Internal Investigations: When Less Can Be More, or at Least Better by Jonathan S. Sack

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One of the toughest moments for in-house counsel is the walk into a senior executive’s office to say that the company has a “problem” and needs to do an “investigation.” The attorney and the executive know that an investigation will likely be distracting and expensive and may very well be divisive, with serious consequences for the company.

Nevertheless, the prospect of an internal investigation need not be daunting, much less threatening – unless, of course, senior management knows that the investigation will reveal serious wrongdoing, in which case identifying and fixing the problem is necessary. In the vast majority of cases, the issues are manageable – or turn out not to be problems at all – and under these circumstances investigations can be turned into opportunities, not merely unpleasant burdens.

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DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

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