12.4 - Manage legal and ethical issues
PCF ID: 11013 | Elements: 22 | Metrics Available: Y | Benchmarkable: 1
Definition
Managing legal practices to abide by the law, as well as ethical practices.
Overview
This process group covers manage legal and ethical issues within the broader context of Manage External Relationships.
Process Hierarchy
Processes
| ID | Process | PCF ID | Sub-elements | Metrics |
|---|---|---|---|---|
| 12.4.1 | Create ethics policies | 11044 | 0 | N |
| 12.4.2 | Manage corporate governance policies | 11045 | 0 | N |
| 12.4.3 | Develop and perform preventive law programs | 11046 | 0 | N |
| 12.4.4 | Ensure compliance | 11047 | 2 | N |
| 12.4.5 | Manage outside counsel | 11048 | 6 | N |
| 12.4.6 | Protect intellectual property | 11049 | 4 | N |
| 12.4.7 | Resolve disputes and litigations | 11050 | 0 | N |
| 12.4.8 | Provide legal advice/counseling | 11051 | 0 | N |
| 12.4.9 | Negotiate and document agreements/contracts | 11052 | 0 | N |
12.4.1 - Create ethics policies
PCF ID: 11044
Definition: Creating a code of ethics that communicate the organization's philosophy to employees, vendors, customers, clients, and the public.
12.4.2 - Manage corporate governance policies
PCF ID: 11045
Definition: Administering the system of rules, practices, and processes through which a company is directed and controlled. Balance stakeholder interests including shareholders, management, customers, suppliers, financiers, government, and the community. Outline a strategy for achieving organizational goals, from action plans and internal controls to performance measurement and corporate disclosure.
12.4.3 - Develop and perform preventive law programs
PCF ID: 11046
Definition: Creating and applying programs and activities. Encourage the adherence preventive laws, such as environmental law, sex discrimination, computer law, estate planning, corporate compliance, business planning, and property transactions.
12.4.4 - Ensure compliance
PCF ID: 11047
Definition: Ensuring the organization's compliance position. Validate compliance with different statutes, regulatory directions, and legal principles (using Establish compliance framework and policies [17468]). Coordinate with compliance and risk management personnel.
| ID | Activity | PCF ID | Tasks | Metrics |
|---|---|---|---|---|
| 12.4.4.1 | Plan and initiate compliance program | 11053 | 0 | N |
| 12.4.4.2 | Execute compliance program | 11054 | 0 | N |
12.4.4.1 - Plan and initiate compliance program
Definition: Employing an internal system or process to identify and reduce the risk of breaching the Competition and Consumer Act 2010. Remedy any breach. Create a culture of compliance. Design compliance programs.
12.4.4.2 - Execute compliance program
Definition: Implementing the established compliance program in order to meet the government laws and regulations. Create a compliance team that scrutinizes the rules set out by government bodies such as the Securities and Exchange Commission.
12.4.5 - Manage outside counsel
PCF ID: 11048
Definition: Managing professionals, sought externally for assistance over legal and ethical concerns. Administer and oversee assistance from subject matter experts and professionals for sourcing expert opinion and counseling over legal and ethical matters.
| ID | Activity | PCF ID | Tasks | Metrics |
|---|---|---|---|---|
| 12.4.5.1 | Assess problem and determine work requirements | 11056 | 0 | N |
| 12.4.5.2 | Engage/Retain outside counsel if necessary | 11057 | 0 | N |
| 12.4.5.3 | Receive strategy/budget | 11058 | 0 | N |
| 12.4.5.4 | Receive work product and manage/monitor case and work performed | 11059 | 0 | N |
| 12.4.5.5 | Process payment for legal services | 11060 | 0 | N |
| 12.4.5.6 | Track legal activity/performance | 11061 | 0 | N |
12.4.5.1 - Assess problem and determine work requirements
Definition: Examining the problems and deciding the action requirements for engaging outside counsel. This process element calls upon the organization to internally analyze the issues for which assistance from external counsel is needed. Additionally, the organization needs to break-down the issue, identifying the tasks and exercises where outside counsel can help.
12.4.5.2 - Engage/Retain outside counsel if necessary
Definition: Recruiting the assistance of outside counsel for any legal and/or ethical concerns. Engage and/or retain any external counsel sought from subject matter experts and professionals.
12.4.5.3 - Receive strategy/budget
Definition: Making a financial plan. This strategy sets out, using figures, an organization's expected future results. Enlist the finance function to support work generated by other business functions in order to build and secure their support for the budget.
12.4.5.4 - Receive work product and manage/monitor case and work performed
Definition: Receiving deliverables from outside counsel, and monitoring the efforts committed by them. Track the progress of, collect, and validate the required work product from the subject matter experts and professionals engaged as external counsel. Verify the amount of effort dedicated by these counsels to the issue at hand, in order to confirm their fees.
12.4.5.5 - Process payment for legal services
Definition: Making payments to legal advisers for their services. Payments include addressing issues or suits by customers, suppliers, competitors, bankers, government agencies, etc.
12.4.5.6 - Track legal activity/performance
Definition: Keeping track of the legal activities and performance of the organization.
