If you are a law student or aspiring to be one, you must have noticed that corporate law is a well-sought after career in the legal field. A successful career in corporate can be very lucrative and prestigious. It is the backbone of the Indian economy and contributes to 53% of the country’s Gross Domestic Product (GDP).[1]
Reasons for growth in corporate law:
There are a plethora of reasons for a flourish in the corporate sector, some of which are given below:
- Demand and Supply:
Owing to the economic advancement there is a huge demand for corporate lawyers; especially in the M & A, IBC and Dispute Resolution sectors. Corporate lawyers are also required for litigation and due diligence related tasks. Organizations are constantly searching for qualified and skilled legal professionals to assist their firm.[2]
- Remuneration:
The remuneration and pay scale in corporate spaces are quite high and it gets substantially better with the ascension of the corporate ladder. The reason for such high salaries can be attributed to the fact that they want to attract the best talent and experts in their firms.
- Prestige associated with a law firm job:
Apart from being a high paying job, corporate lawyers also get to develop their personality and reputation in this field. For someone who is deeply interested in core legal matters, corporate work can be intellectually fulfilling as well. Moreover, corporate lawyers usually handle a variety of clients, national as well as international depending on the assignment. This builds confidence and adds to excitement at the workplace.
- Vast career options:
The scope of this sector is immense. A corporate lawyer can be a part of any commercial enterprise vertical, like insurance, advertising, food, luxury, government, and even telecom too.[3] As a corporate lawyer your job can be flexible too. Corporate lawyers can have the choice to either work for one firm solely or even choose to represent different organisations as third party Consultants.[4]
Where do corporate lawyers work?
There are multiple places where corporate lawyers can work. Some of these places are listed below:
- Law firms:
Working in a law firm as a corporate lawyer may include drafting agreements for Mergers & Acquisitions, Joint Ventures and Corporate law related matters. Nowadays, a good number of students completing their undergraduation in law prefer to opt for a position at a law firm. [5]
- Corporate litigation:
This area consists of tort and contract related to a number of different practice areas. Corporate litigation entails a plethora of tasks which include but are not limited to:
- Deceptive or Fraud Practices
- Employer and Employee Dispute
- Violation of Contract
- In-house counsel:
In-house lawyers are basically an employee of a particular company or organisation and handle issues specific to that company. The reason why more and more lawyers are opting for in-house counsel is there is no pressure to recruit new clients. The area of work under this can be the transactions, accusations and contract.
- Regulatory bodies:
Corporate lawyers can work in regulatory bodies such as the Securities and Exchange Board of India (SEBI), Reserve Bank of India (RBI), Insurance Regulatory and Development Authority of India (IRDAI), Competition Commission of India (CCI) and Pension Fund Regulatory and Development Authority (PFRDA).[6] Corporate lawyers working under governmental regulatory bodies have to maintain surveillance, ensure compliance of the laws, and perform litigation work such as drafting notices, representing on cases and advising the government on important issues.
Scope of Corporate Law:
The following would be considered under the scope of corporate law:[7]
- External contact of companies through commercial transactions
- Internal contact of corporates and companies via corporate governance
- Safeguarding legality of commercial transaction
- Representing and advising corporations
- Overseeing litigation and investigations
- Facilitating mergers and acquisitions
- Managing international trade issues
Specific Laws under corporate sector:
This sector is relatively new and contains a number of specializations. However as a corporate lawyer expertise of only one or two is enough. Let’s have a look at the several areas under corporate laws:
- Banking and Finance:
A corporate lawyer working in this area may be required to manage the drafting and vetting of the mortgage deed, loan agreements and various other documents.[8] There are many areas under this: Project and Leveraged Finance, Debt Restructuring, Acquisition Finance, Syndicated Lending, and Structured Products. The type of institutions under this sector can include public & private sector banks, financial institutions, multinationals, and non-banking financial companies.[9]
- Corporate Restructuring:
This area can be defined as reorganization of the structure of an organization to ensure maximum profit and efficiency. In this area a corporate lawyer has to restructure the organization while complying with all corporate laws. Since the companies want maximum profit, lawyers are required at all the states of restructuring. Knowledge of Section 230 to section 240 of the Companies Act, 2013 is required to deal with arrangements, amalgamations and mergers. Law Firm management is also an upcoming field under Corporate Law.
- Insolvency and Bankruptcy:
Corporate lawyers under this area are required to have the knowledge of the priority of processes, rights of the debtors, the litigation issues before the NCLT, and the ability to recommend the other feasible solutions before declaring bankruptcy.[10] They have to adhere to the provisions mentioned under the Insolvency and Bankruptcy Code, 2016.
