Deck 34: International Business Law

Question 1

Under environmental legislation, enforcement officers

A) are not authorized to examine and seize business records.
B) are not authorized to order a suspected offender to cease operations.
C) are responsible for monitoring compliance with the legislation.
D) are authorized to carry weapons.
E) are responsible for monitoring compliance with the legislation and are authorized to carry weapons.

Answer 1

E

Question 2

In R. v. Kingston, the City of Kingston was found liable for the contamination of a river due to leachate from an abandoned dump. What was the penalty/damages?

A) Damages and remediation
B) Damages
C) Penalty and remediation
D) Penalty and damages
E) Penalty

Answer 2

C

Question 3

A private organization, Recyclemates!, planned to establish a recycling and waste recovery facility on a two-hectare piece of property at the outskirts of Smallville. The facility would sort and resell recyclable materials as well as produce compost for sale to farmers and gardeners. Before the facility may begin operation

A) it may be required to obtain a licence to operate the site.
B) it will fall primarily under provincial legislation for environmental regulation.
C) it will require an environmental assessment and approval.
D) it will have to acquire municipal zoning for the site consistent with its proposed purpose.
E) All of the following must be considered.

Answer 3

E

Question 4

The Oldman River case stands as an example of the complexity, and possibility of overlap, of federal and provincial regulation of the environment.

Question 5

Most environmental matters governing business activities fall under provincial jurisdiction for regulation.

Question 6

Where a new neighbour arrives beside a long-existing visible nuisance (noise or smoke for example), the new neighbour has no right in tort to demand termination of the nuisance.

Question 7

The Kyoto Protocol, which entered into force in 2005, is a significant component of the United Nations Framework Convention on Climate Change which was concluded in 1992. What were the goals of that Convention?

A) To set a framework for governments to tackle climate change
B) To gather and share information on greenhouse gas emissions, national policies, and best practices
C) To draft legislation to address greenhouse emissions
D) To launch national strategies to address greenhouse emissions
E) All of these were goals with the exception of the draft legislation.

Question 8

The Massive Mining Company operated several mines in close proximity and wished to link three of its mines with a pipeline conveyor to transport ore from one site to another. The proposed conveyor would have to cross a creek which, in the spring, is used by local residents for canoeing. Before Massive Mining Company can construct its conveyor,

A) it must determine whether the Navigable Waters Protection Act applies to the proposed project.
B) it must show it has used due diligence in order to obtain a licence for the conveyor.
C) it may have to perform an environmental audit to evaluate any harmful effects the conveyor may have on the environment.
D) it may be required to undergo an environmental assessment.
E) it must determine whether the Navigable Waters Protection Act applies to the proposed project and it may be required to undergo an environmental assessment.

Question 9

The standard of care under environmental legislation is very high, holding officers and directors of corporations personally liable for allowing any pollution to occur regardless of the steps they may have taken to prevent it.

Question 10

A lender that took a security interest in land from the borrower and later takes possession may be required to clean up the land if it is contaminated.

Question 11

The Common Law relating to environmental matters cannot redress cumulative damage to the environment.

Question 12

Do directors and officers have liability for the storing and handling of hazardous products?

A) Yes, under the Transportation of Dangerous Goods Act and the Hazardous Products Act.
B) Yes, under the Narcotics Control Act and the Hazardous Waste Act.
C) Yes, under the Hazardous Products Act and the Hazardous Waste Act.
D) Yes, under the Transportation of Dangerous Goods Act and the Hazardous Products Act and the Narcotics Control Act.
E) No, there is no personal liability.

Question 13

What two Common Law actions may be taken when environmental damage results?

A) Trespass and nuisance
B) Trespass and riparian rights
C) Nuisance and riparian rights
D) Occupier's liability and nuisance
E) Occupier's liability and riparian rights

Question 14

A clear environmental audit assures purchasers of land that they will never have to clean up any contaminants in land that they intend to purchase.

Question 15

Where a new neighbour arrives beside a long-existing visible nuisance (noise or smoke for example), if the defendant can show that all possible care and skill had previously been taken in the attempt to lessen or eliminate the nuisance, the action in nuisance will fail.

Question 16

The environmental impact assessment of the Oldman River Dam was regulated by which legislation?

A) Alberta Environmental Protection and Enhancement Act
B) Canada Environmental Act
C) Navigable Waters Protection Act
D) All of this legislation applied.
E) None of this legislation applied.