12.4.6 - Protect intellectual property
PCF ID: 11049
Definition: Safeguarding the intellectual property of the organization. This process requires the organization to protect a wide variety of intellectual property created by it. It involves creating and managing non-disclosure agreements (NDAs), following up on current developments in the areas where the organization holds patents, tracking the use of the organization's copyrighted material, creating and upholding licensing terms, and administering policies for safeguarding intellectual property.
| ID | Activity | PCF ID | Tasks | Metrics |
|---|---|---|---|---|
| 12.4.6.1 | Manage copyrights, patents, and trademarks | 11062 | 0 | N |
| 12.4.6.2 | Maintain intellectual property rights and restrictions | 11063 | 0 | N |
| 12.4.6.3 | Administer licensing terms | 11064 | 0 | N |
| 12.4.6.4 | Administer options | 11065 | 0 | N |
12.4.6.1 - Manage copyrights, patents, and trademarks
Definition: Managing the patents and copyrights already held or sought by the organization. Administer and oversee applying for, securing, and maintaining intellectual property rights in the form of patents and copyrights. Submit applications for such rights. Handle associated legal issues. Draft and communicate proper attributions. Collect royalties. Monitor any misuse of the intellectual property rights.
12.4.6.2 - Maintain intellectual property rights and restrictions
Definition: Managing the upkeep of intellectual property rights by creating and managing a framework of rules, policies, procedures, and restrictions. Outline a clear policy for any possible scenario of their use by any external agent.
12.4.6.3 - Administer licensing terms
Definition: Administering and overseeing the terms and policies associated with licensing the organization's intellectual property. Create and manage the policies and terms governing the possible granting of a license to any external agent. Demarcate a clear framework that governs the licensing of any patents or copyrights held by the organization.
12.4.6.4 - Administer options
Definition: Managing options regarding licensing agreements. Follow favorable terms and conditions.
12.4.7 - Resolve disputes and litigations
PCF ID: 11050
Definition: Resolving disputes or civil lawsuits internally or externally.
12.4.8 - Provide legal advice/counseling
PCF ID: 11051
Definition: Providing legal advice concerning the substance or procedure of a law in relation to a particular situation.
12.4.9 - Negotiate and document agreements/contracts
PCF ID: 11052
Definition: Negotiating terms to reach a final draft of a contract that is acceptable to all parties.
Change Summary (v7.2.1 vs v6.1.1)
Changes indicated by:
+XXXXX- New element added-XXXXX- Element removedcXXXXX- Element changedNEW- Newly introduced
Complete Element List with Definitions
All 22 elements
| ID | Name | Definition |
|---|---|---|
| 12.4 | Manage legal and ethical issues | Managing legal practices to abide by the law, as well as ethical practices. |
| 12.4.1 | Create ethics policies | Creating a code of ethics that communicate the organization's philosophy to employees, vendors, cust... |
| 12.4.2 | Manage corporate governance policies | Administering the system of rules, practices, and processes through which a company is directed and ... |
| 12.4.3 | Develop and perform preventive law progr... | Creating and applying programs and activities. Encourage the adherence preventive laws, such as envi... |
| 12.4.4 | Ensure compliance | Ensuring the organization's compliance position. Validate compliance with different statutes, regula... |
| 12.4.4.1 | Plan and initiate compliance program | Employing an internal system or process to identify and reduce the risk of breaching the Competition... |
| 12.4.4.2 | Execute compliance program | Implementing the established compliance program in order to meet the government laws and regulations... |
| 12.4.5 | Manage outside counsel | Managing professionals, sought externally for assistance over legal and ethical concerns. Administer... |
| 12.4.5.1 | Assess problem and determine work requir... | Examining the problems and deciding the action requirements for engaging outside counsel. This proce... |
| 12.4.5.2 | Engage/Retain outside counsel if necessa... | Recruiting the assistance of outside counsel for any legal and/or ethical concerns. Engage and/or re... |
| 12.4.5.3 | Receive strategy/budget | Making a financial plan. This strategy sets out, using figures, an organization's expected future re... |
| 12.4.5.4 | Receive work product and manage/monitor ... | Receiving deliverables from outside counsel, and monitoring the efforts committed by them. Track the... |
| 12.4.5.5 | Process payment for legal services | Making payments to legal advisers for their services. Payments include addressing issues or suits by... |
| 12.4.5.6 | Track legal activity/performance | Keeping track of the legal activities and performance of the organization. |
| 12.4.6 | Protect intellectual property | Safeguarding the intellectual property of the organization. This process requires the organization t... |
| 12.4.6.1 | Manage copyrights, patents, and trademar... | Managing the patents and copyrights already held or sought by the organization. Administer and overs... |
| 12.4.6.2 | Maintain intellectual property rights an... | Managing the upkeep of intellectual property rights by creating and managing a framework of rules, p... |
| 12.4.6.3 | Administer licensing terms | Administering and overseeing the terms and policies associated with licensing the organization's int... |
| 12.4.6.4 | Administer options | Managing options regarding licensing agreements. Follow favorable terms and conditions. |
| 12.4.7 | Resolve disputes and litigations | Resolving disputes or civil lawsuits internally or externally. |
| 12.4.8 | Provide legal advice/counseling | Providing legal advice concerning the substance or procedure of a law in relation to a particular si... |
| 12.4.9 | Negotiate and document agreements/contra... | Negotiating terms to reach a final draft of a contract that is acceptable to all parties. |
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