- International Capital Markets:
Law firms are often appointed by companies for issuing the shares, investors, brokers, investors, mutual funds, and AIF’s and complying with the regulations of SEBI.[11] Corporate lawyers working under this sector deal with Underwriters, FIIs, Banks, Venture Capitalists, and Asset Management Companies. They also advise clients on Initial Public Offerings, Private Placements, Qualified Institutional Placements, Foreign Currency Convertible Bonds, Global Depository Receipts and other high-value transactions.[12]
- White collar crimes:
Whenever a company is accused of violating the statutory provisions resulting in criminal punishment, they hire the law firm. The lawyers of the form now enter into litigation to secure the bail for the director or come up with their defence.[13] Many top law firms in India are specialised in handling the White Collar crimes. In this field Section 447 of the Companies Act and Companies Rules of 2017 are relevant.
- Dispute Resolution:
Dispute resolution under corporate law would require: [14]
- Disputes of shareholders and rights of the minority shareholders
- Decision making procedure such as preparation of the agenda for meetings.
- Power of the board of directors to sell the company.
- Terms of Article of Association (AOA).
- Power of the bank to regulate the company affairs.
How to secure a Corporate law job:
Justice Chandrachud said:
“The quest for a high-paying job at a law firm does not end with gaining admission into a law school. Students interested in gaining employment in the corporate legal sector fashion their choice of courses, their extracurricular activities, as well as the internships they pursue, in a manner that would make them attractive candidates for recruitment—a corporatization of education.”[15]
It is clear from this that the electives selected in law college, internships and even the kind of publications a student manages to secure become a deciding factor to secure a corporate law firm job.
Top Corporate Law firms in India Shardul Amarchand Mangaldas & Co., Trilegal India, Khaitan & Co., Sagar Associates, DSK Legal, AZB & Partners, Anand & Anand Vaish Associates etc.
To be a successful corporate lawyer a student must have good communication expertise, numerical skills, enterprise consciousness, a sense of responsibility, ethical pondering and research expertise.[16]
Even a Corporate Law firm job has its cons!
It is important to note that a Corporate Law Firm job may sound very glamorous but it comes with its own cons. A lot of young lawyers in the corporate sector have talked about tremendous stress and anxiety that they have faced while working. It is true that sometimes corporate workplaces are accompanies by excessive working hours and stress, leading to a negligible work-life balance. Here is an excerpt from one of the articles written by a corporate firm lawyer:
“It is hardly surprising, then, that mental health disorders are rampant amongst law firm employees; as is drug use. Within merely six months of graduating from college, and joining the banking and finance team at a Tier I firm, I burnt out completely.”[17]
Hence it is imperative that as a law student you make an informed choice about your career. Whatever sector you choose you should be aware of its pros and cons. The next step should be to start preparing beforehand in terms of internship, publications and work experience. However even if you are already a law graduate remember: it’s never too late to start!
[1] Aastha Jain, The Scope and Ambit of Corporate Law in India, IPLEADERS, https://blog.ipleaders.in/career-corporate-law-need-know/, (available at 19 September, 3:40 PM).
[2] Corporate Law: Scope of Growth in Career, CACLUBINDIA, https://www.caclubindia.com/articles/scope-of-growth-in-career-43814.asp, (available at 19 September, 7:08 PM).
[3] 5 reasons why Corporate Law is a lucrative career option for budding lawyers, INDIA TODAY, https://www.indiatoday.in/education-today/jobs-and-careers/story/corporate-law-as-a-career-legal-career-1689704-2020-06-16, (available at 19 September, 3: 23PM).
[4] Supra, note 4.
[5] Supra, note 1.
[6] Supra, note 1.
[7] Career in Corporate Law – All you need to know, INDIA TODAY, https://www.indiatoday.in/education-today/jobs-and-careers/story/career-in-corporate-law-all-you-need-to-know-1524468-2019-05-14, (available at 19 September, 3:40 PM).
[8] Amy Jones, Seven Practice Areas for Specialisation of a Corporate Lawyer, INDIAN LAW WATCH, https://indianlawwatch.com/practice/seven-practice-areas-for-specialisation-of-a-corporate-lawyer/, (available at 19 September, 4:32 PM).
[9] Supra, note 1.
[10] Supra, note 3.
[11] Supra, note 3.
[12] Supra, note 1.
[13] Supra, note 3.
[14] Supra note 3.
[15] The Future of the Indian Legal Profession, HARVARD LAW SCHOOL CENTER, https://thepractice.law.harvard.edu/article/future-indian-legal-profession/, (available at 19 September, 7:00 PM).
[16] A career in Corporate Law – All you should know, INDIA LEGAL ALIVE, https://www.indialegallive.com/legal/a-career-in-corporate-law-all-you-should-know/, (available at 19 September, 7:38 PM).
[17] Elle Woods, Indian Law Firms and Burnt-Out Meat Robots: Savagery at Its Finest, https://livewire.thewire.in/personal/indian-law-firms-and-burnt-out-meat-robots-savagery-at-its-finest/, (available at 19 September, 7:50 PM).
YLCC would like to thank Aeshita Singh for her valuable insights in this article.
