Business & Commercial

Morning Ethics Warm-Up, 12/28/2017: Bad Lawyer, Bad Losers, Bad Lottery, Bad Policy

/ Jack Marshall / 10 Comments

 

GOOD MORNING!

1 Gee, I wonder how this happened? I’m doing a year-end legal ethics seminar for D.C. Bar members this afternoon, and this story showed up in time for me to use. A federal jury has found Evan Greebel, the former lawyer for convicted fraudster Martin “Pharma Bro” Shkreli guilty of helping the fick pharmaceutical executive craft a scam to repay defrauded investors. You remember Shkreli—this guy, who entered the Hall of Infamy for his unapologetic price-gouging of the HIV drug Daraprim after he bought the rights to the drug and  then hiked its price from $13.50 to $750.

Prosecutors  claimed Greebel, Shkreli’s lawyer during  scheme, gave his client detailed advice on how to pay off investors in his  hedge funds, MSMB Capital and MSMB Healthcare, with his company’s  funds, as well as how to circumvent trading restrictions. He was also was accused of participating in fraudulent backdating of documents and helping draft phony settlement and consulting agreements. Greebel’s lawyers countered that Shkreli was an evil manipulator who dragged his own lawyers, unaware, into his crimes. his own lawyers. Greebel, they said, acted in good faith as the outside attorney for Shkreli’s company, and lacked criminal intent.

The news story ends with this:

“Greebel, a partner with Katten Muchin Rosenman, saw his annual salary triple from $355,000 in fiscal year 2013 to $900,000 in 2014, when he was advising Shkreli.”

The moral: Nothing freezes ethics alarms like a lot of money.

2. What do Roy Moore, Al Gore and Hillary Clinton have in common? They are lousy losers. Moore, the horrible GOP candidate for the empty Alabama Senate seat, has filed a lawsuit to try to stop Alabama from certifying Democrat Doug Jones as the winner of the U.S. Senate race. Moore lost by 20,000 votes, but insists that there were irregularities. He wants a fraud investigation and a new election. Once upon a time, even the losers in close elections where some funny things went on conceded gracefully and accepted the results. This was a traditional demonstration of respect for the system and democracy, and girded our elections from cynicism and distrust. Even Samuel J. Tilden, the Democrat who was cheated out of the Presidency despite winning both the popular and the electoral vote, acceded to the back room deal that gave Hayes the victory.

No longer. Al Gore permanently killed that tradition in 2000, and Hillary’s minions set the corpse on fire in 2016. Now losing candidates can be expected to exploit any excuse imaginable to try to reverse election results. This is a dangerous slippery slope the endless Florida recount put us on, and I fear that it will eventually slide into violence. Better that the occasional election be won illicitly than to have every election be a potential court case.

In other news, the determination of a tie-breaker to settle who won a decisive seat in Virginia’s House of Delegates has been delayed after lawyers representing Democratic candidate Shelly Simonds filed a motion asking a trio of circuit court judges to reconsider their decision to allow a controversial ballot to be counted as a vote cast for her Republican opponent.

Of course! Continue reading →

Morning Ethics Warm-Up, 12/23/2017: Robots And “Star Wars” And Whiskers On Kittens

/ Jack Marshall / 64 Comments

Good Morning!

1 When Darth Vader cuts off Luke’s hand, that’s not news. When Mark Hamill bites the hand that feeds him…In recent interview, Mark Hamill, the one-trick pony, one-role actor who had been playing cameo parts on SyFy cable channel movies because he wasn’t enough of a draw to put in “Sharknado 6,” criticized how director Rian Johnson had him play Luke Skywalker in “Star Wars: The Last Jedi.” “He’s not my Luke Skywalker,” said Hamill in a recent interview, who originated the part four decades ago, when he had a career.

This is astounding ingratitude, and shows a lack of professionalism that suggests it wasn’t only limited range that strangled Hamill’s non-“Star Wars” prospects. The movie is still in theaters. The fact that he is in the latest trilogy at all is a gift. If he wants to knock the film in about ten years or so when he’s doing Fishin’ Magician informercials on cable and his comments get him 12 and a half minutes of fame on TMZ, that’s fine, but right now, he has an ethical obligation to the studio and his fellow artists to do everything he can to make the “Star Wars” geeks want to see the film.

