• The Caremark Decision

  • Oct 4 2022
  • Length: 25 mins
  • Podcast

The Caremark Decision

Listen for free

View show details

  • Summary

  • Thomas Fox and Jonathan T. Marks kick off the series with a deep dive into the 1996 Caremark decision, the 2006 Stone v. Ritter resolution, and the compliance lessons companies and board members can learn from the facts and patterns of these fundamental cases. ▶️ Caremark with Thomas Fox and Jonathan T. Marks Key points discussed in the episode: (00:01:58) Thomas Fox gives a brief background on the Caremark case. (00:04:02) Jonathan T. Marks describes how ethical behavior is the backbone of an organization and how this case defined the importance of having proper oversight monitoring. (00:05:06) Thomas Fox lays out Caremark’s penalties. He describes the Stone v. Ritter facts, how the bank was sued for failure to perform due diligence on fraudulent investors and violating the Bank Secrecy Act. These schemes follow a pattern that has been seen repeatedly. It has also defined the duties of board members: avoiding negligence and arising from failures. (00:12:21) Jonathan T. Marks explains how fundamentals made their way into compliance laws in other countries, how guidelines are warning shots for companies to clean up, and urging companies to step up. (00:16:37) The Caremark doctrine later refined two conditions for director liability and emphasized why boards need to actively engage in oversight. (00:19:53) Board members must get down to the nitty-gritty of what is truly happening in their organizations, ask tough questions, do a deeper self-assessment, and stop refusing to avoid problems and the ugly truth. ---------------------------------------------------------------------------- Do you have a podcast (or do you want to)? Join the only network dedicated to compliance, risk management, and business ethics, the Compliance Podcast Network. For more information, contact Tom Fox at tfox@tfoxlaw.com.
    Show More Show Less
Show More Show Less
activate_Holiday_promo_in_buybox_DT_T2

What listeners say about The Caremark Decision

Average customer ratings

Reviews - Please select the tabs below to change the source of reviews.

Audible.co.uk reviews

Amazon reviews
No Reviews are Available