NCJ Number
63686
Journal
ADELAIDE LAW REVIEW Volume: 6 Issue: 3 Dated: (SEPTEMBER 1978) Pages: 361-412
Date Published
1978
Length
52 pages
Annotation
THE AIMS OF CORPORATE CRIMINAL RESPONSIBILITY, BOTH AS A SOCIAL POLICY AND AS A LEGAL DOCTRINE, ARE DISCUSSED.
Abstract
CORPORATE CRIMINAL RESPONSIBILITY IS ONE OF THE FEW COLLECTIVE LEGAL RESPONSES TO THE HARM DONE BY CORPORATIONS. ITS MOST IMPORTANT AIM IS DETERRENCE: COERCIVE FORCE IS APPLIED INDIRECTLY TO OFFICERS, EMPLOYEES, AND SHAREHOLDERS WHEN THERE IS LOWER CORPORATE PROFIT (E.G., LOWER SALARIES), REDUCED PRESTIGE, OR UPSET OF INTERNAL DISCIPLINE (CONVICTION OR SENTENCE). A SECOND MAJOR FUNCTION IS TO PROMOTE INTERNAL DISCIPLINE; HOLDING A CORPORATION RESPONSIBLE FOR AN OFFENSE CREATES SOME PRESSURE ON IT TO DEVELOP AND APPLY AN INTERNAL DISCIPLINE CODE. SPECIFIC PREVENTION, A THIRD IMPORTANT FUNCTION, INVOLVES DIRECTING COERCIVE MEASURES AT THE PART OF A CORPORATION'S OPERATION MOST VULNERABLE TO CRIMINAL EXPLOITATION. PREVENTIVE ORDERS REQUIRING A CORPORATION TO INSTALL A PARTICULAR KIND OF ANTIPOLLUTION DEVICE OR TO IMPROVE ITS COMMUNICATION NETWORK ARE EXAMPLES OF SPECIFIC PREVENTION. THE GENERAL PREVENTIVE AIMS OF CORPORATE CRIMINAL RESPONSIBILITY BROADLY HELP TO PROVIDE A RATIONALE FOR CONFORMITY: SUBJECTING CORPORATIONS TO CRIMINAL LAW NOT ONLY GIVES OFFICERS OR EMPLOYEES A REASON FOR THINKING BEYOND THEIR OWN PERSONAL CHANCES OF EVASION OF JUSTICE BUT ALSO HELPS TO KEEP THE INTERNAL CORPORATE SYSTEM FROM BEING REGARDED AS EMPLOYEES' PRIMARY LOYALTY. THE FUNCTIONS OF COMPENSATION, RESTITUTION, AND RESTORATION SERVE AS LEGAL REMEDIES FOR MULTIPLE VICTIMS AND PUBLIC HARM. UNFORTUNATELY, THE RETRIBUTIVE FUNCTION OF CORPORATE CRIMINAL RESPONSIBILITY IS UNDERMINED BY ITS INABILITY TO AVOID DISTRIBUTING RETRIBUTIVE PUNISHMENT TO MORALLY UNRESPONSIBLE ASSOCIATES. FINALLY, A BROADER AIM IS TO PROVIDE PUBLIC INFORMATION, TO WARN THOSE WHO MAY SUFFER OR HAVE SUFFERED FROM THE CORPORATION'S PAST OR FUTURE OFFENSES, TO GIVE INVESTORS AND CONSUMERS INFORMATION RELEVANT TO THEIR FUTURE DEALINGS WITH A CORPORATION, AND TO HEIGHTEN COMMUNITY PERCEPTIONS OF THE DYNAMIC BALANCE BETWEEN POLITICAL AND CORPORATE POWER. THESE AIMS REQUIRE FURTHER INVESTIGATION. CASE LAW IS CITED AND EXTENSIVE FOOTNOTES ARE PROVIDED.