The Indignant Starbucks Squatter and the Compliance Mindset

OK...NOW it's selfish to squat at tables for hours.

I owe thanks to a blogger named JJ (and to Ken at Popehat, whose post brought him to my attention) for giving me one of the best illustrations of what I call “The Compliance Mindset” I have ever seen.

I’m sure it would horrify JJ to learn this, but he is ethically aligned with all the financial wheeler-dealers and unscrupulous mortgage lenders who crashed the U.S. economy. They also thrived in the Compliance Mindset, as do corrupt politicians, deceptive advertisers, dishonest journalists, sleazy lawyers, and millions of others in our culture who make life miserable for the rest of us for their own benefit. All of these people adopt the convenient belief that something must have a formal rule or law prohibiting it before it becomes wrong. This is, in fact, the opposite of the truth: if people were completely ethical, we would need very few rules. The Compliance Mindset is really an unethical rationalization that allows people to be rude, selfish, irresponsible, unfair, or worse because their conduct is technically legal and there isn’t a rule against it yet. Usually the rule or law arrives after a lot of needless harm has been done. Continue reading

The Deceitful, Illogical, Unethical Disclaimer

Don't be fooled by Voldemort's disclaimer!

I once worked for a company that was specifically targeted by an industry group for coordinated attacks and anti-competitive tactics. We obtained a copy of the agenda for the planning meeting for this onslaught, and the bullet points looked like part of a hypothetical in an anti-trust class law school exam. This was the most blatant collusion in restraint of trade imaginable. But the  lawyers for the group apparently thought all could be made benign and legal by a disclaimer on every agenda copy that  said, in effect, “Don’t pay any attention to what this agenda says—trust us, it’s all fair and legal.” The disclaimer stated that the organization fully supported and followed all provisions of U.S. anti-trust statutes, and would never, ever do anything to violate them. This is roughly the equivalent of a mugger telling his victim that he is non-violent while he’s punching him in the face.

I am reminded of that agenda when I see commercials for new drugs, which show healthy, happy, beautiful models frolicking with their families or lovers in idyllic settings while the announcer, usually at breakneck speed, warns that the drug may cause violent flatulence, boils, locusts, insanity, cannibalism and excruciating death. I was reminded of the agenda again when I learned of the latest gambit by PublishAmerica, which earlier this year got in trouble with “Harry Potter” author J.K. Rowling by soliciting money from authors by promising to bring their works to her attention: Continue reading

More S.E.C. Ethics Blindness

What good is a blind watchdog?

Back in February, I told the tale of David Becker, former S.E.C. General Counsel, who had inherited money from his mother that was really the fruits of the Bernie Madoff investment scandal after he had served in the post while Madoff was merrily swindling people as the S.E.C. twiddled its thumbs. Becker apparently wasn’t in the information chain that should have led the S.E.C. to stop Madoff , and the scandal was uncovered after he left the agency. In 2009, after the Madoff mess had exploded, he rejoined the agency in his old job, but when it came to light that he and his brothers had inherited $2 million Madoff-manufactured profits from their mother, he quickly stepped down. My view was that Becker was a victim of circumstance: he had the appearance of impropriety, but hadn’t done anything wrong.

I should have known better: after all, this is the Securities and Exchange Commission, where they illegally shred files and the regulators look at porn all day. Now it is revealed thatContinue reading

If Fox Will Fake A Headline, What Else Will It Lie About?

As part of its coverage of the NFL opener for the Chicago Bears, Fox Sports wanted to use as graphics some news media headlines from last season that questioned Bears quarterback Jay Cutler’s courage and guts in the NFC Championship game, when he left the field with an injury that some felt Cutler should have played through.  It couldn’t find any such headlines, however because there weren’t any. No problem: Fox just had its crack graphics department make some up.

Fox flashed three newspaper headlines across the screen:

Cutler Leaves With Injury
Cutler Lacks Courage
Cutler’s No Leader

Fox announcer Daryl Johnston then told viewers that “these are the actual headlines from the local papers in Chicago.” But one of those local papers, the Tribune, decided to check. There were no “actual headlines” like those, in Chicago, or anywhere else. Caught in an outright misrepresentation, Fox Sports came clean, sort of. Continue reading

Solyndra, the White House, and the Most Dangerous Conflict of Interest of All

It isn’t a Republican or a Democratic Party problem, and it isn’t unique to the Obama Administration. It is a structural problem in American government, a conflict of interest that pits the best interests of the American people against the political interests of the party in power. The only solution to the problem, since it is here to stay, is leaders who acknowledge the conflict, are dedicated to doing the right thing anyway, and have the courage to demand that their staffs do likewise.

The Soyndra scandal shows that Barack Obama is not such a leader. That does not make him unique, but it is a serious ethical flaw nonetheless. Continue reading

Comment of the Day: “Unethical Business Practices: Online Reputation Services”

For those offended by the fact that this is the second Comment of the Day, I can only note that I haven’t posted a COTD for a while, so they can consider this one as making up for say, September 9.

Tgt has some uncomfortable truths about the practicalities of taking principled stands, in the context of my discussing the dishonest and bullying tactics of so-called online reputation protection services without specifically naming any one company.

