Premium Essay

Ethics and Legal Environment of Business

In: Business and Management

Submitted By MBAC601
Words 1345
Pages 6
HOOPER V. YODER

September 9, 2015

The purpose of this paper is to analyze and evaluate a civil court case between Steven J. Hooper v. David Yoder and the role ethical principles played in the case. I would like to address these important points in this paper: * Define common law * Summary of the facts that brought the parties into the courtroom * State the holding of the court * The legal rights and responsibilities of the plaintiff and defendant * The role of ethical theories including Kant and Nozick’s in this case * Propose specific, common sense business practices that may have resolved the conflict
Let’s begin with a definition of common law which is applied to all corporations. “Common law is made and applied by judges as they decide cases not governed by statutes or other types of law. Although common law exists only at the state level, both state courts and federal courts become involved in applying it. … Over time, judges began to follow the decisions of other judges in similar cases, called precedents. This practice became formalized in the doctrine of stare decisis” (Mallor, et all, 2010).
There were several facts that brought the parties into the courtroom. The litigation began with the conflict between Hooper and Yoder who both started their business in the dairy products field as partners. Surprisingly, there was no formal written agreement for the partnership form of business between them. They created, accepted the rights and shared the duties, assumed business and financial risks, and shared the work load and the profits equally. They both worked hard to build the business. After discussing with lawyers in both Colorado and California, Hooper and Yoder decided to incorporate their business and named it Beautiful Daydreams, Inc. Hooper was named president and treasurer while Yoder became vice-president and secretary.

Similar Documents

Premium Essay

Micro

...Objectives 4.1 Differentiate between types of employment relationships and associated the legal considerations. 4.2 Differentiate between types of discriminatory issues and the associated legal considerations. 4.3 Determine methods for managing legal risk arising from regulatory compliance issues. Readings Read Ch. 31 of Business Law: Legal Environment, Online Commerce, Business Ethics, and International. Readings Read Ch. 32 of Business Law: Legal Environment, Online Commerce, Business Ethics, and International. Readings Read Ch. 33 of Business Law: Legal Environment, Online Commerce, Business Ethics, and International. Readings Read Ch. 43 of Business Law: Legal Environment, Online Commerce, Business Ethics, and International. Readings Read Ch. 44 of Business Law: Legal Environment, Online Commerce, Business Ethics, and International. Readings Read Ch. 45 of Business Law: Legal Environment, Online Commerce, Business Ethics, and International. Readings Read Ch. 46 of Business Law: Legal Environment, Online Commerce, Business Ethics, and International. Readings Read this week’s Electronic Reserve Readings. Participation Participate in class discussion. 2 Discussion Questions Respond to weekly discussion questions. DQ 1 due Day 3 and DQ 2 Due Day 5 2 Nongraded Activities and Preparation Podcast Listen to the Week Four podcast. Learning Team Reflection Check out the local and national news sources and find a current event that reflects what we...

Words: 594 - Pages: 3

Premium Essay

Ethics Issues

...Business ethics mean many things to many people and for different reasons. Business ethics can be simply defined as moral standards by which people judge behavior (Tenbrunsel, 2008). In business, there are many different people you have to answer to: your customers, your shareholders, your colleagues and your clients. Business ethics are complex and very subjective and what we do when an ethical situation presents itself is what ultimately dictates one’s ethics. We have all heard of the “golden rule”, which is do unto others as you’d have done to you. I think this ultimately defines ethics and how they are very personal and subjective. If you lie, then you should not be upset when you are lied to. In the world of business, employers monitor their employees in different ways and for different reasons and there is no legal boundaries to the monitoring. There are five different ways in which employees are watched for ethics: business ethics, legal compliance, legal liability, performance review, productivity, and security (Reh, 2010). Legal compliance is a term used to ensure that companies and their employees adhere to the regulated guidelines that are set fourth by the industry. An example of this behavior is with customer service representatives. A company chooses to record the conversations that the customer service representative have with customers to protect themselves and their customers. While this does not seem like much, but it shows that a company cares enough to...

