Business Organizations

 

You own and operate Ship It!, a shipping company in Massachusetts.  Your business is organized under the laws of the Commonwealth of Massachusetts as an LLC. You are both manager and member of your LLC along with your partner, Liz.  

 

Your personal view is that marijuana is just as bad as cocaine and heroin.  You understand that marijuana is legal in Massachusetts, but you would never try it yourself.  You also demand that your employees refrain from using drugs of any kind, even marijuana.   You apply this policy not only to your drivers, but to everyone who works in your company whether on the road, in accounts payable, human resources, or on the warehouse floor loading the trucks.

 

One of your temporary holiday workers comes to work clearly under the influence of marijuana.  You immediately fire him, and begin an investigation into whether any of the other employees use marijuana or knew that the fired worker was using it. 

 

Document 1

1. Create an "Alcohol and Drug Policy" for your company.  Explain the company’s position as well as any possibly consequences that employees might face.  This should be approximately 1-2 pages long.   

 

Document 2

2. Write a Memorandum to this employee’s file outlining what happened, what your actions were, and why, in your mind, you were justified in those actions.  Be sure to mention your "Alcohol and Drug Policy." This should be approximately 1-2 pages.

 

Document 3

3. Now suppose that a longtime employee was using your shipping company to distribute the marijuana that he sells out of state.  His customers would order a product to be shipped by your company and this worker would make sure that the marijuana was included in the package. What potential liability does your company have? What potential liability do you have personally? Why? Are you more or less protected because your company is and LLC? Why? Explain in detail.

 

 What if you actually aren’t as clean-cut of a person as you put yourself out to be, and in fact you are using the shipping company to distribute marijuana to states where it is not legal. What type of crimes could you be liable for? What could the company be liable for? Is your partner liable as well?

 

This should be approximately 2-3 pages.


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