Q Restaurant Group Holdings, LLC, owns and operates Q-BBQ restaurants. Michael Lapidus managed the restaurants and conducted the day-to-day operations. This included bargaining with the restaurants’ vendors, buying the supplies, keeping the books and records of account, and handling the company’s money. Lapidus also dealt with the staff and made the hiring and firing decisions. He was expected to use his best efforts to grow the profitability of the restaurants. The LLC discovered, however, that Lapidus was misappropriating and converting company funds to his own use. He was also exposing the LLC to liability by mistreating female employees and vendors. When the members voted to terminate Lapidus, he changed the passwords on the Q-BBQ social media accounts, interfered with the employees during their work hours, and refused to return company property in his possession. [Q Restaurant Group Holdings, LLC v. Lapidus, 2017 IL App (2d) 170804-U (2017)] (See LLC Management and Operation.) 

(a) What action should the LLC take against Lapidus? Consider the ethics of the options, using the IDDR approach. 

(b) Suppose that Lapidus was in the midst of a contentious divorce, experiencing severe financial problems, and undergoing psychological distress as a consequence. Could these issues excuse his conduct at work? Discuss.