On February 5, 2013, the British Columbia (BC) Branch of the
Canadian Bar Association issued an "
Agenda for Justice" which includes the following
recommendations for legislation to the Government of BC:
Enact a Franchise Act. In 2012, the British Columbia
Law Institute began a project on a Franchise Act for BC.
Franchisees are usually run by small business owners operating
businesses under licenses by franchisors. Franchisees are found in
many industries: food, retail and services. Small business owners
in BC make up 98 percent of all businesses in BC and many of these
businesses are franchisees. These small businesses often lack the
resources to fight unscrupulous franchisors. Where there are
disputes, BC franchisees often have to litigate in Ontario or even
the United States since it is common for franchise agreements to
require disputes to be resolved by the governing law of the
franchisor, which is usually a foreign jurisdiction. Litigating
outside of BC is often prohibitively expensive for BC franchisees.
A Franchise Act for BC would fairly balance the interests
of both parties and it would provide protection to small business
If BC enacts a Franchise Act, it will be the sixth of
ten Canadian provinces to do so.
Presumably, a Franchise Act in BC would include a duty
of good faith. In any event, the following statute proposed by the
BC Branch would apply such a duty to all types of contracts:
Enact the Contract Fairness Act as recommended by the
British Columbia Law Institute. The Act creates a duty of good
faith in the performance of contracts. This Act addresses remedies
for misrepresentation. Currently, the law is a complicated
patchwork of confusing rules. The Act would make it easier for
business to resolve disputes, reduce court cases, reduce court time
and increase clarity in the law.
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Under the Income Tax Act, the Employment Insurance Act, and the Excise Tax Act, a director of a corporation is jointly and severally liable for a corporation's failure to deduct and remit source deductions or GST.
Under the Income Tax Act, the Employment Insurance Act, the Canada Pension Plan Act and the Excise Tax Act, a director of a corporation is jointly and severally liable for a corporation's failure to deduct and remit source deductions.
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