Carnation Co. v. Quebec Agricultural Marketing Board
Encyclopedia
Carnation Co. Ltd. v. Quebec Agricultural Marketing Board [1968] S.C.R. 238 is a leading constitutional decision of the Supreme Court of Canada
on the federal authority over trade and commerce
under section 91(2) of the Constitution Act, 1867
. The Court held that incidental overlap of provincial laws into federal trade and commerce matters does not necessarily invalidate the law.
The issue was whether the Quebec Agricultural Marketing Board, a board created by the province, was ultra vires
the authority of the province. The Court held that incidental overlap is allowed where the pith and substance
of a law in intra vires the province. The Court found that the pith and substance of the Board was related to contractual rights which is valid provincial subject matter.
Supreme Court of Canada
The Supreme Court of Canada is the highest court of Canada and is the final court of appeals in the Canadian justice system. The court grants permission to between 40 and 75 litigants each year to appeal decisions rendered by provincial, territorial and federal appellate courts, and its decisions...
on the federal authority over trade and commerce
Trade and Commerce
In Canadian constitutional law, section 91 of the Constitution Act, 1867 provides the federal government with the authority to legislate on matters related to the regulation of Trade and Commerce...
under section 91(2) of the Constitution Act, 1867
Constitution Act, 1867
The Constitution Act, 1867 , is a major part of Canada's Constitution. The Act created a federal dominion and defines much of the operation of the Government of Canada, including its federal structure, the House of Commons, the Senate, the justice system, and the taxation system...
. The Court held that incidental overlap of provincial laws into federal trade and commerce matters does not necessarily invalidate the law.
The issue was whether the Quebec Agricultural Marketing Board, a board created by the province, was ultra vires
Ultra vires
Ultra vires is a Latin phrase meaning literally "beyond the powers", although its standard legal translation and substitute is "beyond power". If an act requires legal authority and it is done with such authority, it is...
the authority of the province. The Court held that incidental overlap is allowed where the pith and substance
Pith and substance
Pith and substance is a legal doctrine in Canadian constitutional interpretation used to determine under which head of power a given piece of legislation falls...
of a law in intra vires the province. The Court found that the pith and substance of the Board was related to contractual rights which is valid provincial subject matter.