The Traditional Role of the Legal Department in Solving Disputes
When the going gets tough, the business is asking the Legal Department for advice, help and support. Management wants to get an evaluation of the risks and/or opportunities of the dispute, based on either the law or the contract.
It is the role of the Legal Department to provide such advice. In case external advice is needed, the Legal Department selects the external law firm[111] and provide the interface between the external lawyers and the business. External advice might be required for the following reasons:1. the in-house Legal Department cannot provide the requested expertise (area of law or jurisdiction), or
2. the in-House Legal Department does not have sufficient resources to provide the legal advice within the required time frame, or
3. a second opinion is required.
In the event, the dispute cannot be solved through negotiation, the Legal Department advises on the next possible steps to be taken in order to resolve the dispute. Usually the in-house counsel will check the dispute resolution clause of the underlying contract and will advise accordingly. In case disputes do not relate to contracts, the in-house counsel will check the applicable law and advise accordingly.
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