*/
Acourt ruling on legal professional privilege during EU cartel investigations has sparked concern across the legal profession.
In Akzo Nobel Chemicals and Akcros Chemicals v European Commission (Case C-550/07 P), the ECJ ruled that internal communications by in-house lawyers are not protected by legal professional privilege in EU competition law investigations.
Sir Christopher Bellamy QC, senior consultant at Linklaters, said: “This is a disappointing judgment. In modern circumstances the primary enforcer of competition law is often the in-house lawyer. In my view, that role should be strengthened, not weakened.”
Des Hudson, chief executive of the Law Society, said in-house lawyers were “the front-line guarantor of compliance” and companies would only ask difficult or sensitive questions when they knew they could do so in confidence.
European Commission officials seized correspondence between employees and in-house counsel during a 2003 anti-competitive investigations raid on Akzo Nobel’s Manchester offices. The company unsuccessfully argued that the documents were protected by privilege.
Geraldine Elliott, head of commercial litigation at Reynolds Porter Chamberlain LLP, said companies will wonder why European law trumps long-held national legal traditions and creates this kind of anomaly: “The court concluded that as a result of the in-house counsel’s ‘economic dependence’ on his employer he does not enjoy a level of professional independence comparable to that of lawyers in private practice ... In-house counsel at businesses where European competition investigations are a realistic prospect will have to be very careful about writing down anything that could be used against the company in the event of an investigation,” she added.
In Akzo Nobel Chemicals and Akcros Chemicals v European Commission (Case C-550/07 P), the ECJ ruled that internal communications by in-house lawyers are not protected by legal professional privilege in EU competition law investigations.
Sir Christopher Bellamy QC, senior consultant at Linklaters, said: “This is a disappointing judgment. In modern circumstances the primary enforcer of competition law is often the in-house lawyer. In my view, that role should be strengthened, not weakened.”
Des Hudson, chief executive of the Law Society, said in-house lawyers were “the front-line guarantor of compliance” and companies would only ask difficult or sensitive questions when they knew they could do so in confidence.
European Commission officials seized correspondence between employees and in-house counsel during a 2003 anti-competitive investigations raid on Akzo Nobel’s Manchester offices. The company unsuccessfully argued that the documents were protected by privilege.
Geraldine Elliott, head of commercial litigation at Reynolds Porter Chamberlain LLP, said companies will wonder why European law trumps long-held national legal traditions and creates this kind of anomaly: “The court concluded that as a result of the in-house counsel’s ‘economic dependence’ on his employer he does not enjoy a level of professional independence comparable to that of lawyers in private practice ... In-house counsel at businesses where European competition investigations are a realistic prospect will have to be very careful about writing down anything that could be used against the company in the event of an investigation,” she added.
Acourt ruling on legal professional privilege during EU cartel investigations has sparked concern across the legal profession.
Sam Townend KC explains the Bar Council’s efforts towards ensuring a bright future for the profession
Giovanni D’Avola explores the issue of over-citation of unreported cases and the ‘added value’ elements of a law report
Louise Crush explores the key points and opportunities for tax efficiency
Westgate Wealth Management Ltd is a Partner Practice of FTSE 100 company St. James’s Place – one of the top UK Wealth Management firms. We offer a holistic service of distinct quality, integrity, and excellence with the aim to build a professional and valuable relationship with our clients, helping to provide them with security now, prosperity in the future and the highest standard of service in all of our dealings.
Is now the time to review your financial position, having reached a career milestone? asks Louise Crush
If you were to host a dinner party with 10 guests, and you asked them to explain what financial planning is and how it differs to financial advice, you’d receive 10 different answers. The variety of answers highlights the ongoing need to clarify and promote the value of financial planning.
Most of us like to think we would risk our career in order to meet our ethical obligations, so why have so many lawyers failed to hold the line? asks Flora Page
If your current practice environment is bringing you down, seek a new one. However daunting the change, it will be worth it, says Anon Barrister
Creating advocacy opportunities for juniors is now the expectation but not always easy to put into effect. Tom Mitcheson KC distils developing best practice from the Patents Court initiative already bearing fruit
Sam Townend KC explains the Bar Council’s efforts towards ensuring a bright future for the profession
The long-running fee-paid judicial pensions saga continues. The current cut-off date for giving notice of election to join FPJPS is 31 March 2024, and that date now gives rise to a serious problem, warns HH John Platt
