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Business Ethics Case

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Business Ethics Case

Shirley Jones is resident entertainer of California that has filed suit against National Enquirer, Inc., along with its president. Jones filed her complaint in the California courts with intent to sue for multiple damages of defamation, privacy, and emotional distress against the national newspaper. In this paper I will attempt to answer the question from the reading of section 3.5.
The National Enquirer is a weekly tabloid that was founded in 1926 by William Radolph Hearst. In 1952 the paper was purchased by Generoso Pope, Jr. who then used strategic marketing skills by establishing the paper into supermarket shelves across the country in the 1970's. Pope's strategic marketing skills led to the papers success by being an attention grabber.
The question at hand is if National Enquirer should try to avoid suit in California, but is really an ethical decision that needs to be considered by National Enquirer. The Defendant National Enquirer, Inc., is located in Florida and plaintiff Shirley Jones in California, two different states; however suit can be determined by the courts; are there "minimum contacts" with the foreign state by jurisdiction (Quisi in rem) a plaintiff who obtains a judgment against a defendant in one state will try to collect the judgment by attaching property of the defendant that is located in another state (Cheeseman, 2010). Generally, the requirement of minimum contacts means that the defendant has to have taken actions that were purposefully directed towards the forum state; Examples; among others, selling goods in the state, being incorporated in the state, visiting the state, or bringing property in the state. I believe that this was not excessive as when you are dealing with a well known profitable company the only way you can get through to them is by hitting them where it hurts and that is at the bank. By being awarded that settlement I am sure that they would not only try to appeal the decision but it would make the company remember for future reference that giving false information can cost them a ton of money.

References
Business Law, 7E, by Cheeseman (2010)

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