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Insubordination is the act of a subordinate deliberately disobeying a lawful order. A lawful order is a directive from a legitimate representative of an organization, a person who has been designated as having the authority to issue the order, to a subordinate within the organization who is expected to carry out the directive as part of his or her duties within the organization.
Refusing to perform an action that is not ethical or legal is not insubordination. Refusing to perform an action that is not within the scope of authority of the person issuing the order is not insubordination.
Insubordination is typically a punishable offense in hierarchical organizations which depend on people lower in the chain of command to do as they are told.