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FACC6500 Corporate Governance

Facts: Carnival Cruise Lines
It's early 2020, and the world's largest cruise line operator is about to confront a collision of two storms: its court-mandated environmental compliance plan, more than two years in progress, and the imminent coronavirus pandemic. 

Carnival's Diamond Princess cruise ship underwent a 4-week quarantine in Japanese waters. Carnival is accused of spreading the Covid 19 virus which makes international headlines as more and more Carnival ships become hotbeds of Covid 19 infection.

As the scope of devastation wrought by coronavirus comes into focus, Carnival CEO Arnold Donald trumpets the company's unwavering focus on compliance.

Carnival has a history of environmental law convictions, plea agreements with the DOJ, criminal fines, and environmental compliance plans.
Pick either the corporate governance (Covid) or compliance (environmental) issues raised in the above fact scenario.

1. How can Carnival meet the expectations of a government-mandated environmental compliance plan and stay in the court’s good graces while the coronavirus brings business to a standstill (compliance issues)?

2. What should the Carnival Board do (either the corporate governance or compliance issues)?

3. What would you advise Carnival Management to do (either the corporate governance or compliance issues)?

4. What now? Decisive Actions to Emerge Stronger in the Next Normal, McKinzie

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