Re:Wells Fargo to pay $3.7B settling charges it wrongfully s...
by OkayPhysicist on Tuesday December 20, 2022 @04:42PM
(#34073054)
The solution is to weaken the liability limitation of LLCs. If a company willfully breaks the law, its shareholders need to be held responsible, in proportion to their ability to affect change in the the company.
Re:Wells Fargo to pay $3.7B settling charges it wrongfully s...
by vkou on Tuesday December 20, 2022 @06:02PM
(#34074073)
That's not the problem. Wells Fargo shareholders won't be proportionately punished for this, regardless of whether it's an LLC or not. The root of the problem is that the firm itself isn't being proportionately punished.
Solve the second problem, and then maybe the first one will become the bottleneck.
Re:Wells Fargo to pay $3.7B settling charges it wrongfully s...
by Falkon1313 on Wednesday December 21, 2022 @02:54AM
(#34077860)
There was that one guy who showed up at the bank with a moving truck, sheriff's deputies, a lawyer, and a court order to seize the bank branch's assets. When they started to take the bank manager's desk and chair, that finally convinced them to pay attention and pay up.
But this was after they tried to steal his home (which they didn't even have a mortgage on) and dragged him through court and refused to pay the court costs.
So, not optimal, but still something that should be happening more frequently. If a few hundred thousand bank branches got repo'd every year, one for each time they ripped someone off, that should cause them to take notice.
https://www.cbc.ca/news/business/wronged-homeowners-reposses...
One of the reasons we don't, is because the socially required reaction to this abuse is to suck it up, and suffer in silence.
What is the equivalent of a bank having its home wrongly taken away from it? Locking the doors on one of its branch offices and boarding it up for a few months?
There's an enormous level of asymmetry in the damage a large institution can inflict on a person, either by accident, or malice, compared the reverse. And that's not okay, and we shouldn't consider it to be okay. We need to do better.