The Legal Deficit: Absence Of In-House Legal Teams In Indian Companies
- IJLLR Journal
- Feb 23
- 1 min read
Kaustubh Goswami, Advocate
Dr. Richa Shrivastava, Associate Professor, SAGE University Indore
1. ABSTRACT
This research examines the effects of Indian enterprises' lack of in-house legal counsel on regulatory compliance monitoring. The study investigates the effects of this disparity on timeliness, operational inefficiencies, financial penalties and non-compliance rates. By employing a mixed-methods approach, the study pinpoints the difficulties brought about by this problem and suggests workable solutions to lessen its effects. The findings are intended to give Indian companies information on how to leverage internal legal knowledge to improve operational performance and regulatory compliance.
2. Introduction
A crucial component of corporate operations is regulatory compliance, particularly in India, where companies face a complex and dynamic legal environment. Substantial penalties, hiccups in business operations, and reputational damage might arise from noncompliance. Many Indian companies rely solely on external legal advisors, lacking the immediate support of in-house legal counsel, despite the significance of compliance. One of the areas that has become more and more important in the dynamic Indian corporate sector is regulatory compliance. The process by which businesses base their operations and strategies on the legal and regulatory frameworks established by the government and regulatory bodies is known as regulatory compliance. By definition, for businesses hoping to attain sustainability and expansion, regulatory compliance, compliance management, and the implementation of a compliance management system have become essential components of their operations. Therefore, it is crucial for everyone involved in the Indian business ecosystem, not only compliance officers and company executives.
