Too often, internal investigators mistakenly conclude that their reports are for the exclusive review of decision-makers.  Sometimes, this may be true.  However, more often than not, there are two audiences of which an investigator should be mindful – a primary audience and a secondary audience. The primary audience is the immediate recipient(s) of the report.  This can be a manager, a human resources director, the general counsel’s office, the president or chief executive officer, an…

The importance of a prompt and thorough internal investigation is more evident than ever, and an effective investigation plan can protect the company’s interests when reviewing internal complaints.  Consider the following when developing an investigation plan. Take Necessary Immediate Action: When receiving a complaint, outline the issues involved to determine if there are any necessary immediate action items. Should the company separate the employees involved (e.g., implement schedule changes or a leave of absence, with an eye…

The Department of Justice Criminal Division has clarified its policy on the Department’s assessment of a company’s claim that it cannot afford to pay a criminal fine in a memorandum issued on October 8, 2019.  Criminal Division department head Brian Benczkowski had previewed the memorandum during a speech in September. While the DOJ already permitted corporate defendants to seek reduction of criminal fines, the Benczkowski memo sets forth more specific guidelines on the factors that…

A threshold issue in any internal investigation is the selection of an investigator.  A number of considerations will guide a company’s decision. Internal or External Investigator There are several factors to consider in selecting an investigator, and practical considerations frequently indicate that the investigation be conducted by an internal investigator.  However, employers often opt to engage external investigators for a variety of reasons, including high stakes or highly sensitive matters, investigations of a high-level officer,…

In today’s post #MeToo era, most companies, big or small, will likely need to conduct an internal investigation on an employee’s claims. Knowing how to conduct a successful internal investigation will help a company protect itself. Not only do internal investigations help avoid litigation, they may also improve employee morale, increase productivity, and oftentimes, end inappropriate conduct in the workplace. Here are several items to consider when preparing for and conducting effective internal investigations: Do:…

Codes of Conduct are designed to set forth an organization’s values and principles, while detailing expectations for employees. In many ways, it is one of the most important documents an organization can develop. At times, when an employer decides it needs to develop a Code, it often asks counsel whether there is a sample Code or boilerplate language the company can adopt. But is an “off-the-shelf” Code of Conduct really of any value to an…

In today’s climate, boards are under increased scrutiny and governance continues to be a key compliance function. As a result, sound governance practices are an important focus for organizations. Boards are expected to set organizational culture and foster an environment that encourages ethical conduct and a commitment to legal compliance. These expectations have played out in the wake of the #MeToo movement, with many boards reviewing their contribution to the company’s culture and their role…