EU legal chiefs take on broader and broader corporate tasks
A recent study by the Association of Corporate Counsel (ACC) shows that legal leaders at European companies are increasingly extending their responsabilities beyond traditional legal advisory roles.
The 2025 ACC Chief Legal Officers Survey identified ten significant trends in the European CLO landscape, emphasizing how these executives are now expected to contribute far more than legal expertise. According to the findings, approximately 71% of European CLOs currently oversee various corporate functions including compliance, risk management, privacy, and ethics. The ACC noted that regulations such as GDPR and ESG requirements have significantly expanded CLOs’ responsibilities in corporate governance across Europe.
Strategic decision-making has also become part of the CLO role, with 58% of survey participants reporting involvement in merger and acquisition activities and overall business strategy development. This increased strategic participation stems from the complexity of cross-border deals that frequently encounter evolving European Union directives on competition law and corporate governance.
The survey revealed that 73% of European CLOs now report directly to their Chief Executive Officers, indicating their elevated status as key business advisors. Among those not reporting to CEOs, 59% answer to Chief Financial Officers—a significantly higher percentage than the global average of 44%. Furthermore, 59% of CLOs are focusing on developing business acumen within their legal teams to better address current operational challenges.
European legal chiefs are also facing an uptick in litigation and investigations. The survey showed that 58% of European CLOs have witnessed an increase in internal investigations, compared to 44% globally. Respondents attributed the rise in legal disputes to stricter enforcement of regulatory compliance, including heightened antitrust scrutiny, employment legislation, and growing class-action lawsuits, particularly in financial and technology sectors. Nearly one-fifth (19%) of regional respondents reported being subject to regulatory investigations or enforcement actions in the past year, highlighting the intensifying regulatory pressure.
Technology adoption is accelerating due to digitization priorities and efficiency needs, with 62% of European CLOs planning to implement new legal technologies in 2025. These implementations focus primarily on contract management (62%), workflow tools (38%), and document management systems (36%). Some legal executives mentioned investments in artificial intelligence-powered compliance tools to enhance data privacy management and automate risk assessment processes. Operational efficiency was cited as the top strategic initiative by 42% of CLOs, driven by mandates to reduce costs despite increasing workloads.
The study also found European CLOs increasingly turning to external legal services, with 53% relying on outside counsel for specialized areas including GDPR enforcement, international trade regulations, and governance of artificial intelligence technologies.