatroleineverycorporation,particularlythelargemultinationaland/or

publiclyheldcompany.Aslegaldepartmentshaveevolvedandattractedtop-level

talentbelowthegeneralcounsel,thegeneralcounselhascarvedoutmoretimeto

considerstrategicbusinessissuesandcontributetosettingstrategies.This

developmentisapositivecontributiontocorporateculture.

Tonefromthetopisnotamotivationalcrusade.Mostchangeshappenwheretherearedoubtsaboutwhetherthetoneistherightone.UltimatelychairmenshouldchangetheCEOifthevaluesandethicsaren’tpresenttotherightextent.3

Whenageneralcounselispartoftheexecutiveleadershipthatmakes

strategicbusinessandoperationaldecisions,thosedecisionsareinformedbynot

onlyalegalperspective,butalsobybroadethicalandpublicpolicyconsiderations.

Thegeneralcounselisadiverseanduniquevoiceattheexecutivetable.ACC’sSkills

forthe21stCenturyGeneralCounselsurveysuggeststhatboardsarejustbeginning

toperceivethevalueofthegeneralcounselasastrategicadvisor.Twenty-seven

percentofthedirectorssurveyedrankedthegeneralcounsel’s“inputintostrategic

businessdecisions”asatop-threevaluedrivercurrently,with37percent

anticipatingitwouldbeatop-threevaluedriverinthefuture.

3Id.atpage23.

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AStrongGeneralCounselSupportsa

StrongCorporateCulture

“Courageisthemostimportantattributeofalawyer.Itismoreimportant

thancompetenceorvision.Itcanneverbeanelectiveinanylawschool.Itcannever

bede-limited,datedoroutworn....”

–RobertF.Kennedy,SpeechatUniversityofSanFranciscoLawSchool,San

Francisco,29Sept.1962

Itiscuriousthattherehasnotbeengreaterdiscussionofthegeneral

counsel’sroleininfluencingorsupportingstrongcorporatecultures,especiallywith

ethicsandcompliancebeingtheprimarydriversofcorporatecultureefforts.Ofthe

12companiesthathavemadeEthisphere’slistofthe“World’sMostEthical

Companies”eachyearithasbeenpublished,4ACCfoundthatthemajorityofthem

havegeneralcounselwhoarewell-positionedtoinfluencecorporateculture.For

examplein91percentofthosecompanies,generalcounselreporttotheCEO.In83

percent,generalcounselserveasthecorporatesecretary,indicatingdirectaccessto

theboard,andin83percentofthosecompanies,generalcounselarealso

responsibleforcompliance.

Thepreventativeroleofthegeneralcounselandcorporatelegaldepartment

iskeytotheircontributiontoregulatorycomplianceandcorporateculture.When

thegeneralcounselisincludedindiscussionsofbusinessstrategiesbeforetheyare

implemented,shecanhelpthecompanyassessandavoidlegalandbusinessrisks.

Aspreventingviolationsoflawsandregulationsispreferabletomeredetectionof

violationswhentheyoccur,thegeneralcounselhasbecomeinstrumentalin

improvingacompany’soverallcompliance,aswellasprotectingitsreputation.

4Thereareatotalof13companiesthathavemadetheEthispherelisteveryyear,butinformationongovernanceandreportingstructureswasunavailableforoneofthecompanies.

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Muchofthegeneralcounsel’svaluewhenitcomestosupportingastrong

corporateculturestemsfromthefactthatthelegaldepartment’smetricforsuccess

isnotthecompany’squarterlyperformance.Thegeneralcounselpromotesethical

behaviorandintegrityincorporatedecisionsbytakingtheviewthatshort-term

gainisnotworthcompromisinglong-termsustainability.Thisperspectivecanbe

importanttoinformingwhatacompanyconsidersethical.Expertsconsider

corporateculturetobetheintangibleframeworkmeanttoguideindividualand

organizationalbehaviorwhentherearegrayareas.Withherlegalbackground,“gray

area”isaspacethatthegeneralcounselregularlyoccupiesasmostlaws,cases,or

regulationsfailtooffera“brightline”rule.

