MISFEASANCE

Refers to an improper, negligent, or unlawful execution of an integral lawful act. It also denotes engaging in any proper action or duty but failing to do the duty correctly. It frequently happens in the business industry when management does not adhere with rules and procedures, not out of intent to harm, but to probably make a shortcut. Management can do this because they believe it is helping the firm, but it could lead to negative consequences in the future.