Compliance Risk
/kəmˈplaɪəns rɪsk/
Definitions
- (n.) The risk of legal or regulatory sanctions, financial loss, or reputational damage resulting from failure to comply with laws, regulations, or internal policies.
The company implemented new controls to mitigate compliance risk in its operations.
Forms
- compliance risk
Related terms
See also
Commentary
Compliance risk typically involves both external legal requirements and internal policy adherence, requiring multifaceted risk management strategies.
This glossary is for general informational and educational purposes only. Definitions are jurisdiction-agnostic but reflect terminology and concepts primarily drawn from English and American legal traditions. Nothing herein constitutes legal advice or creates a lawyer-client relationship. Users should consult qualified counsel for advice on specific matters or jurisdictions.