[I]tisincreasinglyimportantthatthegeneralcounselhavetheskillstonavigatebeyondjustthelegalissues–tohavemanymoreofthesofterskillsnecessarytonegotiatematterswheretherulesarenotalwaysclear,wheretheoutcomesarenotalwaysneat,andwheretheimpactontheoverallorganizationiswidespreadandprofound.–Ageneralcounselwhoalsoservesasaboardmember,fromtheSkillsforthe21stCenturyGeneralCounselreport

Acompanythatleveragesitsgeneralcounselandlegaldepartmenttofillin

thosegrayareas(includingoutsidethelegalcontext)inamannerthatpromotes

ethicalpracticesandcompliancewiththelawhelpssolidifyanoverallcorporate

culturethatemphasizesthosecharacteristicsandvalues.Ontheotherhand,when

thegeneralcounselisnotempoweredinsuchamanner,businessunitsmayfillin

thosegrayareasinawaythatmaximizesshort-termreturnsoverthelonger-term

interestsofthecompany,andcompromisestheethicalculturethecompanywishes

tobuild.

Astronggeneralcounselcanestablishthepracticesthatreinforcea

corporateculturethatvaluesethicsandintegrity.Butthisvaluecanonlyoccurifthe

generalcounselisproperlysituatedwithinthecompany,andthelegaldepartment

haseffectiveinteractionswiththecompany’sbusinessunits.Amanagementteam

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thatmarginalizesthegeneralcounselandthelegaldepartmentnotonlylosesouton

thisrisk-managementperspective,butalsosendsacompany-widemessagethat

legalrisk,ethics,andcompliancearenottakenseriously.

Sendlawyers,gunsandmoney,theshithashitthefan.

–WarrenZevon,“Lawyers,GunsandMoney”(song)(1978)

Thedistinctionisbestexplainedascompanieswithalesssolidcorporate

ethicalculture,wouldgenerallyviewthegeneralcounselandmembersofthelegal

departmentasthegrouptocallto“cleanup”afteralegal,regulatory,orcompliance

mess,orwhenatransactiongoesawry.Whereas,companieswithastronger“tone

atthetop”corporateethicalculturelooktothechieflegalofficerandherteamas

allieswhom,ifproactiveandinvolvedattheonset,canhelppreventamessfrom

happening.

FiveIndicatorsofGeneralCounselInfluenceonCorporateCulture

Acceptingthepropositionthatastronggeneralcounselwillhaveapositive

effectoncorporateculture,wesuggestfiveindicatorsaboardmightconsiderwhen

evaluatingwhetherthegeneralcounselhassufficientinfluenceoncorporate

culture,andwhethercorporatecultureitselfisindeedhealthy.

#1–Thegeneralcounselreportsdirectlytothechiefexecutiveofficerandis

consideredpartoftheexecutivemanagementteam

Beforetheriseofthegeneralcounselandthecorporatelegaldepartment,

generalcounselwerenotconsideredc-levelexecutives.Theyoftenreportedtothe

chieffinancialofficer(CFO),chiefadministrativeofficer(CAO)oranothersenior

executive.Asregulatoryandbusinessdemandsspurredthechangesinthelegal

departmentdetailedabove,theroleandrelativeauthorityofthegeneralcounsel

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increased.IntheACCChiefLegalOfficers2017Survey,72percentofrespondents

reportdirectlytotheCEO.

Thisnumberhasbeensteadilyincreasing–only64percentofgeneralcounsel

reportedtotheCEOinACC’s2004survey.

Thereportingstructureofthegeneralcounselpositionisanimportant

indicatoroftheinfluencethatthelegaldepartmenthasinthecompany.TheACC

ChiefLegalOfficers2017SurveyshowedthatgeneralcounselwhoreporttotheCEO

weremuchmorelikelytosaythattheexecutiveteam“almostalways”seekstheir

inputonbusinessdecisions.GeneralcounselwhoreporttotheCEOwerealso

significantlymorelikelytoreportthey“almostalways”contributetostrategic

planningeffortscomparedwiththosewhodon’t.Whenthegeneralcounselis

consultedaboutbusinessdecisionsandstrategicplanningefforts,thereisagreater

likelihoodthatthosedecisionsandplanswilltakeintoaccountlegalandregulatory

risks.Pre-decisionconsultationhelpsthelegaldepartmentfulfillitspreventative

rolewithinthecompany.

4%

7%

7%

9%

13%

18%

72%

Other C-suite (business executive)

Chief Legal Officer of the holding company

Chief Operating Officer

Other functions

Chief Financial Officer

Board of Directors

Chief Executive Officer

Percent yes (n=1,093)

General Counsel Reporting StructureTo whom do you directly report as the GC/CLO of your

organization?

