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Corporate criminal liability
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Corporate criminal liability is a subject of United States law where it is ruled that a corporation is a legal entity that may be held criminally liable.
History
The Interstate Commerce Act of 1887 set price controls for railroad companies. A railroad company (New York Central & Hudson River Railroad Co.) was criminally convicted and fined for $108,000 for lowering is shipping prices for one of its commercial clients through a rebate scheme which violated the price control. The landmark Supreme Court case New York Central & Hudson River Railroad Co. v. United States (1909) set the precedent for holding a corporation criminally liable.[1]
