Question 1

Bait-and-switch advertising is both a criminal and a regulatory offence.

Accepted Answer

The answer of Bait-and-switch advertising is both a criminal and...

Question 2

Tied-selling is an example of monopolizing.

Accepted Answer

Tied-selling is when a supplier requires a customer to purchase one product in order to obtain another product, which can limit competition and give the supplier a monopolistic advantage.

Question 3

To enforce environmental protection laws is no small or easy matter.The enforcement usually involves

Accepted Answer

Enforcing environmental protection laws typically involves requiring polluters to stop harmful activities, clean up any existing damage, and pay for the costs associated with cleaning up. This is not a private matter, but rather one in which government agencies are empowered to enforce regulations. While corporations may be major polluters, it is the responsibility of all individuals and organizations to comply with environmental regulations. The common law tort of nuisance may be relevant in some situations, but it is not the primary means by which environmental protection laws are enforced. While there may be instances of over-zealous enforcement, this is not a common characteristic of environmental protection law enforcement.

Question 4

Consumer protection statutes create regulatory offences that require mens rea and usually allow the due diligence defence.

Accepted Answer

Consumer protection statutes often create strict liability offences, meaning that no mens rea is required to establish guilt. Additionally, while a due diligence defence may be available in some cases, it is not always allowed.

Question 5

As a response to high pressure door-to-door sales methods,most provinces have enacted legislation making direct sales contracts non-binding on consumers.A direct sales contract is one in which the contract is formed

Accepted Answer

The answer of As a response to high pressure door-to-door...

Question 6

In appropriate circumstances,a company that has a monopoly can be found guilty of conspiracy under the Competition Act.

Accepted Answer

If a company with a monopoly engages in anti-competitive behavior with the intent of preventing or lessening competition, they can be found guilty of a conspiracy under the Competition Act.

Question 7

Parallel pricing is an example of monopolizing.

Accepted Answer

Parallel pricing, where companies in the same market set prices similarly, is not necessarily an example of monopolizing but can be a form of oligopolistic behavior or price leadership, where firms independently follow the prices set by a dominant one without explicit agreement. Monopolizing typically involves one firm controlling the market.

Question 8

Generally speaking,the conspiracy provisions of the Competition Act do not apply to professionals.

Accepted Answer

The answer of Generally speaking,the conspiracy provisions of the Competition...

Question 9

The fact that prices among competitors in a particular industry tend to go up or down at the same time and by approximately the same amount does not necessarily mean that there is a conspiracy.

Accepted Answer

This phenomenon could also be explained by market forces such as changes in supply and demand, cost of production, or changes in government regulations. However, if there is evidence of communication or collusion among competitors to fix prices, then it may be considered a conspiracy.

Question 10

The Canada Consumer Product Safety Act (CCPSA)applies to manufacturing,importing,selling,and distributing,and applies to a broad range of products.The CCPSA also provides for all of the following EXCEPT

Accepted Answer

The Canada Consumer Product Safety Act (CCPSA) provides for mandatory disclosure of defect incidences, increasing penalties for non-compliance, expanding criminal liability to include directors and officers, and banning unsafe products and setting standards of quality for others. However, the CCPSA does not expressly provide to the consumer a civil cause of action for damages.

Question 11

The provisions of the Competition Act relating to anti-competitive practice can be grouped under three main headings.These do not include

Accepted Answer

The provisions of the Competition Act relating to anti-competitive practice can be grouped under three main headings: (1) agreements and conspiracies that restrict competition, (2) abuse of dominant position, and (3) mergers and acquisitions that may substantially lessen competition. Regulation of professions is not a provision of the Competition Act related to anti-competitive practice.

Question 12

Today,environmental impact assessment review is a mandatory step in developing land.

Accepted Answer

Environmental impact assessment review is a mandatory step in developing land in many countries, including the United States, Canada, Australia, and many European countries. It is a process of evaluating the potential environmental effects of a proposed project or development, and identifying ways to reduce or mitigate those impacts.

Question 13

Are the disclosure statements that set out the cost of borrowing and that are required to be provided under consumer protection legislation really a protection for many borrowers whose credit is poor or who need to borrow money?

Accepted Answer

The answer of Are the disclosure statements that set out...

Question 14

Any agreement that lessens or has the potential to lessen competition may be reviewed by the Competition Bureau,and the Commissioner of Competition may seek enforcement proceedings before the Competition Tribunal seeking such orders including all of the following EXCEPT

Accepted Answer

The Competition Act does not provide for fines or imprisonment, but rather seeks to promote competition in the marketplace through corrective or modifying actions. Private parties may pursue actions for damages as provided for by the legislation.

Question 15

With respect to environmental law,the most important federal legislation is contained in the Canadian Environmental Protection Act (CEPA).Any contravention of the CEPA or its regulations

Accepted Answer

All of the above options are possible consequences for contravention of the Canadian Environmental Protection Act (CEPA) or its regulations. A contravention may result in a criminal offence, a maximum fine of one million dollars, imprisonment for up to three years, and the imposition of clean-up costs.

Question 16

The Criminal Code of Canada sets a maximum "legal" interest rate,and the federal Interest Act requires that interest rates in written contracts be expressed in annual percentages.

Accepted Answer

The Criminal Code of Canada does set a maximum legal interest rate, and the federal Interest Act does require that interest rates in written contracts be expressed in annual percentages.

Question 17

For the merger of two large competing companies to be approved,there must

Accepted Answer

One of the main goals of anti-trust laws is to ensure that there is still effective competition in the market after a merger. This means that the merged entity should not be able to dominate the market and prevent other competitors from entering or thriving. Therefore, option C is the correct answer.

Question 18

A voluntary code of conduct created to supplement legislation is as binding as the legislation itself.

Accepted Answer

A voluntary code of conduct is not legally binding and cannot have the same force as legislation. It is rather a set of guidelines or recommendations that organizations or individuals can choose to follow voluntarily.

Question 19

The four companies that sell bulk-rate diesel to farmers in the Saskatoon area have consistently moved together (up or down)with the same prices.It has been suggested that they have conspired together to keep prices the same.Might they be prosecuted under the Competitions Act?

Accepted Answer

The fact that the four companies consistently move together with the same prices is evidence of an agreement, which can be inferred from their behavior. This can be seen as a violation of section 45 of the Competition Act, which prohibits agreements between competitors to fix prices. Therefore, they might be prosecuted under the Competitions Act.

Question 20

Which of the following statements is true concerning environmental protection?

Accepted Answer

Municipalities in Canada have the authority to pass by-laws for local environmental protection, in addition to federal and provincial regulations. The other options are incorrect, as there is no such legislation as the Unified Canadian Environmental Protection Act, common law does have applications to pollution problems, major environmental disasters have raised public awareness, and several provinces have general environmental protection laws in place.

Quiz 30: Government Regulation of Business