{"id":355,"date":"2015-10-25T14:00:00","date_gmt":"2015-10-25T13:00:00","guid":{"rendered":"https:\/\/hub.findingsimple.com\/au\/being-the-moral-compass-for-your-corporation\/"},"modified":"2022-08-03T16:04:28","modified_gmt":"2022-08-03T05:04:28","slug":"being-the-moral-compass-for-your-corporation","status":"publish","type":"post","link":"https:\/\/insight.thomsonreuters.com.au\/legal\/posts\/being-the-moral-compass-for-your-corporation","title":{"rendered":"Due North: Being the Moral Compass for Your Corporation"},"content":{"rendered":"

How can in-house counsel balance their moral and legal obligations as the voice of reason for their corporations?<\/p>\n

All in-house legal counsel wear many hats \u2013 it\u2019s par for the course in return for the reward of a varied legal role and the chance to play an integral part in a thriving business.<\/p>\n

However, as legal transactions become more complex and regulated, one of those hats is clearly labelled \u2018moral conscience of the company\u2019. So how can corporate counsel espouse ethical outcomes while pursuing business objectives and watching the bottom line?<\/p>\n

Beyond the black letter of the law<\/strong><\/span><\/p>\n

In March 2015, during a keynote address at the Australian Corporate Lawyers Association\u2019s Corporate Counsel Day, Professor Gillian Triggs declared that the role of in-house corporate counsel has evolved to include ethical considerations, as well as strict legal functions.<\/p>\n

\u201cIn-house counsel have a wider role,\u201d Professor Triggs said<\/a>. \u201cThey have a duty to their client and their company, but it is a duty trumped always by the higher duty of the rule of law and to act in an ethical way,\u201d<\/p>\n

Sounds pretty intense, right? Well, as the right-hand man or woman of the company\u2019s CEO, that\u2019s the level you need to play at to perform the role well while adhering to your professional standards.<\/p>\n

Triggs urged corporate counsel to \u201cgo beyond the black letter of the law\u201d and confirmed that counsel needs to play \u201ca strong and necessary independent role, like a moral compass guiding the institution towards ethical behaviour along with wealth creation for shareholders.”<\/p>\n

What exactly does \u2018ethics\u2019 mean for in-house players and how do you walk that very fine line?<\/p>\n

The ethical tightrope<\/strong><\/span><\/p>\n

Let\u2019s first remember that law is never practised in a moral vacuum, and corporate counsel are no different to any other kind of practitioner.<\/p>\n

Sir Gerard Brennan once said that ethics cannot be reduced to rules: \u201cEthics are not what the [lawyer] knows he or she should do; ethics are what the [lawyer] does. They are not so much learned as lived. Ethics are the hallmark of a profession, imposing obligations more exacting than any imposed by law and incapable of adequate enforcement by legal process. If ethics were reduced merely to rules, a spiritless compliance would soon be replaced by skillful evasion.\u201d (Bar Association of Queensland, CLE Lectures, 3 May 1992)<\/p>\n

However, it can be hard to manage these ethical responsibilities while also helping to grow your business and avoid the quagmire of strict laws, regulations and red tape. The recent spate of Royal Commissions and ICAC inquiries have revealed that it’s imperative for lawyers to practise law with a sense of moral fortitude.<\/p>\n

So what do you need to consider in order to act as the \u2018moral compass\u2019 of your company?<\/p>\n

Critical considerations<\/strong><\/span><\/p>\n

The Queensland Law Society<\/a> has identified three critical questions a lawyer should ask when considering how ethics play a part in their overall function:<\/p>\n