Question 17

Environmental protection legislation attempts to

A) minimize pollution through control procedures.
B) minimize pollution through monitoring procedures.
C) prohibit certain production practices.
D) prohibit certain waste disposal practices.
E) All of these are objectives of legislation.

Question 18

A lender would be more likely to request an environmental assessment than an environmental audit before lending funds to a borrower intent on acquiring derelict lands that were once a large railway yard.

Question 19

"Due diligence" in the environmental law context

A) is one of the defences which a party charged with an environmental offence may use.
B) would be satisfactorily proven where company officials have issued directives to management to establish careful storage procedures for potential contaminants.
C) requires ongoing monitoring by the company's directors to ensure that management is complying with the directives set out.
D) is part of the environmental assessment process to determine whether a certain activity has the potential for causing environmental damage.
E) All of the responses are correct.

Question 20

Under the Common Law of environmental nuisance

A) a defendant may successfully claim that the nuisance is a benefit to the public thereby eliminating liability.
B) a defendant may use the defence that it used all necessary care and skill to prevent the nuisance from occurring.
C) a defendant may successfully use the defence that it existed with its offending activity before the plaintiff came to the nuisance.
D) a defendant may not argue that its actions do not constitute nuisance because other entities independent of it are also engaged in the same activity.
E) All of the responses are correct.

Question 21

The Canadian Environmental Protection Act, R.S.C., 1985 (4^th supp) s. 122 states as follows:
Where a corporation commits an offence under this Act, any officer or agent of the corporation who directed, authorized, assented to, acquiesced in or participated in the commission of the offence is a party to and guilty of the offence, and is liable to the punishment provided for the offence, whether or not the corporation has been prosecuted or convicted.
Discuss this provision in light of your understanding of legal principles including the principle of fundamental justice.

Question 22

George purchased a derelict manufacturing facility near the old rail yards, which had been out of use for ten or fifteen years. It had been used originally as a repair shop for locomotives and electrical equipment storage. On site in one of the decaying outbuildings, George discovered a 500-litre tank, partially full of liquid. The look, feel, and smell confirmed it to be used motor oil.

Question 23

Describe how an interest in property can result in liability for environmental contamination.

Question 24

In the mountain town of Mountain Grove, a paper mill had been in operation as the main employer for many years. The mill constantly emitted a foul odour and occasionally particles into the air which covered objects with a grimy film. Mountain Grove was located in a valley in the mountains. The mountain breezes blew consistently from north to south through the town. Mountain Grove has expanded in all direction around the mill, which is now located in approximately the middle of town. As a result, the residents to the north of the mill rarely receive any of the offensive fumes or particles that are carried with the prevailing winds to the southern residents.
Rick, who was planning to move to Mountain Grove to retire early from his hectic city job, was sitting in the local coffee shop one morning. He asked several of the residents where he should look to buy a house in the town. One long-time resident replied, "Well you'd be best off finding something in that new subdivision north of town. They're real nice homes going up in there and you'd be well out of the line of fire of the mill."
Rick enquired what he meant by that and the resident replied, "Well, you know that the wind blows all the stench and stuff from the mill to the south end of town. Most of that part of town is covered in grime. You could probably find yourself a good deal on a house in that end of town. Prices aren't too high there. They call it Toxic Town! But you don't want to live there, believe me. I used to."
Rick and his family purchased a home in the new subdivision north of town. Rick was, however, able to purchase property and a building in the south end of Mountain Grove at a very good price, which he used to start up a car dealership as a retirement project. Not long after the business was established, Rick noticed pits and some peeling on the vehicles' paint. He also noticed that the cars on his lot were covered with a film that was somewhat oily and could only be removed by hand washing the cars with soap.
a. Discuss the environmental issues that are raised by this case under the Common Law and indicate how any action by Rick against the mill would be resolved.
b. What environmental legislation, if any, would be applicable in this situation? Explain how the resolution under the legislation would be different from the remedies in an above.

Question 25

Even if societal attitudes had been more supportive in the past, the Common Law would not have been of much use to attack the sources of pollution, and stop them at source. This corner was not turned until Parliament filled the breach.

Question 26

The post-war rise in environmental legislation at all levels of government was, in part, a response to the limitation of the Common Law to adequately address the control, abatement and remedy of environmental damage. Discuss those limitations and how legislation has met the many environmental challenges.