The Problem: You are the CEO of a publicly traded company that has been rocked by a highly publicized scandal. When the story first broke, your General Counsel told you that the company had to hire an outside law firm to conduct an internal investigation.
Internal Investigations and Outside Auditors
The Problem: You are the CEO of a publicly traded company that has been rocked by a highly publicized scandal. When the story first broke, your General Counsel told you that the company had to hire an outside law firm to conduct an internal investigation. She also told you that the report of the internal review might have to be turned over to DOJ and the SEC if those agencies insisted on having a copy. You worried about whether plaintiffs in the inevitable shareholder lawsuits would claim that they, too, were entitled to copies of the report, but you deferred to the judgment of your General Counsel and authorized the internal review. Now a new issue has arisen. Long before DOJ or the SEC asks for the results of the internal investigation, and well before a single shareholder suit is filed, your General Counsel gets a call from your company's outside auditor saying that they want a copy of the internal review. You ask your General Counsel whether providing the report to your auditor will waive its privileged status. She says the answer probably is "no." Is your General Counsel right?
By
Steven F. ReichThis premium content is locked for Business Crimes Bulletin subscribers only
ENJOY UNLIMITED ACCESS TO THE SINGLE SOURCE OF OBJECTIVE LEGAL ANALYSIS, PRACTICAL INSIGHTS, AND NEWS IN Business Crimes Bulletin
- Stay current on the latest information, rulings, regulations, and trends
- Includes practical, must-have information on copyrights, royalties, AI, and more
- Tap into expert guidance from top entertainment lawyers and experts
Already have an account? Sign In Now
For enterprise-wide or corporate access, please contact Customer Service at [email protected] or call 1-877-256-2473.
