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Homework answers / question archive / Purpose TO ASSESS YOUR ABILITY TO: Apply legal principles to fact patterns that emerge on a regular basis in the business world
Purpose
Apply legal principles to fact patterns that emerge on a regular basis in the business world.
Recognize, analyze, and discuss various legal problems presented in specific situations.
For each assigned case, analyze the following criteria:
(1) Identify the parties involved in the case dispute (who is the plaintiff (the party who started the lawsuit claiming they were wronged) and who is the defendant (the party alleged to have committed the wrongdoing and getting sued).
(2) Identify the facts associated with the case/the fact patterns that led up to the dispute.
(4) Explain which party won the case and the objective basis for why. In other words, explain the rule of law the court relied on in deciding which party won.
Chapter 02 Business Ethics McGraw-Hill/Irwin Copyright © 2012 by The McGraw-Hill Companies, Inc. All rights reserved. Chapter 2 Case Hypothetical and Ethical Dilemma As hiring coordinator for Hennessey Networking Solutions, Inc. (Hennessey), Andrea Templeton knew that her position was of utmost importance to her company in terms of hiring candidates who were well-qualified, and who would best contribute to the company’s overall success. On her desk was the employment application and resume of Timothy Carraway. Andrea had just finished her interview of Timothy, who was the last in a long line of interviewees who had applied for an entry-level information technology (IT) position at Hennessey. Hennessey only had one (1) opening available. During Timothy’s interview, the candidate revealed that seven (7) years ago, he had been tried and convicted in federal court for selling a significant amount of cocaine. Timothy had also revealed the conviction on his employment application. Timothy went to great lengths to explain to Andrea that he sincerely regretted the indiscretions of his youth, and that he had spent the last seven (7) years of his life “paying penance,” and reforming his life. After serving three (3) years in federal penitentiary, Timothy had earned his bachelor’s degree in Information Technology, graduating with honors. Timothy’s interview had gone very well. In fact, Andrea felt that in terms of his personality and education, he was the best “fit” for the position. Andrea was obviously concerned about Timothy’s criminal background, but she was also concerned about the young man should he not find an employment opportunity after graduating from college. Without a legitimate employment option, would Timothy revert back to his “criminal ways? Does Andrea Templeton and Hennessey Networking Solutions, Inc. have an ethical obligation to hire Timothy Carraway? Should Andrea’s “hire” decision be based exclusively on Timothy’s qualifications for the job? Why or why not? 2-2 • Chapter 2 Ethical Concepts What is the best source for ethical business practices: The individual employee, or the business organization itself? To what extent should individual employees be allowed to lend input in the creation of a code of ethics for a business organization? In the event that an individual employee’s ethical standards differ from his/her employer’s code of ethics, what can/should be done to resolve those differences? 2-3 Business Ethics and Social Responsibility ? ? ? ? Ethics: The study and practice of decisions about what is good or right Business Ethics: The application of ethics to the problems and opportunities experienced by businesspeople Ethical Dilemma: A problem about what a firm should do for which no clear, right decision is available Social Responsibility of Business: Expectations that the community imposes on firms doing business inside its borders 2-4 The “WPH” Process of Ethical Decision Making: W—WHO (Stakeholders) ? ? ? ? ? ? Consumers Owners or Investors Management Employees Community Future Generations 2-5 The “WPH” Process of Ethical Decision Making: P—PURPOSE (Values) ? ? ? ? Freedom Security Justice Efficiency 2-6 Primary Values and Business Ethics: Freedom ? ? ? To act without restriction from rules imposed by others To possess the capacity or resources to act as one wishes To escape the cares and demands of this world entirely 2-7 Primary Values and Business Ethics: Security ? ? ? To possess a large enough supply of goods and services to meet basic needs To be safe from those wishing to interfere with your property rights To achieve the psychological condition of selfconfidence to such an extent that risks are welcome 2-8 Primary Values and Business Ethics: Justice ? ? ? ? To receive the products of your labor To treat all humans identically, regardless of race, class, gender, age, and sexual preferences To provide resources in proportion to need To possess anything that someone else is willing to grant you 2-9 Primary Values and Business Ethics: Efficiency ? ? ? To maximize the amount of wealth in society To get the most from a particular output To minimize costs 2-10 The “WPH” Process of Ethical Decision Making: H—HOW (Guidelines) ? (1) Public Disclosure ? Using the “Public Disclosure Test” someone making a business decision asks themselves “How would the public react to the decision I am about to make?” or “What decision would I make if the public had full knowledge of what I was about to do?” 2-11 The “WPH” Process of Ethical Decision Making: H—HOW (Guidelines) ? (2) Universalization ? ? This ethical guideline requires business decision makers to consider what the world would be like if their decision were copied by everyone else: “If everyone followed my example, would the world be a better place?” (3) Golden Rule ? This ethical guideline dictates: “Do to others as you would have others do to you.” 2-12 Theories of Business Ethics Ethical Relativism – denies objective moral standards. Individuals should evaluate actions based on what is best for themselves. ? Absolutism (or ethical fundamentalism) – whether action is moral depends on a set of ethical rules, such as religious doctrines. ? ? Example: ? “Thou shall not kill” Consequentialism – inquire about the consequences (impacts) on relevant people in making a decision. 2-13 Theories of Business Ethics ? Deontology – certain acts are simply right or wrong. Must only do “right.” But how do we determine what is right? ? ? ? ? Categorical imperative? An action is moral only if it would be good for everyone in society to act the same way. Principle of rights? “Pursuit of life, liberty, & happiness.” Virtue Ethics – an ethical system rooted in positive character traits such as courage, justice, and truthfulness. Virtues are distinguished from vices. Ethics of Care – the right course of action is most consistent with the building and maintaining of human relationships. We have an ethical and moral duty to care for others. 2-14
Question 4: How does the WH approach to ethics respond to an ethical problem?
