4 ms·
Incorporation is to reduce liability for debt. It's not supposed to reduce liability for criminal negligence. Or other criminal offences.
by ajb 2y ago
Incorporation is to reduce liability for debt. It's not supposed to reduce liability for criminal negligence. Or other criminal offences.
- lenerdenator 2y agoAt least in the US, there's precious little difference. If a company is found guilty of a crime, the C-suite isn't thrown in prison; they pay a fine. If a company is found to have committed a tort against a party, they pay damages. There are exceptions (the Volkswagen diesel scandal comes to mind) but generally both punishments entail paying out a monetary amount that is often lower than the profit generated by the crime, often because of tort reform or because of fine amounts that are out-of-date with current corporate revenues.
- jjk7 2y agoThere was one banker imprisoned for the 2008 financial crisis, but he was hardly responsible.