Preview

Legal and Ethical Leadership in Management

Powerful Essays
Open Document
Open Document
1539 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Legal and Ethical Leadership in Management
Legal and Ethical Leadership in Management
Porchia McCray
Argosy University Online

Introduction
This paper will discuss a scenario involving two competing designer and manufacturing companies and their mutual retailer. The names of the two designer companies are Mathis Inc. and Countess Lori- Ann (CLA). The name of the retailor is Normandale’s. Normandale’s is having trouble profiting from the sales of the high priced clothing items made by Mathis Inc. Normandale’s made a request to CLA to duplicate the clothing made by Mathis Inc. The clothing is to be sold at lower cost, in efforts to help increase their profits. In efforts to aide Countess Lori Ann in duplicating Mathis’s clothing line; Normandale sends samples and photos of the clothing to CLA. Mathis has discovered that the counterfeit items are being sold, and has requested that Normandale stop selling the imitation product. Normandale has not complied. This paper will discuss if Normandale’s behavior was ethical or not, state or federal laws in relation to intellectual property, and if Mathis has incurred any damages. The paper will also cover social responsibility, implementation of ethical codes, and personal and criminal liabilities.
Ethical Behavior
Ethics is the study of good and bad behavior; while business ethics takes it further to include the good and bad behavior of a business (Kubasek, Breenan, & Browne, 2009). Knock off products are defined as “Identical (and usually unauthorized but cheaper) copy of a patented, trademarked, or copyrighter product of work” (WebFinace Inc., 2013). Is it ethical for Normandale to sale the knock off products at lower prices? It was very unethical for Normandale to secretly request and aide a competitor of Mathis to duplicate the clothing line without consent from the original designer. It was also unethical to sale the product at a lower price. The company broke several business ethics such as being honest, acting with integrity, and several



References: Asia-Pacific Economic Corporation. (n.d.). What is Intellectual Property? A Beginner 's Primer. Retrieved January 14, 2013, from Intellectual Property Explorer: http://intellectualpropertyexplorer.com/what-is-intellectual-property/ Berkely Law. (2010, January). Compensatory Damags Issues in Patent Infringement Cases: Federal District Court Judges. Retrieved January 14, 2013, from Berkely Law: www.law.berkeley.edu/files/bclt_PatentDamages_Ed.pdf Berkshire Hathaway Inc. (2012, May 9). Code of Business Conduct and Ethics. Retrieved January 15, 2013, from Berkshire hathaway Inc: www.berkshirehathaway.com/govern/ethics.pdf Josephson, M. (2010, December 17). 12 Ethical Principals for Business Executives. Retrieved January 14, 2013, from Business Ethics and Leadership: http://josephsoninstitute.org/business/blog/2010/12/12-ethical-principles-for-business-executives/ Kubasek, N. K., Breenan, B. A., & Browne, M. N. (2009). The Legal Environment of Business: A Critical Thinking Approach. Upper Saddle River, New Jersey, USA. Mills, N. E. (2009). Intellectual Property Protection for Fashion Design: An Overview of Existing Law and A Look Toward Proposed Legislative Changes. Retrieved January 14, 2013, from Digital Law: http://digital.law.washington.edu/dspace-law/bitstream/handle/1773.1/438/vol5_no5_art24.pdf USLegal.com. (2001-2013). Intellectual Propery Law and Legal Definition. Retrieved January 14, 2013, from USLegal.com: http://definitions.uslegal.com/i/intellectual-property WebFinace Inc. (2013). Knock Off. Retrieved January 14, 2013, from BusinessDictionary.com : http://www.businessdictionary.com/ WebFinance Inc. . (2013). Personal Liability. Retrieved January 15, 2013, from BusinessDictionary.com: http://www.businessdictionary.com/definition/personal-liability.html

You May Also Find These Documents Helpful

  • Best Essays

    Kubasek, N.K., Brennan, B.A., & Browne, M.N. (2009). The Legal Environment of Business: A Critical Thinking Approach (5th ed.). Upper Saddle River, NJ: Pearson Learning Solutions…

