The auditor should consider compliance and cooperation with legal counsel as an important element of the overall internal control structure. There should not be a system of internal control with strong compliance, risk management and internal audit activities and inefficient and ineffective legal advice. One of the most important activities in organizations is that carried out by legal departments. Its scope is quite broad, but little is generally known about how its work is conducted. It is difficult for auditors to examine the management of this area. Another point that should be evaluated by the auditors is the control of legal fees. Lawyers also have financial responsibilities, such as monitoring budgets and reporting on expenditures, so audits should focus on assessing controls that can reduce legal costs and improve departmental efficiency. The auditor may take a preliminary approach to the legal process to develop an idea. Problems can arise when the demand for services is informal and without clear parameters. The auditor must assess the inventory of legal services provided to the organization. Topics to consider include: You can now learn from the hands of top professional lawyers and deepen your knowledge with your client and audit advisor. Become a professional accountant and offer legal services.

Among other services, you can offer a legal audit with your accounting peers to provide the best services to the company that requests it. In this way, you can acquire all the knowledge and skills necessary to practice the profession of lawyer and advise your client on the legal examination. Therefore, and in view of the above, the directors of the Company remain fully informed on the basis of the auditors` reports in order to be able to fulfill the obligations and responsibilities of their position and; Indeed, the directors of the company are liable for the actions of this company towards third parties. These include: obliged to declare bankruptcy if the circumstances provided for by the law coincide, so that if they do not do so in time; Directors can be qualified as liable for these acts, and creditors and partners could demand from the director a personal and universal liability, that is: with all his present and future assets. Cooperation between legal and audit teams is particularly useful for the preparation and publication of financial statements. For this reason, it is important for an auditor to inquire about the following: Auditors (internal and external for organizations) are responsible for reviewing and controlling all accounting and financial information of a company, industry or institution. The aim is to ensure that this information is consistent and transparent and that a strategy is developed to improve the management of financial operations in the event of an inconvenience. In this context, the auditor should notify the entity requesting the report if litigation is pending; if a collective agreement is violated or is to be negotiated very soon; whether there are unpaid tax penalties; as well as the situation of unpaid debts to creditors; what contracts you have signed and, among other things, will enter into with the merger or purchase of this company.

An auditor should keep in mind that an audit report on the legal field can warn of situations that may constitute a source of legal liability for the company. The information collected and reported should highlight descriptive data and limit evaluative observations, in particular conjecture and opinions. It has great advantages because it provides legal certainty, it allows to know the company in its entirety and to have evidence in operation, as well as the protection of assets, as we have already said. In the course of the article we will see the characteristics of the legal auditor lawyer. When someone mentions that a company is subject to “legal review,” we first think they must have a suspicious business or an irregularity in their operations. This preconceived idea prevents us from seeing the different possibilities and advantages of legal control as a tool for improving the organization of the company. Therefore, the benefit is very beneficial for the audited company, as it will be able to implement action plans to solve any of its problems or shortcomings. In addition, it is also useful for shareholders and shareholders of a company; Because they will be able to know in detail the circumstances of the company in which they have part of their paid-up capital. For this reason, when conducting a legal audit, it is advisable to analyze all aspects and elements of a company. Not just from a civil or commercial point of view; but also from the point of view of labour law, social security, the financial and fiscal situation, the criminal and administrative situation, the contracts you have signed and the possibility of agreeing on other agreements.

Legal review is a tool used by all legal practitioners to prevent a business from being subject to legal proceedings because it helps correct deficiencies or errors that can cause problems that threaten the operation of that business. Among the activities that an auditor can develop when assessing the legal field is performing content tests to perform analyses. Like what. Development of legal fees from month to month and year to year. To improve data analysis, auditors can compare analysis results with comparable organizations within the same industry. Another criterion is whether the fees charged for legal services correspond to the legal services contract. Trend hours billed over time, sorted by lawyer and service type, can identify discrepancies. The auditor is responsible for evaluating all financial information. It is also responsible for drawing up a review and follow-up report.

In a situation of irregularity. It should inform the relevant stakeholders so that they can assess the extent of the gaps and their possible consequences. If you are unsure, consult legal counsel to determine whether or not it is appropriate to conduct an audit. A legal control consists of ensuring the validity of the company`s meetings in the context of its business activities or its relations with suppliers and customers. Next, we will see the main differences between the legal exam and the OHSAS 18001 certification, published the same year 2020, which has a remarkable impact on the functioning of work practices. This OHSAS 18001 certification replaces ISO 45001. Let`s talk briefly about the difference between statutory audit and OHSAS 18001 certification. But during the course development, we delve deeper into the differences we found. Lawyers or lawyers carrying out a statutory audit or lawyers must be completely independent of the company or institution they audit.

This happens just like the auditor, who must be a professional independent of the company. Finally, as a final step, constant monitoring of the operation of the company and the staff who work there is carried out.