Words: 574 - Pages: 3

Premium Essay

Management Planning

...Management Planning MGT/330 Management Planning Proper planning permits organizations to develop into the type of business that will meet the needs of the customer, the company, and the environment. As opposed to just focusing on profits, companies need to focus on the need for expertise and experience needed to take on important issues such as legal issues, business ethics, and corporate social responsibility. Management structure helps them accomplish this goal. It is wise to consult professionals experienced in these fields to counsel upper management on these issues. A proper business plan is needed in order for a company or organization to evolve. In this paper I will cover corporate social responsibility on planning, the influences of legal issues, business ethics, the influences of legal issues, the planning function of management, and analyzes at least three factors that influence the company's operational, strategic, tactical, and contingency planning. The Planning Function of Management Boeing is a multinational company that started in 1916 as the Pacific Aero Products Company. The management plan that William Boeing started has continuously evolved with the times as the function of Boeing Company has changed. In the beginning William Boeing had to secure a loan using his personal finances in order to pays his employee’s wages. In their early days the Boeing Company produced furniture, dressers, and counters for other businesses. By flying mail...

Words: 1315 - Pages: 6

Premium Essay

International Legal & Ethical Issues in Business

...International Legal and Ethical Issues In Business Several issues keep emerging in the current business world. Some of these issues are legal while others are ethical. The management of modern organizations must ensure that their human resources have desirable ethical behaviour. This will ensure that their organizations maintain their clientele and in turn increase their profit margins. How would you effectively present the issue of potentially defective products to the CEO, other directors, and managers? A potential defective product can cause injuries if taken lightly regardless of whether the company’s ethical guidelines have been communicated. Such situations can cause significant legal repercussions and destroy the reputation of a company, which can cost the company if proper steps are not followed in correcting it. Normally, the senior management in current organizations fails to know what is happening at the ground level and it is the duty of the employee in charge to give out a report (Edwards, 2008). During such a presentation to the top management, it is important for one to give out sampled evidence to support the allegation in an honest manner. This should be made in comparison to the actual products to bring out the difference. Physical evidence brings out product defects and it will challenge the top management to act fast to avoid legal battles with the consumers (Brooks, 2012). How would you specifically notify customers of such an occurrence? It is an...

Words: 921 - Pages: 4

Premium Essay

Lwc1 Cos

...Fundamentals of Business Law and Ethics Course of Study Your competence will be assessed as you complete the LWC1 objective assessment for this course of study. This course of study may take up to 10 weeks to complete. Introduction Overview There are the two major subdomains of study within the Fundamentals of Business Law and Ethics Course of Study: business law and business ethics. The exam covers 11 business law and ethics concepts, including the following: contractual relationship government regulation of business dispute resolution labor and employment law hiring and employment practices warranties, negligence, and liabilities Sarbanes-Oxley Act ethical issues in business ethical leadership ethics programs use of company resources You likely have had some experience with the legal system, either through your own encounters or merely through listening to the nightly news, and you have probably read or heard about various ethical and legal issues causing financial upheaval in today's business world. This background will serve you well in this study. Now you can expand on that experience, and perhaps refine and enhance your own views on these issues. Once you complete this course of study, you will have demonstrated a level of competence that you can immediately use in your work setting and career. Outcomes and Evaluation There are 10 competencies covered by this course of study; they are listed in the "Competencies for Fundamentals of Business Law and Ethics (LWC1) " page...

