You are in-house general counsel of Coulomb Co., a manufacturer of electrical equipment. In the ordinary course

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You are in-house general counsel of Coulomb Co., a manufacturer of electrical equipment. In the ordinary course of business you are copied on emails regarding a purchase contract for several million dollars of low-coolant shut-down valves for the company’s line of industrial generators. You observe in one email that Coulomb’s engineers have raised concerns about these valves: They sometimes shut the generator down when coolant levels are normal and at other times fail to shut down the generator when coolant levels are low. You understand that without proper coolant functioning, the equipment can suffer breakdowns or catch fire. You review the purchase contract and approve it for legal form. In a private meeting with the CEO, you ask about the engineers’ concerns. “Don’t worry about that,” the CEO replies dismissively, “these parts are much cheaper than what we have been using and we are confident they are good enough to meet our customers’ needs.” At the board meeting, the CEO touts the cost reductions achieved by the purchase of new shut-down valves but doesn’t mention anything about the concerns raised by the engineers. Should you speak up?

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