Business Law Assignment Violate a Law

Question :

Eddie Embezzler has worked for Betty Boss for many years as an accountant. During his employment, Eddie has taken thousands of dollars from Betty's business. As a result, Betty has suffered. Did Eddie violate a criminal law, a civil law, or both? Explain.

Answer :

If Eddie has taken money from Betty’s business without the knowledge of Betty, then such act of Eddie is considered to be embezzlement of money or misappropriation of fund (Moore v. United States, 1895). Such misappropriation is a criminal offence in the eyes of law. Depending upon the amount, such act of Betty would be considered either felony or misdemeanor where a punishment can be imprisonment or fine or both . On the other hand it is also a civil offence because the victim needs to be compensated. Eddy must pay back the restitution amount to Betty. Thus Eddie violates both civil and criminal law. 

In a civil case, any communication before the mediator is considered as privileged communication which should be a confidential one (Folb v. Motion Picture Industry Pension & Health, 1998). Mediator’s testimony are not generally accepted in the court unless the parties came to an agreement as a result of such mediation and that mediation resulted no or less harm in the relation between the parties (Olam v. Congress Mortgage Co., 1999). Since the mediation in this divorce case breaks down, the testimony of mediator cannot be introduced as evidence. 

Reference 

Blanchard, K., & Peale, N. V. (1988). The Power of Ethical Management. New York: William Morrow And Company Inc.

Folb v. Motion Picture Industry Pension & Health, 16 F. Supp. 2d 1164 (C.D. Cal. 1998).

Moore v. United States, 160 U.S. 268, 269 (1895).

Olam v. Congress Mortgage Co., 68 F. Supp. 2d 1110 (N.D. Cal. 1999).

Weeks v. United States, 232 U.S. 383 (1914).