Attorney Client Privilege With Board Of Directors In Virginia
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There are two major exceptions to the lawyer-client privilege under the California Evidence Code, as discussed below. 2.1. Crime or fraud. 2.2. Preventing death or substantial physical harm.
"The power to waive the corporate attorney-client privilege rests with the corporation's management and is normally exercised by its officers and directors." Weintraub, 471 U.S. at 348; see also, ABA/BNA Lawyer's Manual, at 05; United States v.
The court held that “just as the attorney-client privilege itself survives the death of the client for whose benefit the privilege exists, the right to waive that privilege in the interest of the deceased client's estate also survives and may be exercised by the decedent's personal representative.”
A lawyer serving as an outside director has the same duty of care as any other outside director, and the same exposure to liability. The lawyer's skill and knowledge must be brought into the boardroom in the interest of the corporation.
"The power to waive the corporate attorney-client privilege rests with the corporation's management and is normally exercised by its officers and directors." Weintraub, 471 U.S. at 348; see also, ABA/BNA Lawyer's Manual, at 05; United States v.
Legal advice privilege protects client/lawyer communications from the time the communication is made until it is waived either by the client or by some other person such as a successor, who is entitled to do so. If there is no one to do so, the privilege, having been established, is absolute and remains in existence.
Crime or Fraud Exception. If a client seeks advice from an attorney to assist with the furtherance of a crime or fraud or the post-commission concealment of the crime or fraud, then the communication is not privileged.
Instead, board minutes, or portions of board minutes, can be privileged under US law when they capture legal advice rendered either by in-house lawyers or external lawyers or discussions of ongoing litigation. Board participants should be aware of the potential for a waiver of the privilege.
Board minutes often contain information that is subject to the attorney-client privilege and that directors may prefer to keep confidential. However, most jurisdictions allow stockholders to inspect corporate books and records, including board minutes.
The privilege extends only to communications that the client intends to be confidential. Communications made in non-private settings, or in the presence of third persons unnecessary to accomplish the purpose for which the attorney was consulted, are not confidential and therefore are not protected by the privilege.
