BUSINESS LAWETHICS

As we proceed…keep these in mind

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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 – DiscriminationPartner benefits for unmarried peopleStem Cell researchPrivacy issues – search and seizure – Patriot actSmoking BansStandards for Board of Director oversight of CorporationAcceptability of language over the airwavesSarbanes-Oxley Act

EXAMPLES of MORALS and VALUESimpacting 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