Table of Contents

Research Handbook on Corporate Legal Responsibility

Research Handbook on Corporate Legal Responsibility

Elgar original reference

Edited by Stephen Tully

The ever-important topic of corporate legal responsibility is deconstructed into many multifaceted components in this fascinating Handbook, which systematically examines each in turn and describes the contemporary legal position.

Chapter 8: Corporate Criminal Responsibility

Celia Wells

Subjects: law - academic, company and insolvency law, corporate law and governance

Extract

Celia Wells Introduction The recent emergence of corporate responsibility as a topic of debate reflects concerns about the safety of workers and of members of the public. Disasters such as rail crashes, ferry capsizes and chemical plant explosions have led to calls for those enterprises to be prosecuted for manslaughter. Cultural changes in risk perception have played an important role in prompting the evolution of legal principles of attribution. Doubts about the appropriateness of the two theories of corporate responsibility hitherto recognised by legal systems have set in. One of the more egregious examples of poor safety attitudes was seen when in 1987 a car ferry left the Belgian port of Zeebrugge with its doors open and capsized with the loss of nearly 200 lives. The subsequent inquiry in England, where P&O Ferries was based, found a history of open-door sailings, and management disregard of obvious safety measures such as a system of indicator lights informing the bridge whether the doors were closed. Although P&O were prosecuted for manslaughter, itself a historic event, it proved impossible to convict the company because of the restrictive identification theory. The very fact that safety was not taken seriously within the company, that no director had responsibility for safety, made the identification theory a clumsy tool of attribution. Corporations and criminal law Corporations are legally deemed to be single entities, distinct and separate from all the individuals who comprise them. Legal personality means that corporations can sue and be sued, hold property...

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