Shareholders of corporations have their liability for actions of the corporation limited by law. Unlike the equity holder in a partnership or proprietorship, the assets that a shareholder has distinct from her holdings in the enterprise can not be taken to satisfy liabilities arising from actions of the enterprise itself. This paper argues that a reasonable principle of fairness argues for an alternative to limited liability, proportional liability. Proportional liability makes a shareholder liable for the same proportion of a corporation''s (...) excess of liabilities over assets that her number of shares bears to the total number of shares outstanding. The key idea is that it is unfair in situations in which explicit agreements can not be reached for shareholders to bear only limited risk when they may receive gains from stock dividends and appreciation that are not limited to any pre-determined amount. Proportional liability has not been much examined in the financial literature. Good utilitarian arguments have been given for limited liability over unlimited liability for corporate shareholders, but these arguments do not clearly support the choice of limited liability over proportional liability. (shrink)

This paper addresses the criticism recently directed at Internet companies who have chosen to do business in China. Currently, in order to conduct business in China, companies must agree to the Chinese government’s rule of self-censoring any information the government deems inappropriate. We start by explaining how some of these companies have violated the human rights of Chinese citizens to freely trade information. We then analyze whether the justifications and excuses offered by these companies are sufficient to absolve them of (...) moral responsibility. We argue that both justifications and excuses offered are insufficient. Wilfully abiding by unjust laws, albeit necessary to do business in China, should not trump moral actions that protect rights. (shrink)

This paper addresses the criticism recently directed at Internet companies who have chosen to do business in China. Currently, in order to conduct business in China, companies must agree to the Chinese government's rule of self-censoring any information the government deems inappropriate. We start by explaining how some of these companies have violated the human rights of Chinese citizens to freely trade information. We then analyze whether the justifications and excuses offered by these companies are sufficient to absolve them of (...) moral responsibility. We argue that both justifications and excuses offered are insufficient. Wilfully abiding by unjust laws, albeit necessary to do business in China, should not trump moral actions that protect rights. (shrink)