Abstract

http://ssrn.com/abstract=1932398
 


 



Getting (Too) Comfortable: In-House Lawyers, Enterprise Risk and the Financial Crisis


Donald C. Langevoort


Georgetown University Law Center

November 22, 2011

Georgetown Law and Economics Research Paper No. 11-27
Georgetown Public Law Research Paper No. 11-135

Abstract:     
In-house lawyers are under considerable pressure to "get comfortable" with the legality and legitimacy of client goals. This paper explores the psychological forces at work when inside lawyers confront such pressure by reference to the recent financial crisis, looking at problems arising from informational ambiguity, imperceptible change, and motivated inference. It also considers the pathways to power in-house, i.e., what kinds of cognitive styles are best suited to rise in highly competitive organizations such as financial services firms. The paper concludes with a research agenda for better understanding in-house lawyers, including exploration of the extent to which the diffusion of language and norms has reversed direction in recent years: that outside lawyers are taking cognitive and behavioral cues from the insiders, rather than establishing the standards and vocabulary for in-house lawyers.

Number of Pages in PDF File: 29

Keywords: lawyers, ethics, financial crisis

JEL Classification: K22, K00

Accepted Paper Series


Download This Paper

Date posted: November 23, 2011  

Suggested Citation

Langevoort, Donald C., Getting (Too) Comfortable: In-House Lawyers, Enterprise Risk and the Financial Crisis (November 22, 2011). Georgetown Law and Economics Research Paper No. 11-27; Georgetown Public Law Research Paper No. 11-135. Available at SSRN: http://ssrn.com/abstract=1932398

Contact Information

Donald C. Langevoort (Contact Author)
Georgetown University Law Center ( email )
600 New Jersey Avenue, NW
Washington, DC 20001
United States
202-662-9832 (Phone)
202-662-9412 (Fax)
Feedback to SSRN


Paper statistics
Abstract Views: 1,355
Downloads: 248
Download Rank: 69,549

© 2014 Social Science Electronic Publishing, Inc. All Rights Reserved.  FAQ   Terms of Use   Privacy Policy   Copyright   Contact Us
This page was processed by apollo2 in 0.281 seconds