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Re: Action regarding Liability insurance

Subject: Re: Action regarding Liability insurance
From: Dick Margulis <margulisd -at- comcast -dot- net>
To: "TECHWR-L" <techwr-l -at- lists -dot- techwr-l -dot- com>
Date: Mon, 02 May 2005 17:05:53 -0400




Sherry Michaels wrote:

Corporate attorneys are
expending their expertise making sure *their* clients are protected, and
that is their only concern.


That raises an interesting point. Corporate attorneys work _for_ and answer _to_ somebody--the CEO, generally. There are plenty of dysfunctional companies, as we all know; and some of them express this dysfunction by giving the lawyers way more power than they should have to govern the day-to-day business decisions of the company. So, like Sherry, I can't blame anyone who gives such a company a wide berth.

However, the standard transaction when an attorney becomes an obstructionist is for the CEO to thank the attorney for his or her advice and then accept the risk of proceeding with the transaction the old-fashioned way. It seems to me that it's always worth contacting a senior executive, before walking away altogether, to make it clear that the particular requirement (whether it has to do with E&O insurance or another issue) is onerous and is depriving the company of the opportunity to avail itself of your services. If you cast the letter as "just letting you know about a situation you may not have been aware of" and keep it friendly and professional, you might be pleasantly surprised by the result. The worst that can happen is that the recipient will thank you for your opinion and ask you to mind your own business--which leaves you no worse off than if you simply withdraw silently.

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References:
Re: Action regarding Liability insurance: From: Sherry Michaels

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