312-50V11 · Question #152
If executives are found liable for not properly protecting their company's assets and information systems, what type of law would apply in this situation?
The correct answer is C. Civil. Civil law governs liability disputes between private parties and applies when executives are found negligent in their duty to protect company assets, with remedies typically being monetary damages.
Question
If executives are found liable for not properly protecting their company's assets and information systems, what type of law would apply in this situation?
Options
- ACommon
- BCriminal
- CCivil
- DInternational
How the community answered
(55 responses)- A4% (2)
- C95% (52)
- D2% (1)
Why each option
Civil law governs liability disputes between private parties and applies when executives are found negligent in their duty to protect company assets, with remedies typically being monetary damages.
Common law refers to a legal system that derives rules from judicial precedent and case decisions rather than statutes; it describes the source of law, not the category of liability involved.
Criminal law involves offenses prosecuted by the government that require proof of criminal intent (mens rea) and result in penalties such as imprisonment; executive negligence in asset protection is generally a civil matter unless fraud or willful misconduct is proven.
Civil law addresses wrongs committed by one party against another where the injured party seeks compensation or a remedy rather than criminal punishment. Executive liability for failing to protect information systems falls under civil tort law (specifically negligence), where the standard is a breach of duty of care - not criminal intent - and courts can impose financial liability on the responsible individuals.
International law governs relationships and obligations between sovereign nations and is not the body of law that applies to corporate executives' internal liability for asset protection failures.
Concept tested: Civil law liability for executive negligence in security
Source: https://learn.microsoft.com/en-us/compliance/regulatory/offering-home
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