Business Law - Chapter 1

Business Law - Chapter 1

• Laws are rules of conduct protecting individual and business rights.
• Laws regulate conduct for individuals and businesses.
• Federal, provincial, and municipal laws protect businesses and the public.
• The Personal Information Protection and Electronic Documents Act (PIPEDA) applies to the collection, use, and disclosure of personal information in commercial activities.
• It protects personal information and provides guidelines regarding ethical and legal responsibilities of businesses toward individuals.
• A Privacy Plan outlines rules for employee conduct regarding information creation, usage, control, and maintenance.
• It's essential for businesses to inform employees and customers of their privacy rights.
• A company's privacy policy should include a pledge to protect customer privacy, detailing collected information and its methods.
• It should also state if information is shared with third parties or "trusted partners."
• Business law comprises all laws governing business formation and operations.
• Knowledge of business law facilitates success and risk minimization.
• Business laws govern from business formation through its completion, protecting the business, owner, and the public.
• Risk management is a positive business practice that acknowledges and assesses business activities' risks.
• Strong business management involves understanding and legally and ethically managing these risks.
• Business ethics defines how a business behaves and the moral decisions of stakeholders.
• Understanding industry guidelines, rules, regulations, and laws can help manage risk and improve business success.
• Stakeholders encompass individuals and groups directly or indirectly involved in a business, such as employees, shareholders, suppliers, and charitable organizations.
• Businesses should address how they handle employee complaints of sexual harassment and Canada Revenue Agency (CRA) reporting procedures.

Types, Areas, and Sources of Law in Canada

• Public law governs the relationship between individuals or organizations and society.

• It dictates permissible actions, the decision-making body, and dispute resolution processes.

• Public law encompasses criminal, constitutional, administrative, and tax law.

• Criminal law deals with offenses against society, governed by the Criminal Code of Canada.

• It aims to protect society from crimes like assault, theft, and murder.

• Constitutional law addresses issues between individuals or organizations and the Charter of Rights and Freedoms (or the Constitution Act).

• It limits government power, protecting human rights and freedoms.

• Administrative law comprises laws and regulations within specific industries at municipal, provincial, federal, and international levels.

• Administrative law examples include environmental review boards, human rights tribunals, labor relations boards, and zoning commissions.

• Tax law addresses issues between individuals or organizations and the CRA when there are federal income tax disagreements.

• Applicable statutes include the Income Tax Act, Employment Insurance Act, and the Customs Act.

• Private law, also known as civil law, governs interactions between individuals, addressing disputes, harm, or broken agreements.

• Private law is also referred to as tort law.

How Laws Are Made in Canada

• The Constitution Act of 1867 outlines federal and provincial governmental powers.
• The Constitution Act of 1982 establishes the Canadian Charter of Rights and Freedoms, protecting fundamental freedoms.

Sources of Law

• Statute law consists of codes, rules, and regulations created by the government or administrative bodies.
• Examples include the Criminal Code of Canada, the Income Tax Act, the Copyright Act, and the Matrimonial Property Act.
• Common law or case law stems from court decisions that establish precedents for similar cases.
• It's not criminal law.
• Stare decisis is crucial; lower courts follow the rulings of higher courts for similar matters.
• Common law governs civil disputes, such as contract, property, and family law.

The Court System and Role of Courts

• Canada's court system resolves legal disputes.
• The judiciary interprets laws and settles disagreements.
• The legislative branch (Parliament) creates, modifies, and repeals laws.
• The executive branch implements and enforces the law, managing government agencies.
• Courts provide a neutral platform for resolving disputes and testing laws;
• decisions are based on legal principles and evidence.

Alternative Dispute Resolution (ADR)

• ADR involves various methods beyond formal court proceedings to resolve disputes, such as mediation and arbitration.
• ADR saves time, money, and maintains privacy while potentially building goodwill.

Key Questions/Terms

• Recognizing the importance of law for modern businesses.
• Developing effective privacy plans for businesses.
• Understanding risk management principles in a business setting.
• Identifying and differentiating various types of laws.
• Compare criminal and civil cases.
• Determine if specific incidents are matters of public or private law.
• Discussing situations when ADR is a preferable dispute resolution method.
• Clarifying key terms like laws, privacy plans, business law, risk management, business ethics, public laws, and private laws, and statute law, and common law.