The four legal professionals recognise that these challenges within their industry require them to adopt and develop strategies to ensure they effectively overcome these challenges and maintain success in their respective roles.

Regulatory changes

Lili Dent, a finalist for the General Counsel of the Year award at the Australian Law Awards 2023, has expressed that the forthcoming surge in regulatory modifications will pose a significant challenge for GCs in the approaching year.

“The unprecedented volume of recent regulatory changes will persist into 2025. GCs must navigate their organisations through these changes, some of which are new and complex (such as merger reforms and climate reporting),” Dent said.

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As a result of these changes, Dent indicated, existing regulations may undergo significant operational modifications, potentially leading to increased responsibilities for general counsel.

“Some of these changes may necessitate operational adjustments or increase the workload and responsibilities of the legal function,” Dent said.

To effectively manage this situation, Dent advised general counsel to proactively analyse the regulatory landscape relevant to their organisations and delineate the necessary measures to ensure their capability to address these changes.

“GCs should proactively map out the regulatory horizon relevant to their organisations, identifying necessary actions, assigning responsibilities, and ensuring that the legal function and other relevant departments are adequately resourced to implement these changes,” Dent said.

Technology advancement

Nick Brown, a general counsel at the venture capital firm Airtree, expressed his primary concern regarding the escalating volume of technological advancements and the corresponding regulatory framework within this domain.

“The thing which worries me most about being a general counsel for 2025 is keeping pace with the ever-increasing volume of technological advancement, and regulation governing that advancement,” Brown said.

Brown emphasised that with technological advancements, such as artificial intelligence, there is a potential for a significant transformation in the role of a general counsel.

“The rapid growth of AI has the potential to be transformational, but it comes with significant risks, and also increases risks around issues like cyber security and privacy breaches.

“The number of pieces of regulation around these issues has the potential to be overwhelming as a GC, and providing practical advice becomes really difficult,” Brown said.

Brown emphasised the significant challenge that general counsels face in adequately preparing to address this critical issue. However, he highlighted that the most effective approach to tackling this challenge is maintaining a sense of curiosity and staying well-informed.

“I don’t think there are any easy ways to address the challenges, beyond staying curious, trying to absorb as much information as possible and find those trusted advisors who can give you insights into best practice from a practical perspective,” Brown said.

Lack of proactive environments

Jessica Giampiccolo, the managing director at JMLG Advisory, shared that a significant concern for general counsel in the upcoming year is the lack of progress in establishing proactive environments for general counsel.

“Training sessions on the benefits of a proactive legal department highlighting the issues that can be created when a department is merely reactive in nature can assist in creating a greater level of cross-functional success,” Giampiccolo said.

Giampiccolo emphasised the importance of involving the general counsel at an early stage of the decision-making process, as it enables them to offer more comprehensive guidance on achieving objectives.

“If legal [is] involved early in the decision-making process, it is far more likely we will be able to say HOW something can be achieved rather than be seen as a roadblock when saying NO,” Giampiccolo said.

“This can also assist from a cost management perspective, as being proactive in addressing emerging risks can also help legal departments manage costs more effectively. By identifying and addressing risks early on, legal departments can potentially avoid costly legal disputes, regulatory fines, and other financial liabilities.”

“It is essential to INCLUDE LEGAL before you have a problem. We need to work towards and empower PROACTIVE legal departments.”

Stay adaptable

However, Keiko Minami, a finalist for the General Counsel of the Year award at the Australian Law Awards 2023, holds an optimistic outlook despite acknowledging the impending challenges that general counsel will likely encounter in the upcoming year.

“Personally, I don’t have much worries because I see worries as often based on fear of not being able to adapt to change, but I’m confident our team is well equipped for that,” Minami said.

Minami expressed her anticipation of forthcoming changes in 2025, acknowledging them as a challenge and an opportunity for personal growth.

“I expect 2025 to be a big year with many changes to come, especially in the area of AI.

“I look forward to enjoying the journey of change rather than fearing it,” Minami said.