1. Canada has a federal system. What does this me
- The provinces will jealously guard the constitutional arrangements that give them exclusive control over their municipalities. Any injection of the municipal question into national constitutional discussions has, in the past, provoked a reaction that has jeopardized even the ad hoc relationship between the federal and municipal governments.
- The municipalities’ quest for constitutional recognition has been largely motivated by their search for practical ways of meeting the increasing demands upon their fiscal resources. They are not inherently interested in constitutional recognition (unlike Aboriginal peoples), but see it as one means of solving their financial problems. Municipalities have, however, given clear signals that they would be just as ready to deal with their fiscal situation outside the constitutional debate.
- As a result of their lack of focus on constitutional issues, the municipalities have never formulated a comprehensive and specific set of constitutional proposals, and their demands have not dealt with the need to differentiate between constitutional recognition and constitutional powers.
- Discussions have not so far explored the question of whether constitutional provisions for municipalities might add another dimension of inflexibility to the Canadian federal system.
- One case for involving municipalities in constitutional discussions is based on the argument that their exclusion ignores the following facts: the vast majority of Canadians live in cities; and the problems of Canada’s large cities are no longer merely local or municipa
List at least two differences between the federal and provincial government.
| Topic | Federal | Ontario | Statute | Canada Business Corporations Act | Ontario Business Corporations Act | Name Selection | Federal corporation names are pre-screened. | Ontario only stops exact matches. | Name Protection | Federal name protection is better than Ontario name protection. | Ontario name protection is weaker than federal name protection. | Name Use | You can use the same corporate name to do business anywhere in Canada, although you will be required to follow any licensing and registration requirements in the different provinces and territories. | You can use the name to do business in Ontario | Familiarity | Federal Corporations are less well known than Ontario ones. Your banker, business associates, accountant, bookkeeper, and lawyer are probably more familiar with Ontario Corporations | Ontario Corporations are better known than federal ones to the people you will be dealing with. | Registered Office | Must be in Canada | Must be in Ontario | Initial Cost | The Canadian government fee is $200 - $250 | The Ontario government fee is $325 - $360 | Annual Filing Fee | A $20 to $40 annual fee is charged for filing depending on filing method. | No charge for annual filings. | Prestige | Federal Corporations may be seen as being more prestigious especially from an international perspective. | Carries only the general prestige associated with any corporation. | |
| Extra-Provincial Licences and Name Registration - Federal Corporations: In general, a federal corporation is entitled to use the same name to carry on business anywhere in Canada, subject only to the licensing and registration requirements (if any) of the province where business is done. The fees per province range from $200 to $500 to register extra-provincially with the exception of Ontario where it is free to register, however the registration must still be filed.
Extra-Provincial Licences and Name Registration - Ontario Corporations: In general, an Ontario corporation is entitled to carry on business in Ontario under its corporate name, and needs an extra-provincial licence to do business in another province. To do business in another province, business name registration is also usually required.
Approval of Corporate Name: The onus is on the incorporator to ensure that the corporate name complies with the applicable provincial and/or federal laws. The Ontario government will not initially reject any corporate name proposed as long as there is not an exact match and a Nuans search is conducted. The onus is on the incorporator to make sure their name is not confusingly similar to other names and that it complies with the law. On the other hand, the federal government (Industry Canada) pre-screens all proposed corporate names. There is a high rejection rate which often results in the need to pay for multiple Nuans search reports. It should be noted that although Industry Canada calls their screening process a name approval (or Name Decision) they actually will allow you to use a name only if you assume full responsibility for any risk of confusion with existing business names and trade marks. In effect they either reject your name or state they have no reason to reject your name. A favourable Name Decision does not necessarily mean your name is satisfactory from a legal standpoint. It just means that it was not rejected based on their criteria and the information they had access to at the time they rendered their decision.
Use of Corporate Name: If your business is an Ontario corporation, you are free to do business in Ontario without any additional registration of your name. If you do business in another province, you're generally required to register your name with that province. The other province decides whether or not you may do business there under that name. If you are a federal corporation, you are entitled to use your corporate name in any province in Canada. However, you may still be required to meet other provincial requirements, in terms of such issues as registration, taxation, and reporting.
Annual Filings: An Ontario corporation is required to file a combined Corporation Tax and Annual Return every year. This includes the corporate information on directors, officers, and other people connected with the corporation. There is no charge for this filing. A federal corporation must annually file a Corporation Tax Return, and a Corporate Information Return. These two federal documents are separate from each other. The fee for the Corporate Information Return is $20 to $40 depending on method of filing. A federal corporation based in Ontario must also annually file with the Ontario government. For most small businesses, this filing is very simple, and there is no charge for it. | |
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| It is not our responsibility to determine whether the corporate name you choose or use infringes the legal rights of others. Instead, it is your responsibility to make that determination, and for that, we strongly recommend consulting a licensed lawyer. WE ARE NOT LAWYERS. WE WILL NOT GIVE YOU LEGAL ADVICE. WE STRONGLY RECOMMEND THAT YOU CONSULT A LICENSED LAWYER FOR LEGAL ADVICE. | |
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