Step 1: Contextual Framework Pass (Facts)

Section Content:

Facts:
Richard Roe, P.
E., is president and chief executive officer of an engineering firm which has done overseas assignments in various parts of the world.
The firm is negotiating for a contract in a foreign country in which it has not worked previously.
Roe is advised by a high-ranking government official of that country that it is established practice for those awarded contracts to make personal gifts to the governmental officials who are authorized to award the contracts, and that such practice is legal in that country.
Roe is further advised that while the condition is not to be included in the contract, his failure to make the gifts will result in no further work being awarded to the firm and to expect poor cooperation in performing the first contract.
He is further told that other firms have adhered to the local practice in regard to such gifts.