Questions and Answers of Canadian Business And The Law

Andrea Smith was an IT helpdesk analyst at Union Credit Services. She had worked for Union for over 21 years and had an unblemished record. All employees of Union were assigned personal electronic
In the calculation of reasonable notice, which factor is the most important? Explain.
What is constructive dismissal? Give an example.
Why is the manner of termination important?
What is the duty to mitigate? When does it arise?
What should a termination settlement contain?
How does the process for termination differ between the union and nonunion sectors?
What is the grievance process? When is it used?
Who is a professional and how are professionals different from other service providers?
The decision in Liventclarified the extent of an auditor’s liability to those who might rely on audited financial statements of a corporation that were prepared to satisfy statutory
How may a professional be in a conflict of interest?
If you were an accountant retained to provide an opinion on the financial health of a client, what steps would you take when negotiating your terms of engagement to limit your liability in the event
What are the options for setting professional fees?
What is an example of a pure economic loss, and why are courts generally reluctant to award such damages?
What is the basis for determining the cost of professional services if there is no formal contractual term addressing the issue?
What are the three types of professional responsibility?
Can a professional be sued by a non-client who relies on their advice?
What is the meaning of “self-regulating profession”?
What are the key roles of the bodies created to oversee the professions?
During a disciplinary process, why is it important to protect the rights of the professional against whom a complaint has been made?
What are LLPs?
What rules establish who can be a member of a particular profession?
What is a professional’s duty of confidentiality?
How does the duty of confidentiality differ from lawyer–client privilege?
What are two major rules of construction used by the courts in interpreting a contract?
The Supreme Court of Canada in Bhasin stated that there is a new duty of honesty in contractual performance. What is this duty and how might it interfere with freedom of contract?
Kristin signed a user agreement with Hagel’s Cable, Inc. (Hagel’s), upon installation of high-speed Internet service in her home. Included in the agreement was a provision that the agreement
What risks do lengthy contracts—as found in the car rental industry—pose to the consumer and to the business supplying the vehicle?
It is fair to conclude that the party who is forced to rely on an implied term for assistance, rather than an express one, has done a poor job negotiating the contract in question?
Why are express terms preferable to implied terms?
When one party signs a contract containing an exclusion clause, that party may later argue that it is not bound by that exclusion clause because he or she did not see it or realize it was there.The
How does the doctrine of business efficacy affect the interpretation of implied terms?
Lucy Smith became interested in enrolling as a member in Trident Ltd’s online discount service for goods and services in exchange for a monthly membership fee. She decided to join up and linked to
What is the expression used to describe an implied legal promise to pay a reasonable price for goods or services?
Trackers is three days late in delivering the tracking to Coasters. Amritha now wants to rely on the clause in the contract that Trackers will pay $5000 for each day that the tracking is late, and
What are three ways that a party can control its exposure to liability for breach of contract?
What is a limitation of liability clause?
What is the parol evidence rule?
What is an entire contract clause?
What is a liquidated damages clause?
Why should contracts that appear normal on the surface be subject to challenge on the basis of the relations between the parties or the surrounding circumstances?
Explain the difference between a void contract and a voidable contract.
Why would an employer want to include a non-competition clause in its contract with an employee? What are the dangers of such a clause?
Madeline was 35 years old when she was seriously injured in a car accident caused by the other driver. She was hospitalized for over a month. An insurance adjuster (an employee of the insurer of the
How does legislation governing electronic signatures help create certainty in the marketplace?
Who has the legal capacity to form contracts?
What factors should a business consider in developing a policy on documentation ofcommercial relationships?Should it insist that all contracts be in writing or is more flexibility in order?
Which doctrines discussed in this chapter would be likely to arise in a business context? Why?
Describe the doctrine of undue influence.
Derek was a minority shareholder and employee of Bridge Decks Ltd (Bridge), a corporation that provided concrete work on new bridges.When Bridges sold all its assets to Concrete-Works-R-Us Ltd, Derek
Gus started working as a labourer on Dick’s farm as a young man. A few years later, Gus indicated that he planned to go elsewhere but Dick did not want to see that happen, especially as illness had
Give an example of economic duress.
Before the weaker party can rely on a defence of mental incapacity through illness or intoxication, he or she must prove that the other party was aware of such an impairment.Is this requirement a
What is an unconscionable transaction?