You know Luke—can I call you Luke?—most of those other actors aren’t as lucky as you were, and don’t have a cushy guaranteed lifetime income from a single surprise hit that easily could have ended up on the second half of drive-in double features.

May the Force slap some sense into you.

2. Update: Governor Kasich is an idiot. But I bet you knew that. Yup, John Kasich signed into law that Ohio bill that made it illegal to abort a fetus diagnosed with Down Syndrome. This law is going to be struck down as unconstitutional, and it makes no sense. Signing it into law displays a bad combination of incompetence and cowardice.

BOY, that was a horrible crew of Republicans who all were thinking about Donald Trump, “Well, at least I know I can beat THIS guy!” I know many people like me, including some moderate Democrats, who were rooting for Kasich because he seemed preferable to having another Bush, the theocracy craving Mike Huckabee, the corrupt Chris Christie, weird Rand Paul, diabolical Ted Cruz, not-ready-for-prime- time Marco Rubio, dumb-as-a-box-of-whoopie-cushions Ben Carson, scary Carly Fiorina, or, as the alternative, the venal, inept and frighteningly ambitious Hillary Clinton. No, he’s a conservative hack with an honest face. This proves it. Continue reading →

5 Signs That Your Organization Has An Unethical Culture Brewing…

/ Jack Marshall / 15 Comments

The Harvard Business Review has published an article describing what it learned from a survey of experts asked to describe the conditions they have observed in organizations later revealed to have serious ethics problems—the symptoms of an unethical organization ethics culture. Here are the five top signs, with the corresponding rationalizations from the Ethics Alarms list where appropriate, as well as related unethical patterns of thinking and relevant organizational ethics principles that are repeated constantly in training sessions by people like me, yet routinely ignored. The news media, meanwhile, often covers the incidents as if journalist have never heard of those principles.

I. Urgency and fear: Following corruption scandals, leaders tend to describe events in terms of pressure, necessity, and what the company needed to do to ”survive.” This perception of existential competitive threats can be used to justify the creation and maintenance of toxic incentives, and it will undermine any efforts to raise concerns.

Rationalization 28. The Revolutionary’s Excuse: “These are not ordinary times.”

An argument for those who embrace “the ends justify the means”—but only temporarily, mind you!—the Revolutionary’s excuse has as long and frightening a pedigree as any of the rationalizations here. Of course, there is no such thing as “ordinary times.” This rationalization suggests that standards of right and wrong can and should be suspended under “special” circumstances, always defined, naturally, by those who defy laws, rules, and societal values. Their circular logic results in their adversaries feeling justified in being equally unethical, since times in which the other side engages in dishonesty, cheating, cruelty, and more is, by definition, extraordinary.

The inevitable result is a downward spiral of conduct, until unethical behavior is the norm. Ironically, the rationalization that “these are not ordinary times” no longer is necessary at that point. Unethical conduct has become ordinary, the new normal. This is, it is fair to say, the current state of American politics.

and…

Rationalization 31. The Troublesome Luxury: “Ethics is a luxury we can’t afford right now”

Ethics is never “a luxury.” It is slyly effective to describe it as such, however, and those who do so usually believe it—which means you should sleep with one eye open when they are around, watch your wallet, and never turn your back. Saying ethics is a luxury simply means that the speaker believes that one should be good and fair when it is easy and benefits him or her, but when problems loom and crises have to be faced, ethics are optional. This attitude is another calling card of Oliver Wendell Holmes’ “Bad Man,” the law abiding citizen who will cut your throat for his own benefit if he finds a legal loophole. In a true crisis, ethical values are often the only thing standing between us and catastrophic misconduct in the throes of desperation and panic; they aren’t luxuries, they are life-lines. When you hear yourself saying, “I’ll do anything to fix this! Anything!” it is a warning, and the ethics alarm needs to start ringing hard. Grab those ethical values, and hold on to them. They are the last thing you can afford to be without at such times.

***

II. Isolation: Groups and teams that are far from headquarters—either in geography, access to information, or both—are vulnerable. When a team that is isolated (by accident or design) comes under the direction of an authoritarian, competitive leader, an enterprise has created the baseline conditions for corruption. People are far more influenced by their immediate surroundings than by a code of conduct set at the top.

