this is not legally required of you, it would be the ethically thing to do to
make this right for your customers.
The injured customer would fall into (product) liability since the harm was not
intentional, but it is accused that it is due to poor product sold by your
company. Tort laws are civil matters and are not criminal. The facts around
the accident, weather the product was used correctly and was not damaged
from a prior use, as well as weather or not the customer did anything to
cause the product to fail will be reviewed in civil court. Once all the facts are
laid out, a decision will be made as to weather or not your company provided
a faulty product. We will do everything we can to ensure the product was not
faulty, including testing similar products, researching if this has happened to
others, and the full history of such incidents (or lack thereof) with your
However, pertaining to the accusation of insider trading, this is related to
criminal law which is "legally defined as any ubiquitous wrongdoing against
society" (DeBoff, 2019). This case will be held in a criminal court and could
result in criminal charges against the parties involved and found guilty of a
crime. This includes you as the owners if it is determined that the owners did
not do their due diligence when the incident was first reported. It would be
best if the owners made a decision as to how they will handle the employees
until the criminal case is determined in court. If the company doesn't already
have policies in place for corrective action in these instances, it is vital that
you put some in place immediately. It is in a company's best interest to come
up with "corporate social responsibility" which is a "
business initiative designed
to meet specific goals related to ethics, sustainability and social impact."
(Benevity, n.d.) In your case, you didn't have this in place when your
company encountered a data breach, thus you were not sure what to do.
While your intentions are good and you're looking out for your customers