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not managed very well..." — TONY MORRIS, MACLEOD DIXON LLP think beyond that. The privacy and corporate compliance issues are increasingly higher profile issues on any of these outsourc- ing transactions." There are cost-of-living index issues, currency fluctuations, inflationary projections that need to be taken into consideration in the jurisdiction of the outsource provider that also add to the "Corporate counsel oftentimes gets side-swiped with the responsibility for the fallout of contracts that are risks, he says. "So, as corporate counsel, you're trying to figure out what is the currency fluctuation or cost of living index for India and saying, 'What do I know about that?' That tends to be a real challenge because you won't be able to figure that stuff out yourself and you can't rely on the outsourcer because they have a different vested interest," he says. Details — right down to the workplace environment, em- ployee-retention strategies, and dialogue between the two loca- tions — need to be agreed upon contractually to be effective, says Ling. "Most people in the outsourcing world would say the nature of outsourcing is it's an organic beast. It's not static; it's a relationship," he emphasizes. "But a lot of the deals that have been put together don't allow for that." And when it goes off the rails, it is inevitably shovelled onto the lap of the corporate counsel department to resolve, he adds. "They're the ones getting called in and being told the contract is not working." Anthony (Tony) Morris, a partner at Macleod Dixon LLP in Calgary, concurs it's the in-house lawyer(s) who will bear the brunt of winding down a bad deal. "Corporate counsel often- times gets side-swiped with the responsibility for the fallout of contracts that are not managed very well, and they end up hav- ing to jump in and take responsibility in a way that is a real chal- lenge," he acknowledges. "And it is somewhat unfair." At Pallett Valo, our vast array of resources allow us to understand your distinctive business requirements. Our Right-sized Thinking approach enables us to provide you with unparalleled service. Untitled-2 1 C ANADIAN Lawyer INHOUSE A UGUST 2008 21 6/18/08 10:57:20 AM