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When Image Is Everything: PR Firms in White Collar Cases

By Steven F. Reich

You are a public figure whose ability to earn a living depends upon your reputation for integrity and talent. Almost without warning, you become caught up in a highly publicized business scandal that threatens your livelihood and public image. The media's fascination with the details of the scandal has caused a public furor and led federal officials to open parallel criminal and civil investigations. You hear rumors that a Congressional committee is about to hold public hearings. You need help – and fast.

Although you are a sophisticated businessperson who deals with lawyers all the time, you have never been in trouble before and don't know many criminal defense lawyers. While your corporate counsel gathers recommendations, you turn immediately to your longstanding public relations firm and engage them to fight back in the court of public opinion. To get them up to speed, you tell them the true story behind what has been reported in the press. Days later, you finally hire a criminal defense lawyer and tell her the same version of events. When she asks whether you have told this tale to anyone else you say “only to my PR firm.” Your lawyer turns green and looks for the nearest window to jump out. She then explains that you have made a terrible mistake because nothing you said to your PR advisers is privileged.

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