Re document-retention policies: Typically the real concern is the cost of document review: If there's a lawsuit, a lawyer or paralegal ($$$) will have to revie

Re document-retention policies: Typically the real concern is the cost of document review: If there's a lawsuit, a lawyer or paralegal ($$$) will have to review all the potentially-relevant documents to determine whether there are any that should be (i) labeled as confidential, and/or (ii) withheld on grounds of attorney-client privilege. (Footnote: The latter gives rise to the bigger fear -- if you were to inadvertently give the other side a copy of a privileged document, you might be deemed to have done a "subject-matter waiver," entitling the other side to all other privileged documents covering the subject(s) discussed in the first document. Moreover, the other side might be able to take the depositions of business people and lawyers, which amounts to interviewing them on videotape, to find out just what the client discussed with its lawyers, including who said what. The other side can usually be counted on to play any awkward sound bites for the jury.)