    • 1696 Words
    • 7 Pages
    Best Essays
  • Good Essays

    Jit2 Task A Risk Register

    • 1596 Words
    • 5 Pages

    Product Counterfeiting and Imitation Risks | Other vendors stealing logos and designs and portraying their imitation products as original | Product Branding Team/General Counsel Legal Team | Brand and design theft | High | Low | Medium |…

    • 1596 Words
    • 5 Pages
    Good Essays
  • Good Essays

    The following paper will examine an article detailing the definition intellectual property. Additionally, it will make example of the laws that govern and protect the creation and use of intellectual property.…

    • 890 Words
    • 4 Pages
    Good Essays
  • Satisfactory Essays

    Law 421

    • 822 Words
    • 4 Pages

    Zuber, J. J. (2009). Interference Torts: When Business Competition Is Actionable. Business Torts Journal, 16(4), 12-15.…

    • 822 Words
    • 4 Pages
    Satisfactory Essays
  • Satisfactory Essays

    Ethics Paper Week 2

    • 378 Words
    • 2 Pages

    The ethical dilemmas in, “Counterfeit Culture” were numerous. Counterfeiters knowingly create false products, retailers knowingly sell them, and some consumers knowingly support the counterfeit market. Alternatives, you can make when thinking about buying counterfeit merchandise is to think, would the benefit of buying genuine merchandise outweigh the possible side effects of buying it as a knock off? Another alternative to stopping counterfeiting would be for governments, around the world to heavily enforce laws against the creating, buying, and selling of counterfeit merchandise. If you look at the ethical theory of utilitarianism, what would cause the…

    • 378 Words
    • 2 Pages
    Satisfactory Essays
  • Satisfactory Essays

    Ck vs Warnaco

    • 744 Words
    • 3 Pages

    On May 30, 2000 The Calvin Klein family filed a lawsuit against Warnaco Group Inc for eighteen counts of trademark infringement, trademark dilution and intentional misrepresentation. Nearly a month later Warnaco answered with a counter suit, denying the major allegations and justifying the dilution to falling within the scope of the two parities licensing agreement. The case study brings forth information regarding fashion retailing, distribution practices and even the licensing practices expected within the marketplace, however as a reader one should keep in mind that during the millennium “licensing was a staple in the fashion business.” (pg.8) Many companies looked to licensing to help brand extension and most, in fact, built a steady revenue from licensing out their brands. These brands include brands like Ralph Lauren, Nine West and Liz Clairborne, but also venture into the luxury market targeting brands such as Gucci and Fendi as well. It is safe to say that licensing, in the millennium, was a prominent and successful trend within the fashion industry. It was this trending success that emerged licensing groups, such as the Warnaco Group.…

    • 744 Words
    • 3 Pages
    Satisfactory Essays
  • Good Essays

    Pirates of Globalization

    • 687 Words
    • 3 Pages

    Answer: It depends on the products. If the products are marketed for automotive parts which will affect people’s life such as break, fluids, filters, batteries etc. When consumers are in accident because of a counterfeits products, the legitimate manufacturer needs to prove that the product is not their own and will be out of their responsibilities.…

    • 687 Words
    • 3 Pages
    Good Essays
  • Powerful Essays

    Internationl Bussiness

    • 2670 Words
    • 11 Pages

    • HBR's cases, which are fictional, present common managerial dilemmas and offer concrete solutions from experts. Counterfeiting of Ruffin products is on the rise. The company's CEO is obsessed with putting a stop to it. How far should he go? SPLINTERS OF WOOD flew in all directions as the battering ram crashed through the bolted warehouse door. The police cordon surrounding the building waited nervously as Hong Kong's elite special unit swarmed inside, shouting what Ted Dwayne could only imagine was "Put your hands up, or we'll shoot!" and "Police!" in Cantonese. As a client-service director for Brand Protection Services Limited, Ted used his nearly 20 years of law enforcement and private-investigation experience to track down and bring to justice counterfeiters of his clients' wares. He had been working this particular case for almost a year now and was in Hong Kong to make sure the sting operation, intended to seize literally tons of fakes of his client company's…

