BUSINESS LAW ETHICS

As we proceed…keep these in mind WorldCom

Let’s be clear on the terms  LAW: Rules created by the governing body of a society to maintain harmony, stability and justice in that society.  MORALS: Values that govern society’s attitude between right and wrong.  ETHICS: Developing a way of determining what values ought to be—How we ought to act—embraces characteristics of honesty, fairness, compassion, integrity.

WHY DISCUSS VALUES and MORALS in BUSINESS LAW CLASS??!!  What we “value” impacts society Changing morals impacts our value system  Society impacts the formation of law.

Changes? Really? Did you know…  In the early 50’s it was not permissible to say “BATHROOM” on TV.  Showing King sized beds was not allowed.  No unwed mothers.  No foul language.  ….and today ?

Equal rights – Discrimination Partner benefits for unmarried people Stem Cell research Privacy issues – search and seizure – Patriot act Smoking Bans Standards for Board of Director oversight of Corporation Acceptability of language over the airwaves Sarbanes-Oxley Act EXAMPLES of MORALS and VALUES impacting the law…

Where do ETHICS come into play? MORALS VALUES ETHICS

Ethical Theories  Ethical Relativism Situational ethics  Social Contract Theory  Utilitarianism  Rational or Objective Ethics  Role Model Ethics…

Ethical characteristics- Role Model Theory  Setting your own ethical standards through: Honesty Integrity Fairness Compassion

Personal Ethics ~ Business Ethics  How do personal ethical standards impact business?

How do you establish “rules of conduct”…An ethical lifestyle?  Some motivated by what others think  Some motivated to do what is right  Some motivated by fear of consequences  Some motivated by compliance  “Golden Rule”

The Relationship between Law and Ethics  Society has instituted THE LAW that tells us certain conduct is unacceptable and will administer punishment.  The Law cannot administer punishment for unethical behavior----BUT----

Ethics may be the foundation of our legal system! ETHICS MORALSVALUES LAW

Character Ethics, Business, Law "In the long run, there's no capitalism without conscience. There is no wealth without character." President George W. Bush Source: Washington Post, Wednesday, July 10, 2002