Don’t Treat the Company as a Cash Cow

The Law Middle East edition kindly asked for my comments on what makes Legal Counsel tick when it comes to engaging external law firms.

This article is credited to Law Middle East

The role of general and senior legal counsel is, arguably, more challenging than ever before, with the advancement of technology, issues around cybersecurity, ESG considerations, and rising geopolitical tensions just some of the matters front of mind for in-house lawyers at large companies.

In this series, we gather the views of prominent in-house lawyers who shed light on what they want outside counsel to know to better assist them. From pain points during the panel review process to ways law firms can help their company save time and money such as effective project management—they don’t hold back!

In the second of the series, Rizwan Mughal, senior legal counsel based in Dubai, shares the common mistakes law firms make, and how they can achieve a successful working relationship with in-house teams.

Rizwan Mughal, Senior Legal Counsel, Dubai:

“The worst approach any external counsel can adopt when dealing with in-house legal counsel is to treat the company as a cash cow. This is probably more the case in the UAE than in any other jurisdiction I’ve instructed counsel in, but I’m sure it’s a common faux pas globally. I’ve received fee estimates from external lawyers, and I can’t believe they haven’t the foresight to understand that fostering a long-term relationship, and securing continuous work, is a bigger win than an inflated fee for an initial instruction. The relationship doesn’t often recover from this short-sightedness, as it breaks down any desire to form a commercial relationship.Inefficient use of time is another bug bear. In-house legal teams have never been more stretched. I’ve worked on litigation, arbitration, M&A, and Sales Purchase Agreements, all in the same week. Throw in an employment disciplinary case to round it off. The role of an in-house lawyer varies, and can also include providing strategic advice at board level. We haven’t got time for unnecessary sales chat, or lengthy conference calls. Meetings should be kept to an absolute minimum and they need to be managed efficiently. Emails are preferable.The best external counsel are ones who recognise the need to be flexible and that the success of navigating the intricate legal landscape relies heavily on synergy between both sides. Like any solid relationship, there needs to be clear and open communication, shared goals, collaboration, adaptability and a feedback loop. Achieving this will result in longevity in the relationship. Both teams will be unstoppable, resulting in a shared and continued success.”

This is credited to Law Middle East.