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The Legal Environment of Business and Corporate Liability: The Nike v. Kasky Case

đź“„ Words: 563
đź“ť Subject: Corporate & Business Law
đź“‘ Pages: 2
✍️ Type: Essay
Table of Contents
  1. Introduction
  2. Morality and Law
  3. Training and Liability
  4. Case Analysis
  5. Conclusion
  6. References

Introduction

Understanding the legal environment of business is essential in the world of commerce. It involves a comprehensive understanding of the law, its origins, and its relationship to business. This understanding allows professionals to recognize legal situations, minimize liability exposure, and identify when it is necessary to consult an attorney. Businesses must be familiar with the government structure and knowledgeable in the regulations of the law to be successful.

Morality and Law

Addressing whether morals are part of law or are separate concepts, it is essential to acknowledge that legal and moral frameworks often intersect but are not the same. Laws are formal, written rules that societies establish to maintain order and protect rights, whereas morals are more subjective and often based on religious or philosophical beliefs. While some laws may reflect moral standards, they can also be devoid of morality, and vice versa. Hence, while they often intersect, morality and law are fundamentally separate concepts (Postema, 2019).

Furthermore, it is important to note that morals can often be subjective and vary widely from person to person, culture to culture, and society to society. This is why laws, which are typically more objective and universal, are critical in governing business practices and behaviors. A business that operates with strong moral principles will often have better relationships with its customers, employees, and stakeholders. However, it is also essential to understand that moral decisions in business may have legal consequences; thus, understanding both is crucial.

Training and Liability

It can be argued that employers should not be completely excused from legal responsibility for the actions of their employees, even if they have provided adequate training. Providing training is essential, but it does not guarantee that employees will always act according to the training. Employers have a responsibility to maintain a safe and respectful workplace, which extends beyond simply providing training (Diamantis, 2020). If an employee chooses to ignore the training and behaves inappropriately, the employer should bear some responsibility for failing to enforce a respectful workplace environment effectively. However, the degree of liability would depend on the specific circumstances and how the employer responded to the incident.

Case Analysis

In the context of Nike, Inc. v. Kasky, a case concerning corporate speech, the question arises whether corporations should be treated as persons under the law. The authors of the Bill of Rights likely did not anticipate the rise of corporations as they exist today. However, considering the influence and impact corporations have in society, it is reasonable to afford them certain rights to protect their interests and ensure fair business practices.

In the Nike v. Kasky case, Nike was accused of making false statements about its labor practices, a matter of public concern. Here, the court acknowledged Nike’s right to free speech but also emphasized the importance of corporate accountability. This case illustrates that while corporations can be considered legal persons, they should also bear the responsibilities and accountability that come with this status.

Conclusion

In conclusion, a nuanced understanding of the legal environment of business is crucial for successful business practices. Such practices include understanding the relationship between law and morality, recognizing the responsibilities of employers towards their employees, and appreciating the role of corporations in society and their rights and responsibilities under the law. As future business professionals, these insights will be essential in navigating the complex legal landscape of the business world.

References

Diamantis, M. E. (2020). The Body Corporate. Law & Contemp. Probs., 83, 133.

Nike, Inc. v. Kasky, 539 U.S. 654 (2003). Web.

Postema, G. J. (2019). Utility, publicity, and law: Essays on Bentham’s moral and legal philosophy. Oxford University Press.

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LawBirdie. (2025, February 21). The Legal Environment of Business and Corporate Liability: The Nike v. Kasky Case. https://lawbirdie.com/the-legal-environment-of-business-and-corporate-liability-the-nike-v-kasky-case/

Work Cited

"The Legal Environment of Business and Corporate Liability: The Nike v. Kasky Case." LawBirdie, 21 Feb. 2025, lawbirdie.com/the-legal-environment-of-business-and-corporate-liability-the-nike-v-kasky-case/.

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LawBirdie. (2025) 'The Legal Environment of Business and Corporate Liability: The Nike v. Kasky Case'. 21 February.

References

LawBirdie. 2025. "The Legal Environment of Business and Corporate Liability: The Nike v. Kasky Case." February 21, 2025. https://lawbirdie.com/the-legal-environment-of-business-and-corporate-liability-the-nike-v-kasky-case/.

1. LawBirdie. "The Legal Environment of Business and Corporate Liability: The Nike v. Kasky Case." February 21, 2025. https://lawbirdie.com/the-legal-environment-of-business-and-corporate-liability-the-nike-v-kasky-case/.


Bibliography


LawBirdie. "The Legal Environment of Business and Corporate Liability: The Nike v. Kasky Case." February 21, 2025. https://lawbirdie.com/the-legal-environment-of-business-and-corporate-liability-the-nike-v-kasky-case/.