External Responsibilites of a corporation

Question 1

Environment – Environmental Protection Act – liability of directors

Answer 1

• Environmental Offence: Environmental Protection Act, R.S.O. 1990 c. E.19 – presumption of negligence that can be refuted.
• Regulatory, not criminal, offence.

Question 2

Liability for Environmental Offences
- corporation must demonstrate

Answer 2

• Effective system to prevent offences is in place;
• Regular monitoring of that system;
• Implement improvements wherever identified; and
• Keep up to date on technological and scientific advancements

Question 3

Standard of Care of directors and officers

Answer 3

• need for expertise when engaging with highly hazardous activity
• held to the highest standard of the specialized skill and knowledge in the area
• if they have no skill or knowledge then they failed to employ the necessary expertise

Question 4

Who should be held responsible

Answer 4

• the actor who caused the environmental damage can be held personally responsible
• the directors and officers can be held personally liable is they acquiesced (allowed) the hazard in question

Question 5

Reasons for punishment

Answer 5

• protect the public
• deter and rehabilitate offenders
• promote compliance with the law
• express public disapproval of the act

Question 6

factors to be considered in determining an appropriate sentence

Answer 6

• nature of the environment affected
• extent of the damage actually inflicted
• deliberateness of the offence
• attitude of the defendant
• attempts to comply with the regulations