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The role of hiring corporate legal counsel

The role of hiring corporate legal advisors

Introduction: With the development of our country's economy, one of the most obvious trends in modern enterprises is the legalization and formalization of management models. That is to say, we use legal means to protect our legitimate rights and interests as much as possible in economic transactions and economic life, and resist and combat illegal infringements. To achieve this goal, it is necessary to set up a legal advisor in the enterprise. I will focus on the status of legal advisors in modern enterprises. Without a sound legal system, there will be no complete and successful market economy.

According to statistics, because nearly 80% of small and medium-sized enterprises in my country have not hired legal advisors, small and medium-sized enterprises lose trillions of dollars every year due to inadequate legal precautions. Many companies believe that legal advisors do not need to be kept on a regular basis and are part of the company's "cost-saving" part. However, many companies have paid several times or even hundreds of times the price in order to "cut costs". How can enterprises and operators avoid legal disadvantages in economic interactions and avoid unnecessary conflicts and losses? Hiring legal advisors is undoubtedly one of the solutions. Legal advisors can not only protect the legitimate rights and interests of the parties to the greatest extent, but also provide legal advice in daily business, and strive to build a shield for enterprises to prevent risks, so as to prepare for rainy days and prevent problems before they happen. How to maximize the role of legal advisors in enterprises, enhance the awareness and ability of small and medium-sized enterprises to prevent legal risks, safeguard the legitimate rights and interests of small and medium-sized enterprises, and create a healthy and orderly economic environment will be of urgent practical significance.

1. The necessity of hiring permanent legal advisors

Maybe you think that your company has no problems and does not need a lawyer. Don’t forget that this is a society ruled by law. In such a society, the law is like air. We cannot feel its existence, but we are inseparable from it. Shopping malls are like battlefields. Using legal means to resolve business risks, improve market competitiveness, and establish and improve a modern corporate legal advisory system in accordance with the law are urgent issues that need to be solved by current corporate leaders. Although we know the importance of legal advisors, in real life many companies have not formed the awareness of hiring legal advisors all year round. They only think of finding their own counsel when the company encounters a lawsuit. As a result, the role of the counsel is limited to helping the company fight. lawsuits, and as a result, companies have lost a lot of business opportunities they deserve or caused a lot of unnecessary trouble.

The role of corporate legal counsel goes far beyond helping companies with lawsuits or reviewing contracts. The legal services provided by a competent consultant lawyer to consulting companies are no longer to provide remedial litigation relief after disputes or losses occur to the consulting unit, but to provide the consulting unit with targeted, advanced, and preventive measures in a timely manner. The professional legal security system tries to avoid the occurrence of disputes and losses. As the "legal health doctor" of the consulting unit, we provide high-quality, efficient, honest, diligent and conscientious legal services, and regard the legal rights and interests of the consulting unit as supreme. Through professional legal services, legal consultants assist companies in establishing risk prevention mechanisms to prevent and resolve business risks, allowing companies to develop on a safe platform.

Hiring legal advisors will help companies obtain more comprehensive, thoughtful and detailed legal services at any time, thereby avoiding the confusion and drawbacks of companies rushing around to find lawyers when legal problems arise. Helps to improve the image of the company: After customers know that the company with which they are doing business has hired a legal consultant, they will inevitably think that the company is an honest, law-abiding, and legitimate business company, which will greatly enhance the customer's Trust in the enterprise greatly promotes the success of business negotiations. At the same time, the presence of legal advisors will also encourage customers to perform contracts more seriously and faithfully. It is helpful for enterprises to avoid, prevent and reduce business risks. In the process of development of enterprises, there are a large number of legal risks (part of business risks) and business traps. The role of legal advisors is to help companies avoid and resolve legal risks and nip them in the bud.

Hiring legal advisors can better facilitate transactions and avoid transaction risks: The Chinese tradition is to make friends first and then discuss cooperation. The arrangement and trade-off of the interests of both parties are often hindered by It is difficult to clarify feelings, which often leads to disputes. At this time, the legal consultant comes forward as a third party with legal expertise to clarify the rights and obligations of both parties with complete legal documents. While ensuring the safety of transactions and cooperation, it also takes care of the feelings of both parties. It can be said that it has the best of both worlds. beautiful.

2. The issue of legal consultant fees

Knowing the importance of legal consultants, savvy business leaders will definitely consider the issue of legal fees.

Is the lawyer’s fee high or not? This issue needs to be viewed dialectically. There is a concept in human resource management: good employees are free. It’s not that you don’t pay these employees, but that the value created by these employees has far exceeded their salary, submerging their salary. Lawyers are like the best employees in the company. Think about it, who in your company, including the boss, can spend several years studying law? Can they conduct legal training every year? Go in and out of court hundreds of times every year? Draft thousands of contracts every year? Conduct hundreds of legal trainings every year Negotiations? I’m afraid no employee can do this. This is the advantage of lawyers. If a company trains such an employee, it may cost tens of thousands per year but it may not reach such a professional level. This is the advantage of lawyers: professionalism and excellent value for money.

3. After the enterprise hires a lawyer as a legal advisor, the lawyer will provide the following legal services according to the actual needs of the enterprise:

1. Provide a full range of legal services and provide legal advice to the enterprise at any time and legal advice, and provide relevant information and interpretation of relevant legal provisions to the enterprise according to the requirements of the enterprise, so that the enterprise can obtain timely and effective legal help;

2. At the request of the enterprise, prepare and issue lawyer's letters and issue legal documents

3. Draft, review, and modify economic contracts;

4. At the request of the enterprise, participate in important economic and business negotiations between the enterprise and third parties, and formulate negotiation strategies and plans. Draft and approve business contracts;

5. Conduct legal analysis and argumentation on major business decisions and major projects of the enterprise, and provide legal opinions;

6. Draft, review, and modify labor contracts, and assist The enterprise handles labor relations;

7. Draft and revise the enterprise contract management system, standardize the management and use of contracts;

8. Draft and revise the enterprise personnel management system, and standardize the recruitment of employees , training, welfare and other labor and personnel management;

9. Draft and revise the enterprise's financial management system to eliminate loopholes in financial management;

10. Draft and revise the enterprise's warehousing and logistics management system , reduce enterprise operating costs and improve work efficiency;

11. Draft other rules and regulations and operational legal documents to enhance the quality of the enterprise itself, make business activities comply with legal requirements, and bring internal management into the legal track Role;

12. Provide legal courses, provide legal guidance, and teach basic knowledge of contracts and risk prevention awareness to corporate managers and sales staff;

13. Provide industrial and commercial information to newly registered enterprises Draft and review registration materials, articles of association and other legal documents;

14. Review the company's trademark registration, patent applications and other legal documents related to intellectual property, and provide lawyer advice on related legal matters;

15. Provide guidance on legal matters involving corporate industrial and commercial administration and tax regulations;

16. Participate in corporate board meetings and analyze and demonstrate legal issues involved in board meetings;

17. Provide lawyer advice on the legality of the company's corporate governance structure (including board of directors structure, shareholders' meeting structure, and board of supervisors structure). ;