    • 2670 Words
    • 11 Pages
    Powerful Essays
  • Powerful Essays

    In 1941, the Supreme Court held that the Guild was an unreasonable restraint-of-trade; the end of the Guild marked the beginning of the knocking off "free-for-all" that we are familiar with today began. It is now common for imitators to photograph the clothes in a designer 's runway show, send the photo to a factory to be copied, and have a sample ready within a couple of days for retail buyers to order. Since fashion collections are displayed in runway shows approximately four to five months before they are available to the public, this leaves the fashion impersonator plenty of time to get the copies to stores at the same time, if not earlier, than the originals. Designers assert that design piracy cuts into their longstanding franchise of uniqueness, lowers their sales volume, and ultimately removes incentives for creativity.…

    • 10794 Words
    • 44 Pages
    Powerful Essays
  • Better Essays

    Many people believe that famous brand name and high price is a guarantee of high quality. This belief, however, is challenged as Armani has been caught in several quality scandals in China. In fact, Armani is not the only brand that has been dogged by marketing scandals. All these scandals in the market are indicative of the lack of marketing ethics of today’s companies. This essay will first briefly describe the quality scandals of Armani. Then American Marketing Association (AMA) Code of Ethics will be applied to discuss the ethicality of Armani’s marketing activity. The essay will conclude with suggestions for Armani to restore its brand name.…

    • 876 Words
    • 4 Pages
    Better Essays
  • Good Essays

    [ 4 ]. V.R. Moffat, “Mutant Copyrights and Backdoor Patents: The Problem of Overlapping Intellectual Protection” 19 Berkeley Technology Law Journal 1473, 1474 (2004).…

    • 9481 Words
    • 38 Pages
    Good Essays
  • Satisfactory Essays

    Comparative Advertising

    • 361 Words
    • 2 Pages

    Paul Goldstein, Cases and Materials on the Law of Intellectual Property, West Information Pub Group, 1999…

    • 361 Words
    • 2 Pages
    Satisfactory Essays
  • Good Essays

    Counterfeit Brands

    • 585 Words
    • 3 Pages

    First of all it is important to say that there are two types of counterfeit product purchases by consumers. Deceptive counterfeiting takes place where the consumer does not know that they have purchased a counterfeit product. In contrast, non-deceptive purchases of counterfeit products take place where the consumer willingly buys the counterfeit products. We’re dealing here with the latter type of purchase. If lawmakers and the producers of genuine branded goods want to take action against counterfeits as well as dealing with the suppliers they may need to consider why the demand exists. Much in the same way as health campaigns against cigarette smoking were based on understanding the various reasons why people smoke, so it is also clear that the consumption of counterfeits is a complex activity which has many causes that need to be understood.…

    • 585 Words
    • 3 Pages
    Good Essays
  • Powerful Essays

    * Burk, Dan L. and Mark A. Lemley (2009). The Patent Crisis and How the Courts Can Solve It. University of Chicago Press. ISBN 978-0-226-08061-1.…

    • 8201 Words
    • 33 Pages
    Powerful Essays
  • Satisfactory Essays

    Modern usage of the term Intellectual Property goes back at least as far as centuries back. The history of patents actually sprung not from scientific inventions but rather from royal grants for monopoly privileges. Now we ask, what is Intellectual Property and what does it signify? First we define Intellectual Property as creations of the mind such as inventions, literary pieces, artistic works, images, trademark names, and design. There are two categories of IP, namely Industrial property pertaining to inventions, industrial design, trademarks, and the other type is Copyright which includes literary and artistic works. These exclusive rights allow the owners of the intellectual property to benefit from their creations, mainly involving a financial aspect in the picture. This is important whenever these are products of research and development ventures.…

    • 379 Words
    • 2 Pages
    Satisfactory Essays