I visited Gyeongbokgung Palace in Seoul the other day with a friend who is quite knowledgeable not only about the Joseon Dynasty in general but about the palace in particular. What he pointed out was that the palace is built to certain specifications with the palace layout and structures reflecting the importance of symbols, rituals and geomantic beliefs, etc. (more…)
In Korea, it is vital that you take proactive steps to protect your trade secrets. A properly drafted confidentiality agreement which contains a restrictive covenant can be an effective tool for preventing trade secret disclosure. But what is meant by the term "restrictive covenant?" (more…)
Trade Secrets- Are You Protected?.....We live in a competitive world. The extent to which a company is able to protect its trade secrets is an important factor in its overall ability to survive and prosper. In the employment context, complicated legal issues arise when a departing employee is in a position to use and/or disclose confidential information to a competitor. 
To Save Time and Money Select Your Predispute Strategy Before The Dispute!
In today’s hectic unsympathetic world, little time is spent on dispute resolution strategies prior to the start of a dispute. Little thought is given on how to handle negotiations prior to negotiating. Companies or organizations do not think about arbitration strategies as well as preventive measures prior to initiating arbitration. In fact, very few companies train employees on predispute strategies nor on how to select dispute resolution strategies before the dispute arises.
Selecting a predispute strategy can save time and money. Predispute arbitration or predispute mediation provisions can be used to strategically impact the cost and timing of resolving the dispute. Other contractual provisions can also be used to impact the dispute resolution process such as liquidated damages or attorney fees and costs provisions requiring the loser to pay attorneys’ fees. This is one form of predispute strategy- making it harder or more costly for the other side to prosecute a claim or to defend the dispute resolution strategy. But there are other benefits as well.
Training employees to use pre-dispute resolution strategies not only encourages people to proactively handle disputes- ie resolve the dispute before it occurs, but it forces them to carefully consider the advantages and disadvantages of each form of dispute resolution prior to deciding on which form of dispute resolution to use. Each form of dispute resolution, such as negotiations or mediation (or even litigation) has its merits. And, of course, each form has its disadvantages as well. Spending time carefully considering the strategy before having to implement it allows one to consider various issues such as cost and expense, time considerations, enforcement, applicability and in cases of arbitration or litigation- relevant laws and the forum of the dispute. In some cases negotiations or even use of an ombudsman may be efficient.
Each situation has a certain level of risk and each company or even individual has a certain level of risk tolerance. In fact, a Board of Directors may have a different risk appetite than the management of a company. Selecting a pre dispute strategy helps all relevant parties in the organization or company discuss the risk involved with the various dispute resolution strategies. In this regard, when discussing pre dispute resolution strategies it may be helpful to use a decision tree to map out the various dispute resolution strategies and the risk as well as cost involved.
Disputes arise in many commercial as well as non commercial situations. Some disputes may require litigation some may not. However, the more one is prepared prior to the actual dispute itself, the more efficient and less costly the dispute resolution process may in fact become. Therefore, prior to a dispute arising, select your predispute resolution strategy.
Arbitration in Korea- A new arbitration hub in Asia
Anyone doing business in Korea knows that alternative dispute resolution ( ADR) is gaining popularity in Korea. This is especially true of arbitration which has seen a dramatic increase in the number of arbitration cases over the last few years. (more…)
In the late 1300s, once the Chosun Dynasty was founded, work began in the new captial of Korea ( Seoul) which inlcuded the building of the inner and outer walls. The inner walls were built through the 4 major mountians surrounding Seoul, inlcuding Mt. Inwang. Because the wall foundations were very well built and because most of the wall was built through the mountains, much of it ( as evidenced by the picture of the wall on Mt. Inwang) still remains. In fact, the Seoul City inner wall, is the longest survivng wall of any major city in the world- relativley untouched by invasions and war. Whether a wall survives the test of time, depends on several factors. The same can be said for corporations. Corporations survive for the long term if the company is properly managed, if the business plan is updated with the times, if the product or service keeps up with demand and of course, if the risk management processes are robust enough to handle the numnerous areas of risk that the company will, most often than not, encounter.
Have you looked at your risk management processes lately? How robust are they? How strong are they? Have they stood the test of time like the wall on Mt. Inhwang, or are they outdated like some of the processes used by investment banks in 2008?
When considering which processes to use or update, remember to conduct periodic risk assessments that monitor the effectiveness of the risk management processes. Only through a process of continuous risk assessments can a company effectively manage risk by identifying weaknesses in the system, which helps it to effectively maintain a robust risk management program.
What steps has your organization taken recently to conduct a comprehensive risk management program? Has it reviewed all critical corporate processes and procedures? When evaluating risk assessments in order to minimize risk, especially legal risk, specific goals or objectives should be established in which to judge the risk assessments that have been completed. What are the goals or objectives, if any, that have been established? When determining the objectives to evaluate risks, what specific processes or tools are in place to obtain those objectives? All of these questions must be answered.
Remember, legal risk management processes must be properly applied in order to provide risk management expertise and to prevent losses due to claims, litigation, investigations and fines. Such processes should include:
1. A periodic risk assessment of the company's operating divisions and departments,
2. The development of solutions to risk management issues,
3. Oversight of the company's outstanding claims and litigation,
4. Compliance review,
5. Training programs, and
6. Monitoring of compliance issues
Only with a proper implementation of a robust risk managment process can a company expect, with all things considered, to last like the Seoul City Wall on Mt. Inwang. Without it, the company like a wall , may come tumbling down.
