PERSONAL ACCOUNTABILITY IN THE CORPORATE SECTOR

Criminal law is a focal point in the movement for increased personal accountability for corporate officials. Support for holding officers liable for their subordinates' misdeeds has been based on the doctrines of vicarious liability and omission of duty. A recent Supreme Court case involving this issue is "United States v. Park." It is not yet judicially acceptable to impute liability to an unknowing officer in a Sherman Act case. A legislative and regulatory movement is emerging to impose new measures of accountability upon corporate executives in positions of responsibility. This movement results from the loss of credibility in the business community. In the long run, the private enterprise may undergo alterations as its social and economic effectiveness is tested. Corporations have expanded their officer and director insurance against claims for wrongful acts.