Words: 8481 - Pages: 34

Premium Essay

Term Paper

...associated legal considerations. As an example, you consider legal considerations such as discrimination in the workplace. You also study regulatory compliance issues for an organization, as well as the associated business consequences. The readings focus on workers’ compensation, occupational safety, and other worker protection laws, with a specific attention to the Family and Medical Leave Act. This week also covers the collective bargaining agreements and labor law, as well as several laws and decisions a company must make regarding these labor law issues. In addition, you examine equal opportunity in employment and Title VII, including what comprises this significant law. You review regulatory laws, environmental protection and global warning, as well as antitrust laws and unfair trade practices. The readings focus on introductory concepts and the laws that support these concepts. Employment and Regulatory Risk OBJECTIVE: Differentiate between types of employment relationships and the associated legal considerations. Resources: Ch. 31 & 32 of Business Law: Legal Environment, Online Commerce, Business Ethics, and International Issues Content • Ch. 31: Employment, Worker Protection, and Immigration Laws o Introduction to Employment, Worker Protection, and Immigration Laws o Worker’s Compensation • Case 31.1 Workers’ Compensation: Medrano v. Marshall Electrical Contracting Inc. o Occupational Safety • Ethics Spotlight:...

Words: 971 - Pages: 4

Premium Essay

Strategic Management

...components of a strategic management process, and indicate why a strategic management process is needed for a company The four components of strategic management are ethics, sustainability, innovation, and legal environment. Companies should exercise ethical practices when conducting business. These ethical practices eliminate legal repercussions, expenses, and ensure successful business transactions. Sustainability is the capacity of a company to maintain, and have the capacity to endure through unchanging resistance to change. The sustainable business has no negative impact on the global or local environment, community, society, or economy. Business innovation refers to a wide spectrum of original concepts, including development of new ways of doing business, new business models, and applications of technology and communications. Innovation helps the business restructure according to new innovative ideas and be able to compete with other businesses. The legal environment in business is broad. Legal environment involves ethics and business practices. The business must adhere to business ethics, social responsibilities, and laws in order for the business to run smoothly, avoid legal expenses, and avoid legal actions towards the company. These four components of strategic management are essential to the business success. Citigroup’s strategic management process Citigroup’s mission statement consists of serve individuals, communities, institutions, and nations. Their four key...

Words: 390 - Pages: 2

Premium Essay

Business Etics

...“What is Business Ethics?” Essay Posted on July 5, 2012 1 Introduction Dated back to Code of Hammurabi some 4,000 years ago, business ethics is a social science, whose main aim is to define and examine the responsibilities of businesses and their agents as a part of the general moral environment of a given society. The products of this field of research are sets of rules and codes of conducts, which serve as a means of protection from the possible infringements of moral codes as a result from the general activities and responsibilities of a firm to its stakeholders (e.g. generating profits for shareholders and taxes to the government). This paper will briefly explain the foundations and the growing importance of business ethics in today’s economy. Finally, it will describe several contemporary issues of research and practice. 2 The Rationale behind Business Ethics In its simplest sense, the field of business ethics represents the meeting point between ethics and business, where business decisions and their implementation are evaluated in terms of the “right” (moral) and “wrong” (immoral). However, ethical decision-making is far from being simple, as is involves much greater complexity and debate (Trevino & Brown, 2004) than other ethical fields, even complicated ones such as bioethics. The main reason for this confusion is not only the themes of business ethics, but the difficulty to recognize the relevance of ethics to the business decision in question. For example,...

Words: 848 - Pages: 4

Premium Essay

Management

...techniques including how the planning function of management is used. Planning allows organizations to develop how the customers’ needs can be met, what is expected out of the company, and the environment. The structure of management helps accommodate the need for experience and expertise on important factors. Some of these factors are legal issues, ethics, and corporate social responsibility instead of just focusing on the profits. This paper covers the planning function of management, the influences of legal issues, ethics, and corporate social responsibility on management planning, and factors that influence the company’s strategic, tactical, operational, and contingency planning. Boeing Management Planning Boeing is known as “the world’s leading aerospace company and the largest manufacturer of commercial jetliner and military aircraft combined ("The Boeing Company: About Us," 2012). Every company uses different types of management techniques including how the planning function of management is used. Planning allows organizations to develop how the customers’ needs can be met, what is expected out of the company, and the environment. The structure of management helps accommodate the need for experience and expertise on important factors. Some of these factors are legal issues, ethics, and corporate social responsibility instead of just focusing on the profits. The Planning Function of Management Boeing was started in 1916 by William Edward Boeing. He began the Boeing...