Julie Langille decided to sell her large recreational vehicle (RV). Considerable portions of the RV floor had suffered termite damage and this, in turn, had led to some rotting. Before dealing with
What is a misrepresentation?
Name one statute that makes certain kinds of contracts illegal.
What is the role of public policy in contract enforcement?
How are non-competition covenants used in employment contracts?
How does the Statute of Frauds affect contracts?
What four types of contracts relevant to business law are required to be in writing?
Who is a minor?
Leonard purchased an unconstructed condominium in a large development. The contract stated that delivery of the completed condo was to be on a date set by the developer before February 1,
What kinds of issues can a construction contract raise in relation to the termination and enforcement of contracts?
What are the four major ways that a contract can be terminated?
A contract is considered frustrated in limited situations and it can be difficult to predict exactly when it will apply. How can this problem be addressed proactively at the drafting stage of the
Mr. White woke up one morning to find that the interior of his car had been consumed in a fire, rendering the vehicle a total write off. He promptly made a claim under his car insurance policy. Soon
Should the court enforce contracts as they relate to aesthetics and matters of taste, or should contractors be given the discretion to follow cheaper alternatives?
Breach of a condition can signify the end of the contract, while breach of warranty does not. How does the court distinguish between these two kinds of terms?
Tropical-to-go Ltd (Tropical) retails large plants and trees. Its long-term supplier, Green Trees Ltd (Green), failed to deliver a large order to Tropical, in breach of contract to do so. As a
What is privity of contract?
The privity rule is one of the basic elements of contract law. What is the purpose of the rule?
How is vicarious performance used by business?
Peter Pan Equestrian Ltd(Peter Pan) wanted to increase the amount of natural light in its horse-riding arena. It decided to purchase a skylight system from Skylights-R-Us-Ltd (Skylights),which duly
How is a new contract created through novation?
Imperial Brass Ltd wanted to computerize all of its systems. Jacob Electric Systems Ltd presented Imperial with a proposal that met Imperial’s needs. In August, Imperial accepted the proposal,
The Canada Radio-television and Telecommunications Commission (the CRTC) has put in place the Wireless Code (the Code) in order to deal with a number of cell phone issues, including customers
When is a contract frustrated?
What elements need to be established in a successful action for breach of contract?
When will a court award punitive damages for breach of contract?
When is a plaintiff entitled to damages for mental distress?
What is unjust enrichment?
What is restitutionaryquantum meruit?
What is specific performance?
What is the remedy of rescission?
When can the innocent party treat the contract as at an end?
How can a plaintiff avoid the application of an exclusion of liability clause?
Larry Jones and his co-worker were on shift as security guards in a large warehouse. They heard noise coming from a far corner of the building and went to investigate. At that point, three men jumped
The law requires employers to keep the workplace safe. How can the risks of a workplace accident be managed?
Reginald Smith, an employee of UR Safe Ltd, a security company, broke into a branch of a bank that was a customer of UR Safe Ltd. Smith did so when he was not on shift with UR Safe Ltd, and by using
Dennis Schulz was catastrophically injured at a Bon Jovi concert. Schulz alleges that several people starting fighting in the stands and one of them ended up falling on him from above, breaking his
Georgina owned and operated her own delivery truck. She disliked the headrest behind the driver’s seat because it was uncomfortable and did not regard it as a safety device. She therefore removed
Should the defendant’s ability to pay be a consideration in the awarding of punitive damages?
What are the two main categories into which torts are organized?
How can business avoid being ordered to pay punitive damages?
Why does the law require employers to maintain a safe workplace?
When a plaintiff who has been injured in a car accident has been contributorily negligent—by travelling over the speed limit, for example—the court will reduce the size of the damages award
Louise arrived for a two-week vacation at a Mexican resort. She spent the day at the beach and, on returning to her room, found a bottle in the fridge containing a clear liquid. Louise assumed the
Tort law judgments have an educational function because they set out when certain activities will lead to liability and why. For example, one could argue that the availability of a tort action in the
Archie became drunk at the office Christmas party. When he was leaving the event, his employer grew concerned and offered to drive him home, particularly as the winter weather was getting bad. Archie

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