Commencement of Business by a Public Company Restrictions on commencement of business. – (1) A company shall not commence any business or exercise any borrowing powers unless– (a) shares held….
Law and Business Test Bank
Providing polling, firefighting, education and health care. Rule of Law- established legal principles that treat all persons equally and that government itself obeys. 3) Law regulates individuals’ interaction with each other; for example, it enables us to make legally binding agreements enforceable in the courts. The law provides an element of certainty in determining contractual and property rights- something that is essential for the efficient carrying on of business. Facilitate business and private ordering. Most laws naturally evolve from basic moral principles that all people accept.
Garrulous reveled the second theory of natural law based on fundamentally rational moral principles independent of religion. John Lock as quoted in the united States declaration of Independence ” We hold these truths to be self-evident: that all men are created equal, that they are endowed by their creator with certain unalienable rights, that among these are life, liberty and the pursuit of happiness” How do laws influence behavior? Individuals voluntarily comply with the law simply because It Is the Law, Moreover, to further encourage compliance, most laws If broken, trigger penalties or consequences. E) go to jail Legal Liability is the legal responsibility for the consequences of breaking the law Criminal liability is the legal responsibility arising from commission of an offence against the government or society as a whole Regulatory or quasi-criminal Liability – is the responsibility arising from breaches of less serious rules, of public law, often enforced through specialized regulatory reburials set up by the government for specific purposes Civil Allowably (getting sued) is the reprehensibility arising from a breach of a private law, enforced through a lawsuit initiated by the victim The Significance of Law for the Business Environment Law is part of every facet of doing business and is central to a business;s interaction with its customers, suppliers, etc.
Law outlines what to do, and is the general framework of the rules. Modern society cannot function without laws, and business cannot succeed without understanding those laws. Indeed, business executives Identify legal certainty as one of the key factors that determine whether or not to invest in a particular country. Country must provide an adequate legal infrastructure that clearly defines, rights and responsibilities and properly enforces them. Over-regulation may be a severe inconvenience- but it is better than no law Legal Risk- Business activities, conduct events, or scenarios that could expose a business to any type of legal liability lea risk management plan a plan developed by remedial strategies.
Legal audit- is a review of each area, action, and interaction of the business to id potential legal risks or liabilities, and legal compliance risks Second after a comprehensive list of legal risked are developed, they rank the risks Third managers must develop effective strategies to deal with each risk Fourth the business must implement the plan Finally, the plan must be revised regularly. **Developing a strategy to address each risk from both proactive and reactive perspectives. Strategies to Manage Legal Risks Avoid the risk, discontinue the induct or finding another way to achieve the same result Reduce the risk, if you have too Transfer the risk (insurance) Absorb the risk, or self insure it, by charging more incase something were to go array. Federalism and the Constitution Under the constitution Act, 1867, each level has an independent existence, and its own sphere of activity.
SECTION 91/92 Certain areas to federal Parliament and others including power over municipalities to the provincial legislatures, where criminal is federal Whenever an act- or any provisions in an act- is found by the court to be outside the legislature’s Jurisdiction and therefore beyond its powers ( ultra fires) that act or provisional void. ULTRA FIRES- beyond the powers and therefore void. The Charter of Rights and Freedoms- Protect individual from government, and restricts government interference with individual rights Human Rights- recognize entitlements encompassing traditional freedoms associated with civil liberty and basic human necessities 1) we should note that the charter is more important than the constitution, and can not be repealed by an ordinary act of Parliament or of provincial legislatures.
The constitution of Canada is supreme law of Canada, and any law that is inconsistent with the provisions of the Constitution is, to the extent of the inconsistency, of no force or affect SECTION 52 Changes can only occur by way of amendment as provided for in the Constitution Act- that is by consent of Parliament of Canada, and the legislatures of at least two-thirds of the provinces containing at least 50 percent of the population of all the provinces 2) to the extent that a statue offends a right in the Charter, the statute will be declared invalid 3) The charter includes Section 33 ( not with standing clause) which permits a legislature to override certain other sections,that a legislature may infringe some of the most important rights guaranteed by the charter. Also this section contains a sunset clause, that expresses the statute expires fiver years after it comes into force unless it is re-enacted 4)None of the rights set out in the Charter are absolute: section 1 states that they are all subject to such reasonable Mites prescribed by law as can be demonstrably Justified in a free and democratic society.