How do you feel the pandemic has changed the world of work for in-house counsel and the function of the general counsel?

Because of the Covid-19 pandemic, in-house counsel found themselves forced to abandon their traditional roles and responsibilities. They were no longer able to represent their internal clients in the various transactions the companies are involved in or defend them from the myriad of regulatory enforcement actions face-to-face. Instead, they were expected to perform their role from a digital environment, without neglecting their fiduciary duties. This paradigm shift has had a significant impact on the function of the in-house counsel, by transforming them from someone the internal clients must reach out to counsel to someone who is more available and more involved in their operative processes.

What are some of the key developments – legal, geopolitical or otherwise – that have affected your business over the past year?

Intercorp Retail’s corporate affairs management is involved in company acquisition processes which allow the different retail platforms to achieve synergies and increase the efficiency of their operations. During the last year, a corporate merger control regime came into effect in Peru, which requires the regulator to approve those transactions involving the concentration of shareholding and assets that exceed certain thresholds. This new regulatory requirement forced us to change the way in which we conduct our M&A operations. It forced us to include specific clauses in our transactions that contemplate the possibility of the regulator not approving them and to establish new conditions precedent for the closing of operation. All this during a scenario of uncertainty due to the lack of previous experience of our regulator in the application of this control regime. However, the need for legal certainty regarding the application of this regime led us to study and be in greater contact with the experiences of foreign regulations where this regime has been applied for years, giving greater depth to our analysis, and enriching the structure of our operations.

Looking forward, what technological advancements do you feel will impact the role of in-house legal teams in the future the most?

The most profound technological advancement in the legal industry has been the introduction of artificial intelligence (AI), in the area of automated document review. The use of AI allows for automated legal processing, permitting the review of thousands of relevant legal documents in a mind-blowing time frame. The use of AI frees up human resources for their application in areas where it generates greater added value. Another technological development which will have a deep impact in the legal industry in the coming years is the use of blockchain technology, which has been gaining traction in the legal industry over the past few years. Smart contracts are used in many ways, from smart contracts for tokenised prediction markets and ICOs to service-level agreements such as insurance contracts, performance bonds, and more. As technology matures, more tools for various sectors are being introduced, such as automated settlements of security transactions, using digital assets to complete payments and digital wallets instead of the escrow account.