Figure1–ReportingStructure,ACCChiefLegalOfficers2017Survey

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Inadditiontoprovidingthelegaldepartmentwithrequisiteinfluence,having

thegeneralcounselreporttotheCEOisanimportantpartofsettingthe“toneatthe

top.”Whenlegalhasaseatatthetable,itsendsamessagetotherestofthecompany

thatcompliancewithlawsandregulationsisacompanypriority.Italsosays

somethingabouttheCEO:thatinputfromlegalisvalued,andthattheCEO’svision

forthecompanyprioritizesethicsandintegrity.

#2–Thegeneralcounselhasregularcontactwiththeboardofdirectors

Aboardofdirectorsthatdoesnothaveaconsistentrelationshipwiththe

company’sgeneralcounselshouldbeaculturalredflagandpromptfurtherboard

inquiry.Whiletherelationshipbetweenthegeneralcounselandtheboardcantake

variousforms,itisimportantthattherelationshipatleastbeconsistent.Afterall,

theboardisthecompany’sfiduciaryrepresentative,andthecompanyisthegeneral

counsel’sclient(notmembersoftheexecutivemanagementteam).Arelationship

betweenthegeneralcounselandtheboardofdirectorsenablestheboardtosetthe

toneforthecompany’slegal,ethical,andcomplianceculture,andalsohelps

maintaintheindependenceofthelegalfunction.

Figure2–Generalcounselattendanceatboardmeetings

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Ourdataindicatethatthereisroomforimprovementintherelationship

betweenboardsandgeneralcounsel.IntheACCChiefLegalOfficers2017Survey,18

percentofrespondentsreportedhavinga“direct”reportingrelationshipwiththe

boardofdirectors,and67percentreportedthatthey“almostalways”attendboard

meetings.However,afull21percentreportthattheyseldomorneverattendboard

meetings.Whilenoteverycompanyrequiresadirectreportingstructurebetween

thegeneralcounselandtheboard,ataminimum,thegeneralcounselmusthavea

mechanismtobringcontroversialissuestotheboard—withoutpriorCEOconsent.

Inadditiontoraisingissuesdirectlywiththeboard,aninfluentialgeneral

counselcanbeanallyintheboard’seffortstosetthetoneforthecompany’s

complianceculture.TheACCsurveyshowsthatsimilartotheeffectofdirectCEO

reportingbythegeneralcounsel,aboardrelationshipimbuesthegeneralcounsel

withmoreinfluenceoverbusinessdecisions.Generalcounselwhohadareporting

relationshiptotheboardweresignificantlymorelikelytobeaskedforinputon

businessdecisions;theywerealsosignificantlymorelikelytocontributetothe

company’sstrategicplanning.

Arelationshipwiththeboardalsohelpspreservetheindependenceofthe

legaldepartment.Muchhasbeenmadeoftheindependence,orlackthereof,ofin-

housecounsel,becausetheydependonmanagementforemploymentand

compensationdecisions.Theboardcanserveasanimportantcheckonthepotential

conflictthegeneralcounselmightfeelbetweenherservicetoexecutive

management,andherdutytothecompanyasaclient.Moreover,ifageneralcounsel

needstoreportconcernstotheboard,findingawaytodosowithoutformalaccess

orapriorrelationshipwiththeboardcreatesanobstacletofulfillingherethical

duties.Ultimately,thisleavestheboardofdirectorsunawareandpotentially

exposedtolegalorcompliancerisksthatrequiretheirattention.

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#3-Thegeneralcounselisviewedasindependentfromthemanagementteam

Thefirsttwoindicatorsstatethatgeneralcounselshouldhaveaseatatthe

managementtableandarelationshipwiththeboard.Ifthegeneralcounselfailsto

maintainherindependence,neitherofthoserelationshipswillbenefitthecompany

thewaytheyshould.Thevaluethegeneralcounselbringstothetableis

compromisedifsheisseenaslackingthecouragetochallengemanagement

decisionswhennecessary.Whilegeneralcounselareapartoftheexecutiveteam,

theymustmaintainadelicatebalancebetweenthatpositionandtheirdutiestothe

companyastheirclient.Further,theboardneedstosatisfyitselfthatthegeneral

counselisachievingthatbalanceinordertohaveahealthycorporateculture.

