If the city knew about the instability of custom


For this assignment, you will consider the consequences of acting ethically or unethically. After carefully reading the supplemental ethics materials (Jennings handout), discuss fully the ethical issues related to this case. (1) Categorize the ethical dilemma(s), (2) examine the matter from other perspectives, (3) describe any possible rationalizations, and finally, (4) use at least one of the ethics models to resolve the situation.

The Case

Susan Whitehead serves on the City Planning Commission. The city is planning to build a new subway system and is accepting bids on the proposal. Susan's brother-in-law, Jerry, who owns the Custom Transportation Co., has submitted the lowest bid for the system. The Worldwide Transportation Co. has submitted a slightly higher bid for the job. Susan knows that Jerry could complete the job for the estimated amount, but she also knows that if Jerry gets and completes this project, he will have enough money to sell his company and quit working. Susan is concerned that Custom Transportation's subsequent management might not be as easy to work with if revisions need to be made on the subway after its completion. She is torn as to whether she should tell the city about the potential changes in Custom Transportation's management. If the city knew about the instability of Custom Transportation, it might prefer to give the contract to Worldwide Transportation, whose bid was higher than Custom Transportation's bid by only a small amount. Does Susan have an ethical obligation to disclose the information about Jerry to the City Planning Commission?

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Business Law and Ethics: If the city knew about the instability of custom
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