ASSIGNMENT 2 (50 Marks]

Complete the following statements. Next to the corresponding number write the appropriate word(s) in your answer booklet. Question 1 (15x1 = 15)

a) The principle of employment at will is opposed to the doctrine that employees have a right to .......................................

b) A "bait" and "switch" scheme, like a fictitious sale price, is a variety of............................and violates one of the basic duties of the contract view.

c) The glue that holds an organization together, in the rational model, are ..................................agreements.

d) ....................................... are a legitimate countervailing means for balancing the power of the large corporation.

e) .......................................... are individuals who enjoy the benefits of a good without paying their share of its costs.

f) ............................................ is the legal doctrine that holds that the manufacturers must bear the cost of injury resulting from product defects regardless of fault.

g) ....................................................... are the legal duties of employees toward their employers.

a)..................................................... is when an employee has an interest that might influence the judgments he/she makes for the employer when performing a certain task for the employer and has actually been given that task to perform.

b)................................................. occurs when an employee demands a consideration from persons outside the firm as a condition for dealing with favourably with those persons when the employee transacts business for the firm.

c)................................................ is the act of buying and selling of a company's stock on the basis of "inside" information about the company.

d)................................................ is the degree to which the job has a substantial and perceivable impact on the lives of other people.

e)............................................... is the doctrine that, unless employees are protected by an explicit contract, employers may dismiss their employees for good cause, for no cause or even for causes morally wrong, without being thereby guilty of legal wrong.

f)Affirmative action programs can be defended either as a form of ..................................or as an instrument for achieving social goals.

g)............................................. is the right to a fair process by which decision makers impose sanctions on their subordinates.

h)Discrimination that is the result of the isolated behaviour of a single individual ..............................................................discriminatory behaviour.

CASE SCENARIOS

Case scenario 1

The head of a research unit requests permission to review another research group's proposal in case she can add information to improve the project. Her covert intent is to maintain her current power, which will be endangered if the other research group carries out the project. Using her informational power base, she covert means to introduce irrelevant information and pose further questions. If she sufficiently confuses the issues, she can discredit the research group and prevent the project from being carried out. She covers these covert intents and means with the overt ones of improving the project and reviewing its content. This relates to Corporate politics.

Question 2

What type of tactics would you say the head of research used? (10)

Case scenario 2

You are a sole practitioner who used to provide a range of accountancy services for a small company (Company A) that owns a hardware shop in the town where you practice. Following a brief retendering process, the client chose to engage an alternative firm of accountants. Both you and the other firm had been asked to tender for a range of services, including the preparation of year end accounts, tax compliance work, and a due diligence exercise in respect of the intended purchase of a small hardware business in the neighbouring town. You believe that you were unsuccessful in the tendering process on the basis of cost alone, as Company A is not very profitable, and suffers from the competition of the other hardware business that it intends to acquire.

You are the continuity provider for another local sole practitioner. Two months ago he suffered a heart attack, and so you are currently acting for a number of his clients. He is not expected to resume practising for another two months. One of the clients of the incapacitated practitioner

(Company B) operates a shop selling electrical goods. The director and majority shareholder has called you to arrange a meeting to discuss a business venture that he is considering. At the meeting, the client explains that he intends to make an offer for the same small hardware business that Company A is seeking to acquire. He is aware that there is another bidder for the business, but is unaware that it is Company A, or that Company A used to be your client.

When the meeting is over, you start to feel uneasy. You want to help Company B and provide a valued service on behalf of the practitioner for whom you are the continuity provider. But you realise that you are also in possession of confidential information concerning the plans of your previous client. You are aware of Company A's problems and its motivation for wishing to acquire the business.

Question 3

a)Cite from the case the ethical dilemma you might find yourself in and not tarnish your reputation or profession? (5)

b)How will you safeguard your reputation and that of your profession? (4)

c)Identify the affected parties and who should be involved in the resolution? Discuss in detail. (6)

Case scenario 3

Motor vehicle accident

In one case, a lawyer represented a defendant in a case involving injuries from a motor vehicle accident. The claimant was badly hurt but recovering. To determine the extent of the current injury, the claimant agreed to be examined by a doctor hired by the defendant's lawyer. The doctor discovered that the claimant had a heart problem, which was almost certainly caused by the accident, and forwarded this information to the lawyer.

The heart problem was serious and could cause further injury to the claimant, but the lawyer did not disclose this information to the claimant, because he was representing the defendant and disclosing this unknown injury could increase the amount the defendant would have to pay to the claimant in settlement negotiations.

Question 4

a) Why was the claimant not given the information in this case by the doctor hired by the defendant, or by the defendant's lawyer? (5)

b) What are the reasons for not providing the information to the claimant? Discuss in detail.(5)