BRAZIL Law and Practice Contributed by: Thaís Vasconcellos de Sá, Bermudes Advogados
parent (proactive) but consistent (only publicis- ing information when it is confirmed/trustworthy). The messages should be objective, avoiding unnecessary adjectives (ie, avoiding terms with emotional baggage or possible different interpre- tations) but keeping them respectful to affected third parties and regarding the event itself, when appropriate. The messages should also be tailor- made to each targeted audience, ensuring that they are properly received and understood. This will not be an easy exercise, particularly during the height of the crisis when the company will receive demands from numerous third parties, the media and the public, and will feel the need to provide information; nonetheless, consistency in messaging will be paramount for preserving trust and reputation. 6.4 Investor Relations Maintaining proper channels of communication with investors and shareholders throughout the crisis is also paramount, including to avoid expo- sure to litigation. It has become an unfortunate practice to have ill-intentioned investors or even law firms campaign for lawsuits against the com- pany and/or its managers for purported damag- es suffered because of a crisis or the measures (for them seen as improper or inefficient) taken as part of the crisis response. The engagement of the investors relations team, and their repre- sentation on the crisis committee, ensures that up-to-date information can be shared with the market, investors and shareholders. Though the language will probably differ from the commu- nication provided to the public, keeping these messages transparent and consistent will also be necessary as a proper communication strat- egy. 6.5 Customer Relations It is important to dedicate time and effort to pre- serving the relationship with the company’s cus-
tomers, as they are indispensable stakeholders for preserving the company’s ability to survive during a crisis. If the company provides prod- ucts/services to the public, preserving its repu- tation through proper communication is key. If its activities are focused on rendering services or selling its products to other companies, the departments that handle these relationships should be engaged and provided with adequate information on steps being taken to address the consequences of the crisis, to preserve reputa- tion and maintain these customers’ trust. 6.6 Communication to Employees Internal communication and transparency with employees will also be an important and chal- lenging concern during a crisis. As a crisis brings a lot of uncertainties – including regarding the company’s ability to maintain its payroll and not diminish its workforce – it is important to keep lines of internal communication open and report to the employees on the company’s efforts to respond to the crisis, as much as possible. Human resources will play a paramount role in preserving employees’ morale, but specific engagements for the management and/or rep- resentatives from the crisis committee to provide this report will also be important. If the crisis arises from a risk inherent to the company’s activities or other factors that can trigger internal investigations and lead to liabil- ity of managers/employees, it will be even more necessary to adequately select the information that is being shared and at what time – for this reason, external counsel plays an important role on this front as well. 6.7 Communication With Affected Parties Besides general communication to the public via the media and other vehicles, the company
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