Does Your Business Need "General Counsel"?

The term "general counsel" evokes images of a well-dressed, silver haired (and silver tongued) lawyer employed by a fortune 500 company dispensing counsel and advice on a wide variety of business related legal issues. The stereotype is far off the mark, as the "general counsel" is just as likely to be a lawyer representing a start up or small privately held company who is not employed by the company at all, but serves as "general counsel" from outside. In fact, most closely held businesses do not have in-house general counsel but rely on a seasoned business lawyer from the outside to function in that capacity.

Who is your general counsel?

When the president or CEO of a closely held company says "I better call my lawyer" or asks a subordinate to "run that past our lawyer", the lawyer he is talking about is very likely the company's general counsel. It is not so much that the lawyer has the title "general counsel", but rather functions in the capacity of the experienced business lawyer, trusted by his or her business client, versed in several business areas and with the good sense and knowledge to decide when a more specialized attorney is required. Typically, he or she will have a strong background in corporate and entity organization and governance, and a firm understanding of the law relative to rights and obligations of stockholders, directors, officers, members and managers. General counsel also usually will be able to advise on a variety of employment and human resources related issues as well as providing negotiation and drafting services for a variety of contracts.

The general counsel shares a unique relationship with the business he or she represents. He or she knows the business and has a fundamental understanding of the industry in which the client engages. He or she may have had numerous dealings with the business over the years and likely has a special understanding of the legal needs of the business, and both client and counsel will have developed a certain level of comfort in communicating with one another.

The benefits of this relationship to the client cannot be overstated. There is a benefit in having your general counsel know your business. There is a cost benefit realized by the savings of having counsel who will not need to "get up to speed" in order to commence representation and there is a comfort benefit in knowing that your attorney is a long-time trusted member of the team. For all of these reasons, it is both cost effective and sensible to engage general counsel regardless of the size of your business.

Parker | Scheer, LLP is general counsel to a number of businesses in the Boston metropolitan area. Should we be able to help you in your business law needs please contact Barry Scheer or telephone us at (617) 886-0500.

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Contact Parker|Scheer Business Lawyers

For more information on Massachusetts business law or if you are seeking a Boston business lawyer for any other needs, please contact Barry Scheer. If you prefer, you can also telephone our offices in Boston seven days a week at toll free 866-414-0400.

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