Earlier quoted context omitted.
I'm guessing that dissolving your LLC as a punishment would include the forfeiture of all the associated assets, not distributing them to shareholders.
> guessing that dissolving your LLC as a punishment would include the forfeiture of all the associated assets, not distributing them to shareholders This is just expropriation. Which is legally complicated. And raises questions around what the government should do with a bunch of seized assets and liabilities that may or may not be in a going condition, and whether some stakeholders should be reimbursed for their los…
Bullshit they aren't listening. Executives get no payout. Whatever happened happened on their watch. Summary dismissal. Keeps the incentives aligned. Otherwise you're just incentivizing unlawful behavior behind the corporate veil. Pensions do count. Since we've got such a fucked up social safety net in the U.S. that doubles as a mandatory investment slush fund for our corporate overlords, stewardship of said retirement funds should obviously be escrowed until such time as a new more compliant set of execs can either be installed, or the assets can be unwound.
There is no point in leaving something in the hands of the provably reckless/malicious. Which is exactly what these type of people are (executives making decisions that are traceable to reasonably foreseeable loss of life) are.
I'm done with victim blaming when we've made a habit of building orphan mulching machines that we just happen to call corporations.