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Unformatted text preview: C HAPTER 2 T HE C ANADIAN L EGAL S YSTEM Objectives After studying this chapter, you should have an understanding of: • the operation of the Canadian legal system and its relationship to business • the three branches and levels of government • the government’s law-making powers • the judiciary’s role in assessing the constitutionality of legislation • the sources and categories of law • the way that administrative law affects business Learning Outcomes • Understand the Canadian legal system and its relationship to business (page 20) • Understand the three branches of government: legislative; executive; and judicial (pages 23, 28, 29) • Understand the three levels of government: federal; provincial; and municipal (pages 23-26) • Understand the law-making powers of each level of government (pages 24) • Understand the impact of the Charter on business decisions (page 30) • Understand the difference between common law and statute law and how each is created (pages 23, 36) • Understand how administrative law affects business (page 39, 40) Chapter Summary The study of the Canadian legal system begins with the study of the government and its responsibility to formulate and execute policy. The legislative branch of government creates statute law through the passage of legislation. The executive branch of government is responsible for the day-to-day operations of the government. The role of the judiciary is to scrutinize the legislative and executive branches of government. In making its decisions, the judiciary is bound by the rules of precedent. Judges are appointed to their positions, not elected like politicians. Administrative law is one of the primary legal areas in which government and business interact. Administrative bodies have broad and far-reaching powers in many diverse areas of business, including, to name just a few of such powers, the power to grant or refuse business permits and licences, approve or reject zoning and subdivision applications, set health and safety standards in the workplace, and investigate human rights complaints. Businesses need to be aware of how these government operations affect them. Businesses can take a proactive approach and work to influence government in the formulation and execution of its policies. © 2008 BY N ELSON , A DIVISION OF T HOMSON C ANADA L TD . PART 1: THE LEGAL ENVIRONMENT OF BUSINESS Study Outline Use this outline to prepare a complete set of notes for this chapter. The Legislative Branch of Government – page 23 _______________________________________________________________________ _______________________________________________________________________ Statute Law_____________________________________________________________ _______________________________________________________________________ Legislative bodies in Canada________________________________________________ Federal legislative branch: Parliament – House of Commons and Senate __________ _______________________________________________________________________...
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