Procurement and legal don’t always speak the same language—but they must align when continuity is on the line. In 2025, disruptions caused by vendor insolvency, force majeure events, and compliance breakdowns require legal teams to play a proactive role in continuity planning.
When Legal Should Be at the Table
Contract Creation & Renewal
Ensure SLAs, liability terms, and breach response clauses support fast recovery.
Supplier Exits or Consolidation Events
Review termination provisions and transitional support obligations.
Force Majeure or Escalation Clauses
Legal should help define what qualifies and what response is required.
Multi-Tier Visibility Agreements
Vendors should disclose Tier 2/3 suppliers legally, not voluntarily.
IP, Tooling, or Spec Ownership
For customized products, legal must ensure you’re not locked out after termination.
Disruption Simulations
Include legal in tabletop exercises to validate risk clauses and response protocols.
Best Practice
Form a Supply Continuity Working Group that includes Procurement, Ops, Finance, and Legal—meeting quarterly to align strategy, contractual frameworks, and risk scenarios.
Final Word: Legal doesn’t just protect your business—they accelerate your recovery when the unexpected happens.