The WH approach is a three-step process by which business managers engage business ethics in a practical way. The process of WH involves a consideration of the persons that are affected by the action, the purpose of engaging the action, and the review of the morality of the issue. Using this three-step approach, a business manager is able to evaluate the ethical issues when approaching a problem.
Question 5: Do you agree with Friedman? Do employers have a duty to respect the beliefs of their employees? If so, what happens when that duty conflicts with employers’ duty to provide a safe and healthy work environment? [ Friedman v. Southern California Permanente Medical Group, 102 Cal. App. 4th 39 (2002)]
The plaintiff in the case is Jerold Daniel Friedman and the defendant is Southern California Permanente Medical Group. The plaintiff is a strict vegan and believes that all beings have equal value and humans should not kill or exploit animals for food, clothing, and laboratory tests among others. This is a violation of the natural law and the natural personal beliefs of the plaintiff. To this end, they cannot take the mumps vaccine since it is originating from chicken. Being vaccinated violates the beliefs of the client while the medical institution has a priority to protect its staff safety. The court ruled in favor of the plaintiff on the basis of religious views requiring a deeper level of meaning.
No, I do not agree with Friedman. Employers have a duty to respect the beliefs of their employees. Although persons have a right to religion, there is a need to have a structured sense between core and secular beliefs. To this end, there is a need to ensure that the claimed belief answers some fundamental and ultimate questions in an intense and imponderable way. There is a need to ensure that religion is comprehensive and corresponds to a belief system rather than an isolated incident or teaching. Finally, there is a need for recognition with certain formal or external approaches. As such, the core duty of the organization to provide a safe and healthy working space would often align to core religious beliefs. Where there is conflict, engaging the utilitarian ethical approach basis would be appropriate. Endangering the lives of many for adherence to a single person's belief system would be unethical and as such, the organization should look to protect the larger population.
Question 7: What ethical duties, if any, do you think the drug manufacturers owe to the state or people in this case?
The plaintiffs in the case are Ashley county and the defendants are Pfizer Inc. The plaintiffs in the case claim that the defendant was unjustly enriched at the expense of the population of residents of Arkansas. The cold and allergy medication contains a raw ingredient that was being used to produce meth that was causing hurt to the community. The court held that the manufacturers are not liable for the social costs of the drug misuse. The process of WH involves a consideration of the persons that are affected by the action, the purpose of engaging the action, and the review of the morality of the issue. To this end, the people of Arkansas were affected negatively by the ingredients in the cold and allergy medication produced by Pfizer Inc. In this way, Pfizer delivered the raw ingredients for developing meth. The purpose of engaging in an ethical duty is to minimize the negative implications of the medication on the community. There is a key moral issue of ensuring the ingredients in the medication is not altered for other uses. There is also a need to support the issues of addiction in the region as part of mitigating the negative effects arising from the misuse of the medications.
Question 8: With whom do you agree? Why? What values did you use to reach your conclusion? [ Erickson v. Bartell Drug Co., 141 F. Supp. 2d 1266 (2001).]
The plaintiff in the case is Jennifer Erickson and the defendant is Bartell Drug Company. The key issue raised is whether the selective selection and exclusion of prescription contraceptives from the general comprehensive prescription plan is a form of discrimination based on gender. The plaintiff asserts that Bartell's decision to not cover contraceptives under the prescription benefit plan is a violation of the Pregnancy Discrimination Act. The court held that the prescription benefit plan by Bartell Drug Company is discrimination against its female employees. I agree with Jennifer Erickson. There is a violation of Title VII Civil Rights Act that looks to eliminate various forms of discrimination in workplaces based on various elements including gender, race, and religion. To this end, Bartell Drug Company, by refusing to cover prescription contraceptives under its prescription medication program shows a lack of justice value. The company does not recognize the need to have an equal view of prescription contraceptives as being equal to other prescription medications.
Question 9: How do you think the court should have ruled in this case? Do you think ENI might have altered its decision to broadcast the execution if it had applied the Golden Rule? [ Entm’t Network, Inc. v. Lappin, 134 F. Supp. 2d 1002 (2001).]
The plaintiff in the case is Entertainment Network Inc. The defendants are Harley Lappin, Kathleen Hawk, and John Ashcroft in their official capacities representing the United States. There are no restrictions on media representatives' reports on their observations. Plaintiff seeks to film and broadcast the live execution over the Internet for anyone willing to pay a fee. The plaintiff is convinced that the traditional way of reporting such events by experienced reporters is not adequate. The decision of the court was in support of the defendant’s decision to withhold the execution. The court should have allowed the airing of the event. This is in line with the right of the press to gather news as part of the freedom of the press n the First Amendment. Considering the Golden Rule of treating others as one would want to be treated, ENI might have altered its decision to broadcast the execution.
Question 10: What values are at odds in the dilemma outlined in this case? [ Chalfant v. Titan Distribution, Inc., 475 F.3d 982 (2007).]
The defendant in the case is Robert Wayne Chalfant and the defendant is Titan Distribution Inc. The case is presented with facts that the plaintiff has a disability as defined by ADA, they are qualified and able to perform the key functions outlined for the job with and without much accommodation, and has suffered some key adverse employment action resulting from their disability. The defendant claims that Chalfant was not able to fully engage the position of supervisor applied for in his current state. Since he only applied for one position, the company could not consider the plaintiff for another position. The jury found Titan Distribution Inc to have discriminated against Chalfant based on his disability and awarded back-pay and punitive damage compensation. The key value at odds is justice. There is a need to consider the failure to hire claims from both perspectives and realize that both parties have valid points. Thus they have key inclinations in their cases for justice.