Legal risk


Also found in: Wikipedia.

Legal risk

The risk associated with the impact of a defect in the documentation on cash flow or debt service.

Legal Risk

The potential loss that may occur to an investment as a result of insufficient, improperly applied, or simply unfavorable legal proceedings in the country in which the investment is made. For example, a country may have inadequate bankruptcy protection or, in an extreme circumstance, the government may be able to seize property without provocation. On the other hand, legal risk exists even in countries that operate under the rule of law: a court, for instance, may find against a company in a given lawsuit, creating a precedent for other companies with similar operations.
References in periodicals archive ?
July 28, 2014 /PRNewswire/ -- With the increasing number of businesses requiring employees to have legal risk management training, the University of California, Irvine Extension announced today a new Legal Risk Management Specialized Studies Program, which will provide professionals with the tools necessary to analyze an organization's exposure to risk and determine how to best handle such exposure through identification, assessment and prioritization.
The automation legal reference; a guide to legal risk in the automation, robotics and process industries.
We are extremely pleased to have worked with Campbell Nash on developing a product which has the potential to revolutionise how sophisticated businesses handle legal risk with their suppliers.
But a new trend looks to make legal risk management part of an enterprise's core competitiveness.
Well, one common example of a legal risk is if an important contract is not performed properly, a customer could end up sustaining substantial losses which they then try to recover from you.
Robert Jay QC, counsel to the inquiry, asked him: "In your view, were there deficiencies in News International's systems for identifying and assessing legal risk, particularly in the context of potential reputational harm for the company?
Legal Risk in the Financial Markets, by Roger McCormick, 2006, Oxford, UK: Oxford University Press, pp.
The guide also helps employers reduce their legal risk on areas covered by the Disability Discrimination Act.
Making choices based on most to least risky, or whatever method the firm chooses; the risk areas will be quantified, and the drivers or root causes of the legal risk in the various activities will be determined.
LIVERPOOL law firm Legal Risk has launched a guide to compliance with the money laundering legislation.
By managing the complete IP lifecycle, the new Nextance suite gives "unique visibility into the entire IP asset inventory in order to more effectively optimize revenue and mitigate legal risk related to IP," the company says.
Gamble, president of Emerging Market Strategies, designed the book to help investors understand a crucial, but ignored, component of investment risk: the legal risk.