Asaboardmember,it’simportanttomethattheGCunderstandsthattheirobligationistothecompanyandnotreallytotheCEO[who]hiresthem.–FromtheSkillsforthe21stCenturyGeneralCounselreport

Asmentionedabove,thecompanyisthegeneralcounsel’sclient,andifthe

generalcounselisoverlybeholdentomanagement,theresultmaybeadviceand

counselthatdoesnotprioritizewhat’sbestforthecompany.Additionally,ifsucha

perceptioniswidelyheldthroughoutthecompany,itcanerodetheconfidencethat

lowerlevelemployeesplaceinthelegaldepartment.Thegeneralcounselshouldbe

seenastheseniorexecutivemostcapableofpushingbackonmanagementdecisions

thatputthecompanyatlegalorreputationalrisk.Theremustbeawillingnessby

thegeneralcounseltoraiseissueswiththeboard,evenifdoingsomaythreatenher

ownstandingwiththeCEOandotherexecutives.

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#4–Thegeneralcounselisexpectedtoadviseonissuesthatextendbeyond

thetraditionallegalrealm,includingethics,reputationmanagement,and

publicpolicy

Asadirector,myexperienceisthatboardslooktothegeneralcounseltogivethemperspectiveonnotjusttheproblemsthatpresentthemselves…butalsoforguidanceonthingstheboardshouldbethinkingabout,andhowparticularissuesfitintotheoverallcontextofthebusiness.–FromtheSkillsforthe21CenturyGeneralCounselreport

Ifthegeneralcounselistomanageriskandsupportanethicalcorporate

culture,shemustbeempoweredtoadviseonissuesbeyondtraditionallegal

matters.Inadditiontorapidchangesinthelegalandregulatorylandscape,

companiesarenavigatingissuesinvolvingpublicpolicy,politics,themedia,and

socialpressurefromconsumers.Theincreasingimportanceofthese“businessin

society”issuesmeanstheycanposeformidableriskstocompanies.Someoneneeds

tohaveofficialresponsibilityforthesemattersandthegeneralcounseliswell

suitedforthistask.Effectivelawyeringhasalwaysleftroomforevaluationofnon-

legalconsiderations.Withtheintensescrutinythatcompaniesfaceintoday’sworld,

itisimportanttoconsiderhowconductthatistechnicallylegalcanstillbedamaging

tothecompany’sreputation,communitygoodwill,oritsrelationshipswith

stakeholders.Corporatedecisionsintheseareasneedtobeevaluatedagainsta

company’sriskappetite,integrity,andvalues.

Indeedthereisatrendtowardconsolidatingcontrolofsomeofthecorporate

functionsthataddresstheselegal-adjacentissueswithinthelegaldepartment.For

example,theACCLawDepartmentManagementReportshowedthatthelegal

departmentoftenoverseesthegovernmentaffairsfunction(44percent);security

(23percent);publicpolicy(21percent);andcommunications(19percent).Evenif

thegeneralcounselisnotdirectlyresponsibleforthesematters,management

shouldproactivelyseektheadviceofthechieflegalofficerontheseissues.Thelegal

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departmentcannotbeleftoutofthedecision-makingonsuchmattersifanethical

cultureistothrive.

#5–Businessunitsregularlyincludethelegaldepartmentindecision-making

IftheCEO’sandboard’srelationshipswiththegeneralcounselsetthe

culturaltoneatthetop,thentheinteractionbetweenbusinessunitsandtherestof

thelegaldepartmentcreatethemoodinthemiddle.Companiesmustdevelopa

culturewherein-housecounselareregularlyconsultedindecision-makingatlevels

belowthegeneralcounsel.Thisensuresthatlegalandriskconsiderationsaretaken

intoaccountasnewproducts,services,orbusinesspracticesaredeveloped.

Inclusionofthelegaldepartmentinthedecision-makingprocessisespecially

essentialasbusinessesexpandintoareaswherethelawisuncertain.Itisthosegray

areaswherelegalcounselcanbemosthelpfulinguidingthecompanyinamanner

thatfollowsitscorporateethicalcompass.Havingcounselinvolvedonthefrontend

ofdecisionsisthedifferencebetweenhavingalegaldepartmentthatisengaged,

involved,andactivelypreventativefromacompliancestandpoint,andonethatjust

playscleanupaftersomethinggoeswrong.Greaterinteractionbetweenthe

businessandlegalteamsalsoreinforcestheideathatriskmanagementis

everyone’sresponsibility.Intoday’shyper-regulatorybusinessenvironment,

ignoranceofthelawwillnotshieldanexecutivefromindictment.Theinteraction

betweenabusinessanditsattorneyswilllookdifferentacrosscompanies,butfrom

theboard’sperspective,ifsuchinteractionisnotoccurring,thatmightbeasignthat

corporatecultureisunderemphasizinglegalandcompliancerisk.