There are gradients of this dilemma, which I’m not sure the author sufficiently acknowledges. For example, in the recent Defense of Marriage Act controversy in which law firm King & Spalding arguably dumped an unpopular representation because of inappropriate but no less threatening warnings from its biggest client, there are core professional values involved: once a lawyer ( or firm) accepts a representation, he or she may not, consistent with professional norms, drop the new client because of fear that the representation will have unpleasant consequences. There is no ethical obligation, however, to engage in a protest or civil disobedience when one objects to an abuse of official power. There is an obligation to do something, and it is ethically legitimate to choose a course that addresses the wrong without causing unnecessary harm to oneself or others. One not  cowardly by not being foolhardy.

Unless I accept John Adams’ rather perverse conviction that the only way one knows one is doing the right thing is when he is certain that the consequences will be personally ruinous, I don’t agree that I have failed an ethical obligation by choosing to flag unethical conduct without specifically inciting a company whose business it is to intimidate websites.

Besides, as I noted in my response to this comment, I am not through with these guys. Not by a longshot. But here is tgt’s Comment of the Day to my opening volley: Continue reading

Unethical Business Practices: Online Reputation Services

Consider this just a polite request to remove that accurate but ucomplimentary post about my client.

The web has created some new business niches, and one that fascinated me was the emergence of online reputation defenders, who purport to make sure that Google searches and web research about individuals and businesses do not turn up negative information that can harm business prospects, career advancement, or reputations generally.

While I can see the appeal and potential profitability of such services, manipulating online content is an ethical gray area. It is as wrong to artificially make someone look good  on the internet as to artificially make them look bad. In general, anyone who has been out and about very long will find both positive and negative information about themselves on the web, of varying accuracy. People who have experience with web research understand this, so the impressions they get from checking out a potential employee or business partner will usually, though not always, be tempered with skepticism.

They can and should apply common sense: What is the source of the negative information? How old is it? Was this one incident or complaint that doesn’t seem representative of the individual or company as a whole? I would rather have all the information available, and be able to make my own decisions, rather than have the most favorable material elevated in visibility and the least favorable made difficult to find or removed altogether. These services promise to “bury” the negative material. Continue reading

Ethics Quiz: Does This Show That The Media Is Getting Better, or Worse?

Soon, the press may just make up ALL its stories (From Bad Reporting Comics)

Here’s a real head-scratcher. On September 9, the Associated Press ran this story, critical of Gov. Rick Perry:

Texas wildfire victims wondering where Perry is

BASTROP, Texas (AP) — Residents affected by a devastating Central Texas wildfire are growing impatient with state officials and questioning why Gov. Rick Perry hasn’t spent more time there.

 Some residents yelled at Texas Lt. Gov. David Dewhurst when he visited the command center in Bastrop County Friday, asking where Perry is and why they haven’t had any housing help. Wildfires have destroyed nearly 1,400 homes about 25 miles from Austin.  Perry, running for the Republican nomination for president, interrupted his campaign and returned to Texas for two days before heading to California for a debate Wednesday. He is now fundraising in California.

Perry’s office said “everything that needs to be done to respond to these fires is being done.” Dewhurst said the White House hasn’t yet replied to a request for federal aid.

Then, Saturday morning, this appeared where the story had been: Continue reading

Affronts to Animal Dignity

"Boy, will you look at those idiots watching this? Where is their sense of dignity?"

The Washington Post recently published a photo of an oddball attraction at a minor league baseball game in Harrisburg, PA. A capuchin monkey, garbed in jockey attire, was riding a border collie—really, really stupid, though “really stupid” is the frequent standard of minor league baseball promotions generally. This means that when a club executive suggests, “Hey, howzabout we have some monkeys riding on dogs, like in little saddles?” and the response from the management team is, “That’s really stupid, Ed,” he’ll say, “Great! Then it’s a go!”

I found the picture rather grotesque, but it never occurred to me that the gimmick was unethical. Oh, I assumed that PETA would find it unethical, but PETA believes it’s unethical that animals aren’t allowed to vote.  Several indignant readers wrote to the Post, however, protesting that the photo was “offensive” because it celebrated unethical conduct, the conduct being, apparently,“insulting the natural identity of these animals.” “Monkeys riding boarder collies is just wrong,” wrote one of the outraged. Continue reading

Ethics Quiz: Truck Nutz vs. Schweddy Balls

Remember Truck Nutz? That may the name of Ben and Jerry's next flavor, if Schweddy Balls catches on...

I’ve been driving or lecturing all day and may be a little punchy.  Yet having last posted on Ethics Alarms about Ben and Jerry’s crude homage to Alec Baldwin (FULL DISCLOSURE: I would be likely to find any homage to Alec Baldwin offensive, since I find Alec Baldwin offensive) and juvenile word-play, I found myself wondering: which is more uncivil and disrespectful, Ben and Jerry’s new Schweddy Balls ice cream, or the large, red, swinging plastic scrotum decorations that some truckers hand at the tail end of their rigs, Truck Nutz?

So that’s your Ethics Quiz, dear readers, as we head into the weekend: Which is more arrogantly disdainful of public decorum, decency, and respect for one’s fellow community members? Continue reading