This is group-think, ignoring the tenets of Professor Zimbardo’s rules that he recommends to avoid the phenomenon:

“Avoid situations where you lose contact with your social support and informational networks, for the most powerful forces of social influence thrive then. You do not want all your reinforces to come from these new sources….Never allow yourself to be cut off emotionally from your familiar and trusted reference groups of family, friends, neighbors, co-workers…

***

Continue reading →

Morning Ethics Warm-Up, 12/21/2017: Shut Up And Act, Tom…

/ Jack Marshall / 71 Comments

GOOD MORNING!

Finally! I get to hang the collected history of three families that are our tree ornaments. You know, the fun part…

1 And this is why actors speak from scripts. Tom Hanks, pimping for the mainstream news media-extolling Washington Post movie, the one with Harvey Weinstein enabler Meryl Streep playing Katherine Graham, actually uttered this Authentic Frontier Gibberish:

“It is relatively obvious, I think, what is trying to go forward, when you tear down these institutions to a level of, so you can’t believe anything that is in any of them. That raises the stock of those agenda-filled other institutions and whatnot, so that if you can’t believe them, well, that means you get to believe some of the other stuff that is in these.”

I have generally thought Hanks unusually thoughtful for an actor, but this is disgraceful. First, whatever diminishment journalism has suffered in credibility is 100% the fault of journalists, their arrogance, their incompetence, their bias, and their deliberate abandonment of their own stated ethics principles. 100%. Second, Hanks needs a primer on trust, and to read B.F. Skinner’s work on the effects of intermittent negative reinforcement on rats. (Quick summary: it drives them nuts.) If news sources are sometimes telling the truth and sometimes spinning, sometimes lying and sometimes hiding the ball, and major, revered “institutions” like the New York Times announce mid-Presidential campaign that their mission is no longer to report facts but to stop a particular candidate, then those news sources cannot be trusted, as in “believed.”

Third,  anyone, in light of, oh, the past 20 years, who does not believe that the mainstream media organizations have “agendas” is certifiably stupid. I don’t believe Hanks is stupid, despite the fact that his statement easily makes the Garbled Syntax and Logic Hall of Blather. What he is arguing, however, is that other sources of information have agendas, while those he follows are just Undeniably Correct. Continue reading →

Ethics Dunce: Tavis Smiley (Tavis, Please Pay Attention: The Workplace Isn’t Your Dating Bar)

/ Jack Marshall / 19 Comments

“I’ll consent to your annual raise, if you’ll consent to going out with me…deal?”

(Now this is why companies and organizations that want to avoid sexual harassment problems need effective training sessions, ideally run by me.)

Tavis Smiley, the PBS talk show host suspended from the network and currently in the process of being erased from the culture due to allegations of sexual harassment, was asked by Tucker Carlson on the latter’s Fox News show about the propriety of a supervisor having sexual relationships with subordinates in the workplace. Smiley responded with this jaw dropper:

I certainly understand that there are persons who believe that there is no such thing as a consensual relationship in the workplace. I hear that. I can respect that point of view. But there are other opinions on this. In my employee handbook we do not encourage interoffice relationships but we don’t forbid it either because I don’t know how things are going to turn out in your life and you start hanging out with our company. I don’t know who you’re going to meet. And let’s face it, nobody’s working 40-hour weeks anymore. We are working 40-, 50-, 70-, 80-hour weeks. Where else are you going to meet people in this business?

His answer was self-indicting, deceitful, ignorant, stupid, and redolent of rationalizations.

Carlson didn’t ask about “consensual relationships in the workplace.” He asked about whether relationships between women and the men who have the power to fire them, promote them, give them raises or make their working lives a living hell are appropriate. The answer is no. Of course no. Nor can they possibly be called consensual. Quite apart from that aspect, such relationships, even if they are initiated by the subordinate, constitute per se unethical management. They undermine morale. They undermine respect for and the authority of the manager. They create suspicion and distrust of the staffer. They create a hostile work environment for all the women in that workplace. destroy staffs and organizations. They are the organizational equivalents of incest. They are wrong. Always. This isn’t a new discovery either. It should be obvious.

