Frl 408 Term Paper

2467 Words Feb 3rd, 2016 10 Pages
Unit 7 Questions Johnny Palafox

1. How much obedience and loyalty does an agent employee owe to an employer? What if the employer engages in an activity—or requests that the employee engage in an activity—that violates the employee’s ethical standards but does not violate any public policy or law? In such a situation, does an employee’s duty to abide by her or his own ethical standards override the employee’s duty of loyalty to the employer?

When there is an agent employee to an employer relationship, obedience and loyalty are to be given to the employer almost fully, if anything completely. For example, when I go to apply for a job and upon signing a contract, the employer will only hire me, if I decide to give them complete
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2. When an agent acts in violation of his or her ethical or legal duty to the principal, should that action terminate the agent’s authority to act on behalf of the principal? Why or why not?

No, the act to the agent’s authority to act on behalf of the principal should not be terminated if the agent violates his or her ethical or legal duty to the principal. Sometimes agents violate the code of ethics because he or she may feel that it will benefit him or her on future opportunities. For example, (Miller, 2013) “three employees of Lockheed Martin Corporation copied confidential information and trade secrets from Lockheed’s computer network onto compact discs and Blackberries. Lockheed had authorized the employee-agent to access these files but was understandably upset when the three resigned and went to work for a competitor, taking the trade secrets with them” (pg. 648). Ethically, these three employees didn’t act so loyal to the principal when they took the trading secrets with them when they moved to work for a competitor of the agent. However, like the book stated, because the principle gave them authority to have access to those files, the district court ruled in favor of the three employees because they did not lose this authorization when they breached loyalty to the principal. As long as an agent has full permission, to act on behave of the principal, the agent is in no wrong doing if he as she decides to leave the company

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