Words: 1477 - Pages: 6

Free Essay

Ethics and Legal Issues in Mergers

...Ethical and Legal Issues Merger of Company A & Company B Human Resources Management & Talent Development 07-04-13 Abstract In any merger, there are always legal and ethical issues involved. These issues have to be resolved in order to ensure a successful merger. It is the role of Human Resource personnel to ensure the code of ethics is used in legal and moral implications. The role of the Human resource manager is to create an ethical environment in which all employees are able to enjoy there inalienable rights. These rights will include the accessibility of information about the job, company, and there career and the right not to be coerced into situations. Maintaining these rights will help in reducing stress, establishing trust, increasing productivity and efficiency. This report will document the legal and ethical issues associated with a merger. It will also consist of a detailed implementation plan in resolving these potential ethical and legal issues. A plan for establishing an ethical work environment and resolving ethical and legal issues will be discussed as well. Identify Specific Legal and Ethical Issues involved in Mergers Recently the mergers and acquisitions of firms has become a major trend in business. In the process of mergers and acquisitions, the role of ethics and compliance has become a major step in ensuring success. A breakout session was held just recently on ethics and compliance in mergers and acquisitions. The panel, which featured...

Words: 1264 - Pages: 6

Premium Essay

Business Law Study Guide

...week introduces you to the fundamental principles of the legal system, the importance of our Constitution, and an analysis of the court system. The readings in this area cover the concepts that define law and the thoughts that help shape jurisprudence along with its history. The Federal Court, Supreme Court, and the jurisdiction of the courts are also covered. Constitutional law is covered from the perspective of business. This week also provides an introduction to the various forms of business. Small businesses, entrepreneurs, and general partnerships are explored. You discuss how a corporation is formed and how it can be financed. Finally, you study limited liability companies and limited partnerships, as well as franchises and special forms of business. This week further introduces you to the concept of alternative dispute resolution as a method for resolving disputes outside traditional litigation. After first looking at the litigation process, you are then introduced to arbitration, negotiation, mediation, conciliation, minitrial, fact-finding, and the use of a judicial referee. The Legal System and the Legal Forms of Business OBJECTIVE: Explain the major components of the legal system. Resources: Ch. 1, 2, & 4 of Business Law: Legal Environment, Online Commerce, Business Ethics, and International Issues Content • Ch. 1: Legal Heritage and the Information Age o Introduction to Legal Heritage and the Information Age o What Is Law? ...

Words: 1106 - Pages: 5

Premium Essay

Essay

...Discussion Activity 1 | 2 | The Manager as a Critical Thinker | Individual Paper 1 | 3 | Legal and Ethical Environment of Business:  The   Manager as an Ethical Decision Maker | Discussion Activity 2 | 3 | Team Work Plan | Team assignment | 4 | Organization Theory and Design | Discussion Activity 3 | 5 | Organization Theory and Design in the Global Environment | Team Project 1Individual Matching Exercise | 6 | Legal Environment:  Courts, Alternative Dispute   Resolution, and Agency | Discussion Activity 4 | 7 | Critical Thinking in the Legal Environment:  Torts   and Products Liability | Individual Paper 2  Discussion Activity 5 | 8 | Legal Environment:  Contracts and Forms of Business   Organizations | Discussion Activity 6  | 9 | Knowledge Integration | Take-home   Final | 10 | Corporate Social Responsibility in a Global and   Technological Environment | Team Project 2 | Assignment Details Session | Module/Topics Readings/Assignments | 1 | The   Manager as a Systems ThinkerObjective   1: Apply models of critical thinking and systems thinking to address   complex organizational issues.Objective   2: Reflect on seminar assignments and relate the skills and knowledge   gained to personal and professional goalsCompetency   : Systems Thinking | Read the following articles which you can find and   download from the UMUC library databases:  (A) ABI/Inform(B) Business Source Complete Hill, L.A. (2004).  New   manager development for the 21st century.  Academy...