“Where else are you going to meet people in this business?” Well gee, Tavis, it sounds like you have a choice to make. Continue reading →

I’m Curious: Do Women—Any Women, A Lot Of Women, Adult Women, Rational Women—Think This Times Column Makes Sense? (Because It Doesn’t)

/ Jack Marshall / 37 Comments

Jerry Richardson (above), the 81-year-old original owner of the Carolina Panthers in the NFL,  has decided that rather than ride out the sexual harassment allegations  recently reported  by Sports Illustrated, the wisest (and most lucrative course) will be to sell the team after this season. His profit will be somewhere in the billions, not that he isn’t a billionaire already.

New York Times sportswriter Juliet Macur is grievously offended by this, writing,

“Here’s what would make more sense: For Richardson to announce that the proceeds of the sale — or even just a couple hundred million? — would be donated to the women he harassed…[Many men] have been chased from the top of their professions for disgusting behavior involving women they worked with. They are suddenly pariahs, their reputations destroyed. But they remain very rich men, and their families, for generations, will be able to live off the financial rewards they collected while perpetuating these offenses….Richardson, who made his fortune in the fast-food industry, might be the richest of all the men accused in the #MeToo movement so far. Perhaps it’s appropriate, in a legal sense, that he is able to sell his company and walk off the stage. But it doesn’t seem morally fair that he should benefit so richly from it.”

This is pure, unadulterated emotionalism and indignation unfiltered by thought or coherent societal values. If these are the kinds of ethical arguments—and it is an ethical argument–major information sources are going to publish as worthy of being injected into public discourse, we might as well tear up the laws, forswear ethical systems, embrace passion, anger, vengeance and the rest as our sole tools to govern human affairs, and resign ourselves to chaos. Continue reading →

Morning Ethics Warm-Up, 12/18/2017: Life Is An Unethical Cabaret, My Friends…At Least Lately

/ Jack Marshall / 8 Comments

Good Morning!

1  Really now: What’s the matter with you? How many of these will it take for everyone to agree that it’s intolerable?

Let’s recap, shall we? Last week, Democratic Congresswoman Jackie Speier confidently cited a “rumor” that that the President was going to fire Special Counsel Mueller imminently. (It would not be undeserved.) The rumor was then treated by the mainstream news media as news, which is, you know, supposed to be fact. This “news” then was considered sufficiently alarming that multiple Democrats and “resistance” members, including former Obama Attorney General Eric Holder (disgracefully) advocated an insurrection, as in “taking the streets.”

Asked about this rumor qua news, President Trump said, no, he wasn’t considering firing Mueller. Did uou know that in the old days, when journalists at least pretended to be ethical, the President would have been asked about a rumor involving his intentions before it was published as news, and before assholes on the Left used it to advocate social unrest?

The episode is beyond unethical. How can anyone support 1) this 2) people who act like this 3) journalists who facilitate this,  4) a party that continues to encourage this, or 5) anyone who supports or enables 1)-4) ?

2. He just doesn’t get it…like a lot of people. Tavis Smiley, whose problems were discussed in the previous post, said this morning that while he did engage in sexual relations with his some subordinates, they were all consensual and therefore did not constitute sexual harassment or an abuse of power. He’s oh so wrong.

Subordinates never have complete freedom to reject the sexual overtures of their boss, so they never can truly consent. It is inherently an abuse of power. Moreover, third party harassment is inevitable, as other female employees are sent the message that they work in a harem. Are they required to submit to the sultan’s desires? If they aren’t asked to submit by their Great Alpha Male, does that mean they have displeased him?

That a hostile work environment, Tavis.

3. ‘If you could see her from my eyes’..Smiley’s attitude conforms to that of a lot of sexual harassers, including, in all likelihood, the President’s. It wasn’t sexual harassment, they believe, because who wouldn’t want to receive their sexual advances?

This made me reflect on this hard-edged number from the film version of “Cabaret,” sung by Joel Grey’s evil MC as sly anti-Semitism for laughs. (I did not know that the number at one point was cut from the stage version because audiences didn’t get the satire until I saw a documentary about Jewish-themed musicals on PBS last night)

If the chilling last line of the song were altered to “It wouldn’t be harassment at all!,” with the “gorilla” representing the way so many women are treated in the workplace, the M.C. would be accurately expressing  Matt’s, Al’s, Harvey’s, Bill’s, Ben’s, Dustin’s, and Tavis’s creed.

