Exxon Valdez Case Study
1. What has happened to the key players since the events in this case?
Since the events occurred in this case, there were many victims including wildlife & marine life, the environment, the fishermen, and the economy of the region. This event devastated the wildlife in the Prince William’s Sound by covering the natural habitat with over 11 million gallons of oil. Many wildlife species had perished during the oil spill and some have still not returned. The natural resources still have not recovered from the disaster. The fishermen, who have relied on the Prince William Sound, are still not able to make a living due to restraints placed on them by the federal government. The federal government has banned the fishing of certain species of marine life due to their slow recovery from the oil spill. Despite the money that was awarded to the victims, there still is not enough to cover the debts of the fishermen and to recover the economy. Even though Exxon agreed to plead guilty of criminal charges and to pay restitution for the damages caused, the litigation had reached the Supreme Court. This disaster had no effect on the company’s profits or stock price despite the large fines imposed. Even when damages were imposed on Exxon, with $5 billion in punitive damages, the company still continued to grow. The Supreme Court had outraged the victims by cutting the punitive damages amount of $5 billion to a minimal amount of about $500,000.
2. Were the consequences they experienced as a result of their role appropriate under the circumstances and why? I feel that this disaster should have never occurred. Exxon Corporation did plead guilty to criminal charges and agreed to pay a fine. Exxon Corporation knew the ship’s captain had a drinking problem but they still let him command the ship. Exxon Corporation had a duty to ensure that the other employees on the Exxon Valdez were working in safe conditions. Exxon Corporation also caused more harm than good when they left
Since the events occurred in this case, there were many victims including wildlife & marine life, the environment, the fishermen, and the economy of the region. This event devastated the wildlife in the Prince William’s Sound by covering the natural habitat with over 11 million gallons of oil. Many wildlife species had perished during the oil spill and some have still not returned. The natural resources still have not recovered from the disaster. The fishermen, who have relied on the Prince William Sound, are still not able to make a living due to restraints placed on them by the federal government. The federal government has banned the fishing of certain species of marine life due to their slow recovery from the oil spill. Despite the money that was awarded to the victims, there still is not enough to cover the debts of the fishermen and to recover the economy. Even though Exxon agreed to plead guilty of criminal charges and to pay restitution for the damages caused, the litigation had reached the Supreme Court. This disaster had no effect on the company’s profits or stock price despite the large fines imposed. Even when damages were imposed on Exxon, with $5 billion in punitive damages, the company still continued to grow. The Supreme Court had outraged the victims by cutting the punitive damages amount of $5 billion to a minimal amount of about $500,000.
2. Were the consequences they experienced as a result of their role appropriate under the circumstances and why? I feel that this disaster should have never occurred. Exxon Corporation did plead guilty to criminal charges and agreed to pay a fine. Exxon Corporation knew the ship’s captain had a drinking problem but they still let him command the ship. Exxon Corporation had a duty to ensure that the other employees on the Exxon Valdez were working in safe conditions. Exxon Corporation also caused more harm than good when they left
References: Trusted Criminals: White Collar Crime In Contemporary Society, David O. Friedrichs. http://online.vitalsource.com/books/page69. The Exxon Valdez Oil Spill Trustee Council. http://www.evostc.state.ak.us/facts/index.cfm