Most people think opinions are for individuals who have no clue what they’re doing. They probably think an opinion letter is something generated by a complete amateur. And why wouldn’t they? Most people have never seen an opinion letter and don’t understand what they’re used for. But many professionals have been creating and using professional opinion letters for years to prevent and mitigate problems that stem from a lack of clarity. So, what’s the deal with these opinion letters?
An opinion letter is an official document that states an opinion or idea about something, but it also provides a reason for this opinion. Opinion letters are used to provide information and clarity on a topic, or they can be used to express personal ideas. In law, medicine, engineering, and business, these letters are becoming more popular every day. Here’s a guide to help you understand the purpose of an opinion letter.
The Role of the Legal Counsel
The first thing to understand is the role of the legal counsel. As a business owner, you need an attorney who can answer your legal questions, draft contracts and provide you with the legal advice that you need to run your business correctly. You can think of an attorney’s opinion letter as their signature on a document, but it also reveals what they know about the situation. Therefore, attorneys must write these letters clearly and concisely to prevent confusion amongst clients.
In addition, because opinions may vary from one professional to another, depending on their experience and expertise, when your attorney writes an opinion letter, they will include a reason that supports this opinion. In other words, when you ask your lawyer for an opinion letter, they will help this statement by explaining why they agree with it. This is very helpful in case further explanation becomes necessary.
The Purpose of Professional Opinion Letters
Opinion letters are used as a means for companies to protect themselves from litigation. The primary function of an opinion letter is to state their understanding of certain situations legally. It can be helpful by placing limits on possible claims that somebody could bring up against them. From the legal standpoint, these limits on potential lawsuits are useful because there would be less legwork involved with suing a company that had an opinion letter stating their limits on possible claims.
Another purpose of opinion letters is to verify compliance with laws and regulations. An attorney can write an opinion letter about specific business activities so that there is no question as to whether or not the company is handling their “stuff” correctly. Opinion letters are not legally binding, but more than likely, they’ll be considered by any secretary of state or other agency just by mentioning them. It makes it incredibly easy for these agencies to see what kind of work a company does without even looking at any of the documents drafted by the business’s legal counsel.
Attorney-Client Privilege Protection
An essential part of professional opinion letter writing/protection comes from attorney-client privilege protection. This unique privilege is offered to communications between an attorney and their client, making those communications confidential. This is pretty important because it prevents those same communications from being used as evidence in a court of law. This means if a company has an opinion letter stating the limits on what they’re capable of doing, it won’t have to be shared with any other individual or entity during litigation.
When Do Opinion Letters Come into Play?
Some people who don’t understand the purpose of opinion letters tend to think they somehow counter lawsuits. In reality, if somebody wanted to sue a business for something but didn’t have any additional information about it, having an opinion letter would help them give them some idea as to whether or not they have cause for a lawsuit.
Opinion letters can come into play in multiple situations, but these kinds are mainly helpful if somebody plans to sue the business. They’re not used as shields against “dangerous” customers or other companies that could cause problems. Opinion letters help businesses assert their position or lower their chances of being sued if they have one. Most attorneys try to write them before any litigation arises anyway. Opinion letters are meant for legal protection, but they should never be seen as substitutes for contracts or other proof of obligations between two parties.
The Components of an Opinion Letter
At its core, an opinion letter is a document that gives businesses insight into the legal risks associated with their new products or services. This type of letter is drafted by professional legal teams and provides potential clients with information about what can be expected if they sign the contract. An opinion letter will typically contain four components:
The first component: Company Overview
The first section of an opinion letter will require some background information about the company requesting it. This includes their legal status, ownership info, size, and more. The company will describe what they do and their official title or position within the organization (i.e., “Senior Data Security Analyst at Company X”).
The second component: Legal Opinion
This is where an attorney will explain their understanding of the company’s business practices and how it relates to any legal risks associated with its operations/products/services. If any potential legal issues are discovered during the research stage, these should be noted in this section.
The third component: Disclaimer Statement
This component helps protect both parties involved in the agreement because it clarifies that either side has made no promises. It also prevents both parties from making future claims if something goes wrong later on down the road. Additionally, any disclaimers should be listed in this section along with the date of the letter.
The fourth component: Certificate of Service
This section includes the names of the company representatives notified of the intent to issue an opinion letter. This is a critical step for businesses because it proves that all involved parties have been informed of its contents and any potential risks associated with them.
Opinion letters purport to state a legal conclusion based on the underlying query’s facts. Of course, opinion letters are only one type of letter that practicing attorneys write. Any written opinion provided by an attorney, whether through a letter or another form of written correspondence, advises parties to proceed legally.