Words: 2009 - Pages: 9

Premium Essay

Cross Cultural Perspectives

...Wal-Mart’s Organizational Ethics Leslie Conley ETH/316 October 1, 2015 Lawrence Pickett Wal-Mart’s Organizational Ethics Everyone in business is worried about doing what is right and not being seen as wrong. There has been a lot of attention focused on ethics and integrity in business these days. Every organization is driving and pushing for changes in these areas. Any thoughts of quick-fixes for ethical behavior in businesses can be scary, but good ethical behavior for any business is fundamental to its success. For entrepreneurs, ethical conduct is usually missed or ignored. Many business experts regard ethics as something to preach, but not acted on and, therefore, make it even more unethical. According to Suttle and Demand Media, Organizational ethics is the principals and standards by which businesses operate (n.d.). They are best demonstrated through acts of fairness, compassion, integrity, honor and responsibility. The key for business owners and executives is ensuring that all employees understand these ethics. One of the best ways to communicate organizational ethics is by training employees to company standards. With these thoughts in mind, we need to address organizational ethics with awareness and support for all involved within the organization. External social pressures influencing organizational ethics External social pressures have driven most companies in business to be aware of the expectations on them to act in a manner that is ethically correct. They have...

Words: 871 - Pages: 4

Premium Essay

Law and Corporate

...Law, Ethics, and Corporate Governance – LEG 500 | 201003 | Prerequisite: None | Quarter | Winter 2010 | Meeting Days/Time | Online course | Instructor | Dr. C. Phil Campos, MBA, JD | Instructor Phone | 214-202-8044 | Instructor E-mail | canuto.campos@strayer.edu | Instructor Office Hours/Location | 6pm – 7pm EST | Academic Office Phone NumberStrayer Online Technical SupportEcollege HelpDesk | 1-877-540-1733“As a student, you should choose 1 then 3 for academic issues from the automated menu.”1-877-642-2999“Used for problems entering the class”1-866-448-6703 or 1-303-873-0005“Used for problems once in the class” | INSTRUCTIONAL MATERIAL | Kubasek, N. K., Brennan, B. A., & Browne, N. (2009).  The legal environment of business: A critical thinking approach (5th ed.). Upper Saddle River, NJ: Pearson-Prentice Hall.Ferrell, O. C., Fraedrich, J., & Ferrell, L. (2010).  Business ethics: Ethical decision making and cases (7th ed.). Boston: Houghton Mifflin Company/South-Western/Cengage Learning.PLEASE READ SYLLABUS PART II in the Course Home tab, it contains important University policies.GETTING TECHNICAL HELPTechnical questions regarding eCollege or classroom issues should be referred to helpdesk@strayeronline.net. Or you may phone the helpdesk at 1(866)448-6703.If the question regards a Strayer system, technical support can be reached at 1(877) 642-2999. Any technical inquiries sent to the instructor will, as a matter of course, be forwarded to the Helpdesk...

Words: 5313 - Pages: 22

Premium Essay

Code of Ethics in a Corporation

...ETHICS NOTES-Outline: 1: Summary of writing intent leading to thesis 2: Define ethics 3: Discuss the importance of ethics in the business environment 4: Connecting Law and Ethics/The role of ethics in law 5: Elaborate on the ethics side of each case. 6: Summary The question of whether an employee can be terminated for off-duty activity can be answered in numerous ways. Some occupations require employee carry a firm moral code even when they are not present at workplaces such as priests, CEOs, and other public or civil servants while other occupations are more lax or do not even require anything more of their employees rather than to show up on time and perform at expected performance levels. The varying levels of standards, in regards to moral code, with the multitude of industries pose the question of what the underlining basis of these rules are. Because as an employer or manager contemplates the reasoning behind the termination of an employee, there must be a general rule of thumb to abide by in order to make the decision. The rules that the employer or manager relies on are called ethics. When an employee is considered for termination, an ethical approach from the employer’s side as well as the employee’s side must be apparent and clear. In order to better understand the role ethics play in employee relations, we must have a thorough understanding of what ethics is and it’s importance in the business environment. Furthermore, in the context of employee termination...

Words: 1486 - Pages: 6