Cost containment
Given what can be at stake in internal investigations, many companies aren’t comfortable cutting corners. On the other hand, you want to avoid what…
July 22, 2011 at 03:00 AM
7 minute read
Given what can be at stake in internal investigations, many companies aren't comfortable cutting corners. On the other hand, you want to avoid what one lawyer calls “the Avon situation,” in reference to the company's $130 million (and still ongoing) internal investigation into potential Foreign Corrupt Practices Act violations. “The cost of that investigation seems insane in relation to what appears to be the underlying conduct and the amount of money the company makes. It doesn't make any sense to me at all,” the lawyer says.
Limiting the scope of the investigation, possibly with the government's involvement, can help. According to Weil, Gotshal & Manges Partner Steven Tyrrell, if you are cooperating with the government, “educate them to the cost of the investigation and why it doesn't make sense for the company to unnecessarily spend millions and millions of dollars looking into things that aren't relevant.”
And avoiding the necessity of redoing work can save money as well. “One of the best ways to cut costs is to do things correctly right from the start,” says Rachel Skaistis, a litigation partner at Cravath, Swaine & Moore.
NOT FOR REPRINT
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
Trending Stories
- 1The Law Firm Disrupted: For Big Law Names, Shorter is Sweeter
- 2Wine, Dine and Grind (Through the Weekend): Summer Associates Thirst For Experience in 'Real Matters'
- 3The 'Biden Effect' on Senior Attorneys: Should I Stay or Should I Go?
- 4'That's Disappointing': Only 11% of MDL Appointments Went to Attorneys of Color in 2023
- 5'You Are Not Alone': 120 Sex Assault Victims Plan to Sue Sean 'Diddy' Combs
Featured Firms
Law Offices of Gary Martin Hays & Associates, P.C.
(470) 294-1674
Law Offices of Mark E. Salomone
(857) 444-6468
Smith & Hassler
(713) 739-1250