scan_doc0012- article in lex witness feb 2015
TRANSCRIPT
1. Attitude of Disputing Parties• Non compromising • Willingness to compromise• Stubbornness • Negotiate
Lack of Communication• Poor communication • Keep open channels of2.• Misunderstanding communication.
Acting by emotion and not reason• Decisions taken in heat of moment. • Think rationally and with a3.• Emotions cloud objectivity cool mind.
4. Cost• Play an important role in deciding • Economics of Litigation weighswhether or not to litigate. merit.
• Cause damage to a Company's • Proper handling of media,5. Reputation/Goodwill reputation and standing particularly external agencies to avoid fallout
within Industry/Employees/Peers. of brand.
-s: Leads to
6. Distraction from core work area • Waste of time • Channelise energies to prevent• Emotional stress fallout.• Reduced productivity
.counselcorner
Litigation Management
FACTORS WHICH GOVERN LITIGATION
BACKGROUNDLitigation across the world has become
very complex, time consuming andexpensive. Judiciary is burdened with ~cases which often drag on for number ofyears. This poses a serious challenge toorganisations to do business.My three decades of experience as a
General Counsel has taught me thefollowing methods of LitigationManagement which is explained below forall. Hope you all benefit by the same.
counsel corner
In Summary I recommend thefollowing:
STEPS: ORGANISATION NEEDS TO TAKE TO MINIMISE RISK OF LITIGATION ANDUSHER IN CORPORATE COMPLIANCE.
Following steps can help:
1. Leadershipa. Proper Communication with all concernedb. Identification of high risk marketsc. Creation of Compliance Committee
2. Standards & Controls:
a. Due Diligence for screening business collaboratorsand third parties including strict compliance incontracts.b. Establishing sound internal controls systems.
3. Training Periodic training to allincluding Board.
4. Policies & Procedures
a. Regular up dation of Company Policies &Proceduresb. Standard Templates for employees, Process Ownersdealing with Company. Uniformity will helpremove/reduce subjectivity.c. Include Litigation provisions in contractsalongwith clauses on indemnity, natural disastersetc.d. Mandatory mediation and conciliation provisionsbefore arbitration.e. Abstraction mechanism and clause.f. Parties to be bound by neutral experts opinion.
B. GENERAL
a. Speed in taking decisions and having a fasterreview process which conforms to the businessstructure and categorises all anticipated risks.b. Empathy with customer can lead to amicablesolution.c. Avoid working with litigious parties.d. Mediation through use of impartial parties toresolve issues.e. Ethics- An ethical conduct would also win.f. Emphasis on written documentation.
SIX STEPS TO PREVENT /MINIMISELITIGATION1. Rapport and communication between
External Agencies and Company/Intermediaries go a long way towardsbetter understanding.2. Rationale on behalf of Company/
Intermediaries in what is being doneshould be adequately documented withall available documentary supports.3. Records should be prepared carefully,
be complete, accurate, legible, relevant,timely and generously informative.4. Remarks being made with External
Agencies should be made with a certaindegree of caution.5. Treat External Agencies with respect,
empathy and a humanistic approach.6. Results of the outcome of reports
should be shared carefully with theExternal Agencies to satisfy them of fairprocess involved. ~
S. RamaswamyEVP-GroupGeneralCounsel, EscortsLimitedand President of ICCA.
Disclaimer- The above article is based on author'sresearch and his views.
A Lex Witness Counsel Connect Initiative ." February 2015 I Lex WITNESS I 49
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