Theneedforcommunicationandcollaborationwithotherfunctionsisnot

limitedtooutward-facingbusinessunits—theinternal-facingbusinessunitsshould

alsohaveestablishedrelationshipswiththelegaldepartment.Datasecurity,for

example,involvesthelawdepartmentandIT;thehumanresourcesdepartment

shouldprovideinformationtosupportlegalconclusionsonemploymentmatters;

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lawyersshouldbeinvolvedwiththegovernmentaffairsteamtohelpdefine

regulatoryandlegislativegoals.Infact,becausethelegaldepartmentissointegral

totheoperationsofacompany,itsreachcanbeagoodproxybywhichtomeasure

communicationandeffectiveriskmanagementacrossfunctions.Iftheboardcannot

findevidenceofsuchcollaboration,itcouldindicatea“siloed”corporateculturethat

exposesthecompanytounnecessaryrisks.

Oneimportantcaveattotheabove:Howeveracompanydeterminesto

facilitatethelegaldepartment’sinvolvementindecisions,itshouldnotbedoneina

waythatnegatesindividuallawyers’accountabilitytothegeneralcounsel.Several

ofthenotablecorporatescandalshavebeenblamed,inpart,onalackof

accountabilitybetweenthegeneralcounselandthelineattorneyswhohadoften

seensignsofquestionablecorporateconduct.Inotherwords,theattorneyswho

reporteddirectlytobusinessleaderswerelesseffectiveinelevatingissuesof

concerntotheappropriatelevelswithinthecompany.Thereshouldbegeneral

counseloversight—perhapsadotted-linereportingstructure—overlawyers

assignedtothebusinessunitstoensureproperreportingofissuesofconcern.

Conclusion

Thefiveindicatorsaboveallreflectcurrentbestpracticesofcompanieswith

stronggeneralcounselandreputationsforhighintegrityandethics.These

indicatorscanalsobeusedaslitmustestsofcorporateculture.Giventheincredible

transformationofthecorporatelegaldepartmentoverthelastfewdecades,ACC

believeswearejustbeginningtoseethepositiveeffectsthatastronglegal

departmentcanhaveoncorporateculture.

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AboutACCanditsResearchACCisaglobalbarassociationofmorethan40,000in-housecounsel,employedby

over10,000organizationsin85countries.ACCpromotesthecommonprofessional

andbusinessinterestsofin-housecounselwhoworkforcorporationsandother

businessentities,associations,andnon-profitorganizationsthroughinformation,

education,networkingopportunities,andadvocacyinitiatives.ACCwasfoundedin

1982bygeneralcounselofsomeofthelargestandmostwidelyrespected

companiesintheUnitedStates,andhassinceexpandeditsreachtoin-house

counselacrosstheglobe.Astheworld’slargestassociationforin-housecounsel,

ACCoffersresearchandbenchmarkingofvarioustrendsinthein-houselegal

profession.

TheACCChiefLegalOfficers2017Surveyisthelargestglobalstudyofthechallenges

facingchieflegalofficersandgeneralcounselincorporatelegaldepartments.It

incorporatestheinsightsofnearly1,100generalcounselin42countries.

TheACCLawDepartmentManagementReportwasa2016studyofcorporatelaw

departmentsandtheiroperations.Thereportexploresoperationalfactorsdriving

modernlawdepartmentsandtheevolutionofthegeneralcounselrole.

Skillsforthe21stCenturyGeneralCounselwasa2013reportpublishedasajoint

effortofACCandtheCenterfortheStudyoftheLegalProfessionatGeorgetown

UniversityLawCenter.ThereportincorporatedasurveyofmembersoftheNational

AssociationofCorporateDirectors(NACD),aswellasaseriesofin-depthinterviews

withgeneralcounsel,boardmembers,executiverecruiters,andconsultants.

ThiswhitepaperwasauthoredbyACCCEOVetaT.RichardsonandDirectorof

AdvocacyandPublicPolicyMaryBlatch.FormoreinformationaboutACCorto

purchaseacopyofanyACCresearchreportorbenchmarkinginformation,please

visitwww.acc.com,oremailresearch@acc.com.