Law.com Subscribers SAVE 30%

Call 855-808-4530 or email [email protected] to receive your discount on a new subscription.

Preserving the Privilege In the Corporate Setting

By Jonathan S. Feld and Kevin Connor
June 01, 2021

With government oversight intensifying, internal investigations are an essential tool for companies evaluating whistleblower allegations, as well as an important part of due diligence in preparation for a business acquisition or sale. Assessing the risks and liabilities of a potential transaction requires frank and open communication between the parties, including legal counsel. Understanding the scope and limitations of this privilege in transactional settings and who "holds" it is vital to its preservation.

The U.S. Supreme Court's decision in Upjohn v. United States, 449 U.S. 383, 392-95 (1981), confirmed the attorney-client privilege for business entities. Upjohn extends the scope of the company's privilege to attorney-client communications with managers and directors, and employees. Corporations rely on this privilege when conducting sensitive internal investigations. As the Upjohn court itself noted, an investigation in which corporate attorneys can only talk to managers is unlikely to yield meaningful information. Although Upjohn set the standard for the application of the attorney-client privilege within a corporation, it did not provide guidance on whether, or when, the privilege passes from one corporate entity to another.

This premium content is locked for Entertainment Law & Finance subscribers only

  • 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

For enterprise-wide or corporate acess, please contact Customer Service at [email protected] or 877-256-2473

Read These Next
New York's Latest Cybersecurity Commitment Image

On Aug. 9, 2023, Gov. Kathy Hochul introduced New York's inaugural comprehensive cybersecurity strategy. In sum, the plan aims to update government networks, bolster county-level digital defenses, and regulate critical infrastructure.

Law Firms are Reducing Redundant Real Estate by Bringing Support Services Back to the Office Image

A trend analysis of the benefits and challenges of bringing back administrative, word processing and billing services to law offices.

Bit Parts Image

Summary Judgment Denied Defendant in Declaratory Action by Producer of To Kill a Mockingbird Broadway Play Seeking Amateur Theatrical Rights

The Bankruptcy Hotline Image

Recent cases of importance to your practice.

How AI Has Affected PR Image

When we consider how the use of AI affects legal PR and communications, we have to look at it as an industrywide global phenomenon. A recent online conference provided an overview of the latest AI trends in public relations, and specifically, the impact of AI on communications. Here are some of the key points and takeaways from several of the speakers, who provided current best practices, tips, concerns and case studies.