4. Is Al Gore next? Not if the New York Times can help it. In a story detailing the rampant sexual abuse and harassment of hotel employees by guests, Al Gore’s name never comes up. The story includes the stunning results of  union survey of hotel workers in Chicago found that 58% of them had been sexually harassed by a guest. Yet in 2010, when three hotel masseuses claimed that Gore sexually harassed him, his denials were sufficient to make the episode quickly discounted and forgotten. What would happen if the same allegations were made today? If Gore had been elected President last years, would Senator Gillibrand be calling for his resignation?

Plan J would seem to demand it.

5. Why sexual harassment allegations are not necessarily credible. From The Hill: Continue reading →

Why Marvin Miller Doesn’t Belong In The MLB Hall Of Fame In Cooperstown [Updated and RETRACTED!]

/ Jack Marshall / 12 Comments

UDDATE! With apologies to all, I’m retracting this post. I had bad information: the entire thesis of the post is based on the false belief, which I acquired literally decades ago, that baseball union chief Marvin Miller was a lawyer. I know that a lawyer should not be celebrated for achieving the goals of his client; I’m not at all sure about my conclusions if the individual is a non-lawyer labor leader. I haven’t considered Miller in that context. I have to think about it.

I apologize to Ethics Alarms readers and also the admirers of Mr. Miller, and I hope he won’t be visiting me on Christmas Eve. One thing the web doesn’t need is more bad information, and I regret adding to it, even for a couple of hours.

My sincere thanks to reader LoSonnambulo for the slap in the face…

Last week,  Major League Baseball’s 6-member Modern Baseball Era committee considered ten Hall of Fame candidates, previously passed over in the regular voting process, whose biggest contributions to the game came between 1970 to 1987. It elected former Detroit Tigers and Minnesota Twins starting pitcher Jack Morris and his Tiger team mate Alan Trammell, one of the very best shortstops of the era. Both were borderline choices, but Trammel was certainly deserving. Morris got over the hump because of a single memorable game, his Game 7, 10-inning, 1-0 shutout that won the 1971 World Series for Minnesota over Atlanta in of the 1991 World Series. Now that starting pitchers in the Series seldom go even 5 innings, much less ten, Morris’s performance seems especially god-like, but the fact remains that single achievements are not supposed to put players in the Cooperstown, New York Museum. Among the candidates who were rejected was my beloved Luis Tiant, the spinning, whirling, Cuban ace of the Cleveland Indians and Boston Red Sox, one of the most unique pitchers in the history of the game, and while he was active, universally considered a great player, which he was. “Looie” deserves to be in the Hall, and is in his eighties now. He should have been voted in over Morris.

But the rejected candidate that sportswriters have long been rooting for wasn’t even a player. He’s Marvin Miller, who died in 2012 and who headed the players’ union from 1966 to 1982. Under Miller’s direction, the MLB players’ union became one of the strongest unions in the United States. He is credited with leading the efforts to eliminate the Reserve Clause, which once bound players to teams until they were traded, released, or retired. When he took over the union, the top baseball salary was about $100,000 a year. Today it is about 30 million a year, and the minimum salary is over $500,000. Legendary broadcaster Red Barber once said that  Miller, “along with Babe Ruth and Jackie Robinson, is one of the two or three most important men in baseball history.”

Well, Arnold Rothstein, Barry Bonds and the inventor of anabolic steroids had immense impact on baseball too. Continue reading →

Morning Ethics Warm-Up, 12/17/2017: Sick Of Train Wrecks, Sick Of “Baby, It’s Cold Outside!,” Sick Of Being Lied To. Merry Christmas!

/ Jack Marshall / 56 Comments

Good Morning, And Merry Christmas!

(and no, my tree isn’t decorated yet. As usual, there were complications…)

1 “You’re one of THEM, aren’t you?” Curse everyone on all sides of the political spectrum who have, by shear repetition, turned the mere act of saying “Merry Christmas!” into a presumptive partisan greeting. A recent study indicates that about 90% of the public celebrates Christmas, not some amorphous holiday, either in its religious or secular form on and around December 25th. There should be nothing malign about the salutation at all, and yes, the polite and pleasant response to “Merry Christmas!” is “The same to you!” or “Merry Christmas!” Yesterday, I received a silent glare and a scowl from a merchant to whom I gave the happy wish, and he was selling Christmas tree stands!

