Event Report
High quality project management can strengthen client
relationships and reduce risk in international transactions
Project management can often involve ‘firefighting’ and cost cutting, and this can prevent legal
teams from implementing necessary changes during the execution of a project
Effective legal project
management can strengthen law
firm-client relationships and
help mitigate risks, particularly
in relation to cross-jurisdictional
deals, attendees heard at an event
stages in Miami by The Latin
American Lawyer.
Such risks can relate to
internal issues, such as whether
the company being acquired is
regulated or not, or they could
concern whether or not approval
for the transaction will be
necessary. In addition, the risks
may relate to whether any legal
clauses, such as labour laws, will
affect the company – evaluation
of such risks can avoid the buyer
losing key staff, post-transaction,
participants were told.
‘Think global, act local’
Attendees at the event – which
was organised in collaboration
with Eversheds Sutherland Nicea
– heard that it is important that
general counsel take both a micro
and a macro approach to deals in
order to evaluate risks both at a
local “on-the-ground” level, and at
a global level when a transaction
is cross-border. One of the event’s
key conclusions was that general
counsel need to “think global and
Ana Cid, Eversheds Sutherland
Nicea and María Aguado Magallón,
Caterpillar Inc.
www.thelatinamericanlawyer.com
Nicola Brookes, Simon Masters from Evershed Sutherland
act local”.
Legal project management
involves defining projects, as well
as planning, budgeting, executing,
and evaluating legal matters – but
despite its benefits, it typically
involves ‘firefighting’ and cost
cutting, and this often prevents
legal teams from implementing
necessary changes during the
execution of a project, panellists
heard.
Establishing order
Project management enables
general counsel to establish order
in what could potentially be
chaotic situations, especially when
coordinating legal work across
multiple jurisdictions. One of the
aims of project management is to
use all legal management data to
make informed decisions.
Data protection and compliance
are important issues that need
to be taken into account during
an M&A transaction. Such issues
amount to an “internal risk” as
it needs to be established that
the company being acquired is
sufficiently transparent. However,
there are also important external
risks that need to be evaluated
such as how any potential
acquisition could impact on the
company’s clients.
Reasons for failure
Another important factor that
needs to be taken into account
is the timeframe for completion
of the transaction – many M&A
deals fail because they are not
completed within a specific
timeframe, attendees heard.
Meanwhile, the risks change as
a project develops, and such an
environment requires a high level
of organisation among the external
law firms involved as well as the
in-house teams.
Understanding the priorities
when involved in a deal is
crucial to ensure transactions are
successful. It is important to be
aware of what is important to
the company’s shareholders and
management, as well as what is
important ‘on the ground’ in the
different jurisdictions, panellists
agreed.
Event: The power of project
management for GCs with an
international scope
Location: Miami, US
In collaboration with: Eversheds
Sutherland Nicea
December 2018 • THE LATIN AMERICAN LAWYER • 11