Question

Adam Feinstein, the owner of a mill, receives a large insurance settlement of several million dollars after the mill burns down. Is he under an obligation to rebuild the mill or can he just take the money and retire on it? All of the following answer choices are true EXCEPT:

A. If he retires, maybe he could share the money with other people who were affected when they lost their jobs, etc.

B. Federal law prevents Feinstein from taking the money and not rebuilding.

C. This is an ethical question, not a legal one.

D. If he does not rebuild the mill, that could negatively affect employees, shareholders, contractors, and others.

Answer 1

If he does not rebuild the mill that could negatively affect employees, shareholders, contractors, and others.

Option D

Explanation:

In the above case; in the mill there are so many employees will be working there who are directly employed and mills also outsource certain jobs which is done outside.

So, the mill owner has the moral obligation to his employees by constructing the mill which he acquired as compensation. If he does not construction then it will have great repercussion effect on the employees, investors, contractors and others.

To protect the interest of the people depending on the mill owner, the mill owner has the moral responsibility to rebuild the mill to ascertain the faith wrested on him by his employees and others.