An inside counsel revolution of increasing scope and power has transformed business and law over the past 30-plus years in two important ways. Inside the corporation, the general counsel has often replaced the law firm senior partner as the primary counselor for the CEO and board of directors on core issues such as compliance, governance and risk. The GC’s stature is now comparable to the chief financial officer’s because the health of the corporation requires that it navigate complex and fast-changing law, regulation, politics and more across the globe. Outside the corporation, the GC’s role has also grown in importance, with a significant shift in power from outside law firms to inside law departments over matters and money.
Below are five considerations that GCs take into account as they allocate resources across diverse corporate issues. Law firms are important, but only part of the analysis, especially if their economic models stubbornly continue to focus on law firm goals—rather than client goals—and if their vision is too narrow to help the general counsel fulfill her role in top management.
