RICO & Corporate Criminal Liability Terms

Question 1

Conspiracy vs. enterprise

Answer 1

Conspiracy = ageee to conspiracy’s objectives

Enterprise =
1. Legal entity (corp or partnership)
2. Group of individuals associated
- can be legit or nonlegit

Question 2

Relationship w enterprise

Answer 2

1. Enterprise with common goal
2. Your association with the activity
   - awareness participated in, aided, furthered enterprise’s activity
   - gov’t must prove BRD that accused was connected and accused knew of expedite Dr
3. Conduct or participated
   - accused commuted at least 2 acts of racketeering that were related within 10 years

Question 3

Punishing corporations

Answer 3

1. Restitution payments
2. Fines
3. Court ordered probation / monitoring
4. Collateral consequences (ex: debarment from service as a govt contractor)

Question 4

Corporate criminal liability: respondent superior approach

Answer 4

Corporation is likely liable for crimes of individual
- can exist absent intentional behavior to incentivize corps to monitor and prevent illegal employee conduct

1. Offense committed by corps’s officers, employees, agents
   - individual needs mens rea & actus reus
2. Within scope of their employment even if contrary to “authorized (in bylaws)” scope—just has to be in clock
3. At least in part with intent to benefit the corporation
   - can be satisfied by acts that do not benefit company

Question 5

Merits of corporate criminal liability

Answer 5

Pros
1. Expressive function: moral blame
2. Instrumental function: deterrence
3. Corporate entity benefitted from crime so should bear responsibility

Cons
1. Just punish the individuals (singling out may not reflect the culture)
2. Shareholder concerns—can’t really control
3. Proportionality (death penalty) hurts others
4. Fines may be passed along
5. Creates disincentives for corps to report crimes