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Business Law

Suppose there is a factory that makes school buses. It comes to light that the installation of a new brand of seatbelt will result in three fewer deaths a year. The new seatbelts will increase costs approximately 100$ per bus – a moderate cost to this company. The old seatbelts are within legal standards, and the bus company is free to continue to use their current seatbelts. You are the company’s lawyer. Your boss asks for your advice about which type of seatbelts the company should use taking into account the interests of the public, the shareholders, and the passengers of these buses. Strictly speaking, you determine that under current laws and judicial decisions your company will not be in any greater danger of legal liability whether you choose to install the new seatbelts or continue using the others. What ethical issues would you consider while preparing your advice for your boss?

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