2. Not AGAIN! This is one of those periods during a year when the same ethics issues hang around like a bad odor, and I am faced with the choice of intentionally avoiding them, even though they continue to make news and to be the topic of conversation online and on TV, or to keep covering them no matter how bored I get. In fact, all of 2017 feels that way. Every day now, I have to face a new swerve of the Harvey Weinstein Ethics Train Wreck, and its cultural, ethical, and political implications. (Chris Matthews! Rep. Bobby Scott!). The news media disgraces itself daily in its partisan hatred of the President of the United States. “The resistance” and Democrats (but I repeat myself) continue to unethically push the nation into a constitutional crisis as their remedy for the longest loser’s tantrum in recorded history, and, yang to their yin, President Trump continues to be as unpresidential in his manner, words and actions as I thought he would, but hoped he wouldn’t, feeding the flames of division.

3. “Baby, It’s Cold Outside!”  Here is an article protesting the movement to “ban” (figuratively, not literally), the seasonal duet “Baby, It’s Cold Outside”  for “being insufficiently PC in the sexual assault/harassment realm.” Ethics Alarms called the song “date-rapey” two years ago, so while I don’t exactly want to ban the thing, I am sick of hearing it on Christmas playlists. On Sirius-XM’s “Holly” station, I’d estimate that over 50% of the “Holiday songs” have to do with sex (none have to do with the religious holiday, by design), and I blame “Baby, It’s Cold Outside,” which on the alternative Christmas channel, “Traditions” —where every song is sung by someone who is dead, with the exception of a few hangers-on like Tony Bennett and Johnny Mathis, either of whom could drop any second—“Baby, It’s Cold Outside” is played every hour, sometimes more than once. Pearl Bailey (dead), Steve and Eydie (dead and dead), Sammy Davis Jr, and Carmen MacRae (both dead), Dean Martin (dead). Writes the blogger, Continue reading →

From The Ethics Alarms Lost Files: The Firing And Un-Firing Of Sam Seder

/ Jack Marshall / 9 Comments

Somehow I lost this one for a week, then found it today, reminding me how much it ticked me off.

Sam Seder, an MSNBC political commentator and host of the “Majority Report” podcast, had sent a tweet  in 2oo9—that’s 8 years ago, folks—obviously mocking the Hollywood supporters of fugitive film director and child rapist Roman Polanski.

The tweet said,

“Don’t care re Polanski, but I hope if my daughter is ever raped it is by an older truly talented man w/ a great sense of mise en scene.”

That is called artful satire, and if you can’t tell that, you really should restrict yourself to Nickelodeon and “Good Night Moon.”

Then Mike Cernovich, the far-right activist and conspiracy theorist, who is not an idiot, though he is many other unpleasant things, tracked down the tweet and began to complain to  MSNBC’s media relations department and other journalists about Seder using the same kind of political correctness crack-brained mania that the Left typically inflicts on the Right. Cernvich was trolling MSNBC, I assume, and maybe he was trying to accomplish what he eventually did accomplish: he got the left-wing cable channel management to fire Seder for “inappropriate and insensitive remarks.” Or maybe he was just trolling, though before the axe fell, Seder accused Cernovich of attempting to silence his criticism of President Trump and Roy Moore….you know, like the way the Seder-sympatico Media Matters has tried to silence Rush Limbaugh and Sean Hannity.

Now one would think that MSNBC execs would be able to tell Seder’s tweet was witty, and also have enough faith in the brain pans of its viewers to assume they, unlike most conservatives, who for some reason don’t have much if a sense of humor, would understand that there was nothing offensive about the Polanski tweet, except to Polanski and child rape fans in France and Hollywood. But no: out he went, as Cernovich lifted a glass of Korbel somewhere with Ann Coulter and Bill O’Reilly.

Then thousands of people signed a petition demanding that Seder be rehired, and he was. MSNBC’s head Phil Griffin wrote: Continue reading →