It discusses costs, dangers, location, security, management, responsibility for errors and omissions, risk of bankruptcy, and negligence. Negligence is defined as the failure to exercise the degree of care demanded by the circumstances, or want of that care prescribed by law under the circumstances existing at the time of the involved act of omission. Negative characteristics of jails in the United States, which also apply to private prisons, are discussed. These include inadequate personnel, inept administration, and the variety of backgrounds of offenders. The experiences of RCA Corporation and Corrections Corporation of America -- two corporations which operate private prison facilities -- are described. Lack of background in penology, qualifications of management and guard personnel, overworked prisoners, supervision of inmates, health and safety standards, conduct of prison personnel, and the profit motive are issues to be examined in considering private prison operators. 17 references.