Curran Tomko Tarski LLP Providing Practical Solutions to Complex Legal Issues Legal Audits Please click on the following link to view Curran Tomko Tarski's
Legal Audit Power Point Presentation. More than ever, businesses and their principals face extreme scrutiny from regulatory agencies, potential purchasers and investors. As a result, legal audits play a critical role in enhancing a company’s valuation and managing its risks. In a typical legal audit, the lawyers at Curran Tomko Tarski will: - Become familiar with the company, its objectives and its goals
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Review records, business practices and legal documents -
Identify legal deficiencies and recommend solutions -
Establish a legal compliance and risk mitigation program. It is prudent for the company to hire a law firm with lawyers experienced in various practice areas to perform the legal audit. At CTT, we provide this experience and depth. Of course, establishing and maintaining confidentiality is of utmost importance in any legal audit. The focus and duration of the legal audit will vary depending on a host of factors, including the parameters set by the company, the size of the company, the products or services offered and whether the company is publicly traded. Furthermore, the need for a legal audit varies from company to company. -
Companies that often (a) change business platforms, (b) routinely contract or expand or (c) experience a high employee turnover rate should obtain a legal audit on a periodic basis as part of a routine check-up. -
Legal audits should be performed when critical events occur, such as the firing or hiring of key employees or when peculiar business practices are noted. In fact, it is prudent for incoming C-level executives to conduct a legal audit in order to discover any undisclosed issues left by his/her predecessor. -
Legal audits are of tremendous value to companies at the pre-transaction stage (for example, before the company offers to sell stock or assets). At this stage, the legal counsel performing the legal audit can proactively “swab the deck” for legal issues that could adversely affect the overall valuation of the company’s assets or its stock if not corrected. Legal audits should be a common business practice for any company owner, principal, director or key executive. To learn more about this area of preventative law, please contact Mike Tarski or Rich Marshall. |
