Ethics and Legal Environment of Business Essay - 1337 Words

HOOPER V. YODER September 9, 2015 The purpose of this paper is to analyze and evaluate a civil court case between Steven J. Hooper v. David Yoder and the role ethical principles played in the case. I would like to address these important points in this paper: * Define common law * Summary of the facts that brought the parties into the courtroom * State the holding of the court * The legal rights and responsibilities of the plaintiff and defendant * The role of ethical theories including Kant and Nozick’s in this case * Propose specific, common sense business practices that may have resolved the conflict Let’s begin with a definition of common law which is applied to all corporations. â€Å"Common law is made and†¦show more content†¦Therefore, Market West accepted the corporation stock as partial debt. Hooper and Yoder agreed to add Brian Bradley who worked for Market West as the third director. Hooper colluded with Bradley and violated a fiduciary duty to Yoder by issuing 95 shares of stock to himself, 5 shares to Bradley, and none to Yoder. Furthermore, Hooper got paid $141,000 salary from the business without Yoder knowing. More importantly, Hooper and Bradly voted to force Yoder to leave the corporation. After Yoder found out that Hooper broke their agreement, violated Yoder’s rights and duties, acted dishonestly, and made unethical decisions, Yoder sued Hooper and Beautiful Daydreams in the District Court. Under the common law, with these facts, the court supported Yoder and ordered Hooper to give back one-half of the salary plus one-half of the shares o f stock to Yoder. Let’s begin the analysis with the parties’ rights and responsibilities. Since both Hooper and Yoder were on the board of directors, their rights and responsibilities included: * Right to work, to develop, and to advertise their dairy products * Right to earn and receive profits of the business * Right to receive shares of stock and salary if any * Right to authorize and make business decisions * Right to appoint new directors or officers as needed * Right to have honest and clear communications from other board of directors * Responsibility to perform their work duties *Show MoreRelatedLegal and Ethics in Business Environment800 Words   |  4 Pages Legal and Ethics in Business Environment Name: Institution: â€Æ' Legal and Ethics in Business Environment Introduction After working as an employee for Coca Cola Company for a period of 20 years, I accrued enough capital to establish my own company. The investment sector presents many challenges when one invests on a global scale. 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