Adaptable and Resilient Law Departments Add Value

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Adaptable and Resilient Law Departments Add Value
Business Development
Adaptable and Resilient Law
Departments Add Value
By Richard G. Stock, M.A., FCIS, CMC, Partner with Catalyst Consulting

This is the twenty third in a series of articles about how corporate and government
law departments can improve their performance and add measurable value to their
organizations.

                                                              eMagazine • www.legalbusinessworld.com • 23
Adaptable and Resilient Law Departments Add Value
In October, I had the opportunity to interview      no reduction in the assignment of the usual
  six Chief Legal Officers about the current state    matters to firms. Finally, there have been no
  of their law departments and about the outlook      metrics applied specifically to the law depart-
  for the next six months. Approximately 70% of       ment this year. Instead, health and safety for
  non-government law departments in Canada            members of the law department has been a
  have 5 or fewer lawyers. So, I chose from this      primary focus.
  cross-section while tapping into six different
  industries - pipelines, office and business sup-    Shari Hosaki is Vice-President, General Coun-
  plies, publishing, food, architectural/engineer-    sel and Corporate Secretary with Toronto-
  ing design, and a currency foreign exchange         based Harper Collins-Harlequin Canada, a pub-
  company.                                            lishing house owned by NewsCorp. Her team of
                                                      lawyers and contract administrators supports
  My usual categories of inquiry covered work-        transactions for the editorial groups, oversees
  flows and workloads, the relationship of the law    copyrights and trademarks, and manages libel
  department with business units, law depart-         cases when they arise - Mary Trump’s book
  ment resources, performance, and the relative       with another publisher being a case in point.
  use of external counsel.
                                                      Shari explained how the COVID-19 environ-
  Rob Van Walleghem is Vice-President and             ment greatly accelerated the use of technology
  General Counsel with Calgary’s Trans Moun-          in the law department, in dealing with both
  tain, the company now twinning the pipeline         business units and authors and entirely replac-
  from Edmonton to the Pacific coast. Not with-       ing paper and couriers. Legal will continue
  out controversy, the project should be complet-     working from home until the end of October.
  ed by the end of 2022. The relationships be-        Like the Trans Mountain team, the law de-
  tween the law department and the business           partment needs to be more disciplined about
  units are strong. As a member of the company’s      managing its work volumes and its practice
  executive team, as well as its Corporate Secre-     habits to better ensure everyone’s well-being.
  tary, Rob has been going into the office since      Reliance on external counsel continues to be
  July. The remainder of the workforce has been       selective and specialized.
  at 30 % capacity (Phase 1) and is now moving to
  Phase 2 – always subject to developments in         Harper Collins-Harlequin’s publishing business
  public health.                                      is also changing because of the pandemic. Of
                                                      note, there are more audio books, e-books, and
  Workflows are constant and the legal team has       direct on-line sales. Privacy and data security
  managed well. But Rob remarked that there is a      have also made a call on the company’s legal
  lack of distinction between the office and home     resources.
  when working remotely. It is a challenge to en-
  sure that the amount of work done at home is        Joel Levesque is McDonalds Canada’s Vice-
  not excessive. While there has been no need to      President and General Counsel. The legal team
  refer overflow work to external counsel, there is   is collegial and focuses on real estate,

24• eMagazine • www.legalbusinessworld.com
franchising, commercial contracts, advertis-        created a host of employment law issues.
ing, relationships with suppliers, and the full     Alice Abbott is Global General Counsel with
range of human resource issues affecting its        Associated Foreign Exchange (AFEX), a
almost 10 000 employees in Canada. Joel ex-         Toronto-based provider of global payment and
plained that being part of a global company         risk management solutions for currency
allows McDonalds Canada to learn from its           drafts, wire transfers and risk management
other markets during the pandemic and cus-          tools – for its corporate clients. Fleetcor is list-
tomize its 2020 business plan for Canada. It        ed on the S&P 500 and recently announced its
then seemed practical to move to a recovery         acquisition of AFEX, a transaction that should
mode after three months. Business planning          close in early 2021.
for 2021 is now well underway.
                                                    Alice has one member of her legal team based
Webex and other communication technologies          in Sydney, Australia while the rest are in
have been used extensively. IT and digital          Toronto. There has been no change in the reg-
technologies are playing a greater role. It is      ular workflow or workloads for the law de-
expected that there will be more work for the       partment but Alice’s personal focus has been
law department in the new business model, all       on the closing the deal with Fleetcor. Manag-
the while respecting the principles of safety for   ing expectations with business units has been
employees and clients. External counsel will        especially demanding, with workdays regularly
see more work in certain categories, such as        exceeding 12 hours. Part of this is explained by
leased sites.                                       the need to support clients on five continents
                                                    and 24 time zones.
The IBI Group is a Toronto-based global ar-
chitectural, engineering, planning, design and      As General Counsel of Staples Canada, Terrie-
technology firm focused on the cities of tomor-     Lynne Devonish’s law department has been
row. Steven Kresak is General Counsel and           active 7 days a week. With 10,000 employees
Corporate Secretary. There has been an in-          across the country, activity since March has
crease in the legal work to support contract        extended from how best to open up safely to
negotiations and it is anticipated that the new     managing supply chains, special projects, and
level of work will continue for the foreseeable     the development of new business.
future.
                                                    Terrie explained that access to remote tech-
Steve explained that the initiatives making up      nologies was already in place across the com-
its 2020 business plan were paused from April       pany, allowing the legal team to easily work
to July, when business as usual resumed. Re-        from home.
lationships with business units around the
world have been very positive. The IBI Group        It even made a secondment based in Edmon-
plans on being more selective in assigning          ton for the Toronto-headquartered law de-
claims-related work to external counsel. Like       partment entirely practical. There has not
many other companies, the pandemic has              been much change in the amount and type of

                                                                         eMagazine • www.legalbusinessworld.com • 25
use of external counsel.                         About the Author
                                                   Richard G. Stock, M.A., FCIS, CMC is the senior
  The six GCs and their legal teams have been      partner with Catalyst Consulting. The firm has
  resilient and adaptable with an increased fo-    been advising corporate and government law
  cus on getting business done in an unprece-      departments across North America, Europe,
  dented work environment. It is easier to ap-     the Middle East and Australia since 1996. For
  preciate the value of each law department, re-   law department management advice that
  gardless of its size and industry sector.        works, Richard can be contacted at (416) 367-
                                                   4447 or at rstock@catalystlegal.com.
                               ******

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26• eMagazine • www.legalbusinessworld.com
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