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Legal Ethics

Essay by   •  July 15, 2010  •  Essay  •  303 Words (2 Pages)  •  2,081 Views

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* Who are the stakeholders in this case?

George, Plant manager

Bill, George's boss

The employees of Ardnak Plastic Inc.,

Residents of Hondo


People that are affected by the pollution

The Mexican town

George has a family and is a manager of a small plant. His plant's emissions were

always above EPA guidelines. George was told by his boss that the EPA would enforce fines if they were not compliant with the EPA. Bill the boss stated that there was no money and that other plants in worse condition that were passing the emissions standards because they were scheduling their heavy emissions work at night to avoid the EPA officials. Bill offered two options: eliminate the fines by correcting the problem or relocate to Mexico. This would ruin the Hondo and would continue to contaminate the air on the American side. Mary, George's wife, did not want to be responsible for any job loss to their friends and family.

* What are the interests of the stakeholders?

Continued employment for George and its employees

Clean air for the surrounding area and its residents

Legal Analysis

Every manager must know the laws that relate to the environment when involved in business. Knowing and obeying the law is imperative to developing a profitable and socially responsible company. George must make an ethical decision that could have environmental and financial repercussions.

The Clean Water Act was passed in 1972 to offer Federal protection to the country's waterways. This act includes wetlands, waterways, vegetation, animals and humans. Any substance that has the potential to runoff into the rivers and waterways is subject to this act. The EPA has the power to impose fines and criminal charges against the business for not complying with the guidelines



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