BU231 Lecture Notes - Lecture 12: Plaintext

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Question we address here is whether directors and officers should be held criminally liable for offences committed by their corporation under their supervision. The threat of jail sends a clear message to corporate executives that they are not immune to criminal sanctions incarceration is one cost of business you can"t pass to the consumer. Basis for liability imposed on enterprises and their officers: environmental. If they blame the employee then the employee may be found to be a directing mind or the corporation will be guilty of not having sufficient control / procedures: expertise required of directors and senior officers. Courts seem to expect greater diligence from the corporation"s experienced senior officers. Apart from the liability of an enterprise itself, any person who actually commits an offence is personally liable even when authorized by the corporation (vicarious) Those who cause or permit a hazardous substance to be discharged. And those who directed, assented to do the above.

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