The Fall: VW and the Consequences of the Emissions Scandal (Boehme interview)

The Fall: VW and the Consequences of the Emissions Scandal

Donna Boehme – JUVE Rechtsmarkt – November 2015

VW Juve

JUVE: In an article in the US-magazine, Corporate Counsel, you say, that Volkswagen is another Compliance 1.0 train wreck. What do you mean by Compliance 1.0?
In the early days of Compliance, when it was a new profession evolving to help companies prevent and detect misconduct, companies tended to adopt a flawed model, which we call Compliance 1.0. That model was based on an incorrect assumption that compliance could be operated or managed as a captive arm of Legal, as I noted here. But that is not the case at all. As we can see in some very big Compliance headlines, a GC or law firm partner rarely has Compliance subject matter expertise or experience to be able to design and oversee a modern compliance program that will achieve its goals. In fact, the legal mandate through which they see their work is so different from the mandate of compliance that Compliance 1.0 systems are often “detoured” and managed in such a way that they fail.

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This article originally appeared in the November issue of JUVE Rechtsmarkt.

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