The Untaken Safer Alternative
In the common law, there is a tort rule that imposes legal liability on any person who causes harm to another by engaging in otherwise legal activity that could have been done another way that would not have caused that harm. David Logan, professor of Law atRoger Williams University, calls it the theory of the Untaken Safer Alternative.
Bank of Nature sees the fiduciary owners of fiduciary money like pensions and endowments as becoming exposed to legal liability for the harm they cause to society by choosing to remain trapped inside Corporate Finance once Bank of Nature make the Safer Alternative of Fiduciary Finance available to them.
The harm they cause to their beneficiaries and to all of society by choosing to remain trapped in Corporate Finance include:
- Corporate Gigantism through corporate conglomeration financed by fiduciary money trapped inside Corporate Finance;
- Economic Elitism and self-accountability financed by fiduciary money trapped inside Corporate Finance;
- Corporate Capture of politicians and public opinion driven by Corporate Gigantism and Economic Elitism financed by fiduciary money trapped inside Corporate Finance;
- Political Divisiveness caused or exacerbated by Corporate Capture driven by Corporate Gigantism and Economic Elitism financed by fiduciary money trapped inside Corporate Finance;
- Financial System Instability caused by fiduciary money trapped inside Corporate Finance, accelerating the rhythm of the markets from the state buy-and-hold of markets dominated by individuals trading with their own money for their own account in pursuit of their own proper purposes to the faster pace of buy-low-to-sell-high to the frenetic pace of buy-high-to-sell-higher;
- Pension/Retirement system unreliability from the boom and bust of paper profits and real cash losses;
- Social and Environmental Injustice driven by the unrelenting pressure of public markets owned enterprises to externalize costs (onto society) in order to grow profits and share price; and
- Inaction on climate and other changes in our changing times that requires action at the scale of climate, because these actions do not drive growth in share price.
The Untaken Safer Alternative is to move their money into Fiduciary Finance in partnership with Bank of Nature.
The remedy is injunctive relief: a court order that they move the fiduciary money that society entrusts to their fiduciary ownership out of Corporate Finance and into Fiduciary Finance (through Bank of Nature, or otherwise) with all deliberate speed.