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Pittston's Reputation: The Buffalo Creek Disaster

Decent Essays

Reputation is very important when it comes to a company, a certain group, or even an individual. It is important because it is what people will judge one off of which leads to whether or not people want to associate themselves in anyway with one’s reputation because it can look bad to others on their part. This can be avoided for the most part by using ethics, social responsibility and sustainability to better his, hers, or its actions in everyday situations. When these basic obligations are ignored, tragedy can ensue on a small or large scale. In this case, the Buffalo Creek Disaster was large scale, impacted many people, and was an example of the greed companies have. Pittston, the sole shareholder of the Buffalo Mining Company allowed the corporate veil to be pierced that in turn brought Pittston to the same level as the people who were impacted by the breaking of the dams. Corporations such as Pittston try to intimidate and use excuses at to why certain problems occur, not wanting to take responsibility for their actions; it …show more content…

Through the litigation and more specifically the discovery process, Pittston became answerable to the people of the town. Depositions of key Pittston personnel revealed that Pittston knew that it was exposing the people to significant risk of the flood. With the revelation of this information, Pittston faced true exposure to punitive damages and, consequently, power shifted to the townspeople. Thereafter, Pittston settled the claims and finally compensated the victims for their loss. Beyond that, the settlement served as a check on Pittston, deterring it from constructing another faulty dam. The threat of this type of litigation forces large corporations like Pittston to rethink business decisions that could possibly place the public in harm’s

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