Margarine Reference
Encyclopedia
Reference re Validity of Section 5(a) of the Dairy Industry Act (1949), also known as the Margarine Reference or as Can. Federation of Agriculture v. A.-G. Que., is a leading opinion of the Supreme Court of Canada
on determining if a law is within the authority of the federal government under the Parliament's powers to legislate criminal law. In this particular case, the Court found that a regulation made by Parliament was ultra vires
. It contained sufficient punitive sanctions; however, the subject matter was not the kind that served a public purpose.
At this time, the Supreme Court of Canada was not the supreme authority on Canadian law. However, the decision, by Rand J., was upheld by the Judicial Committee of the Privy Council
(JCPC) in 1951. The case has been cited in federalism
disputes many times since.
(or, at the time of this case, the British North America Act, 1867), Parliament receives exclusive powers to legislate in regard to the criminal law. The precise meaning of the criminal law power, however, had proved controversial. In Board of Commerce
(1922), the JCPC seemingly chose to define criminal law power as limited to prohibiting only what was criminal in 1867, the year of Canadian Confederation
. This was overturned in Proprietary Articles Trade Assn. v. A.-G. Can. (1931), in which it was found criminal law means Parliament could legitimately prohibit any act "with penal consequences." The problem with the latter decision was that it gave Parliament an excuse to legislate in regard to many matters.
The matter came before the courts again with the Margarine Reference, and a compromise was attempted. In this case, Parliament had legislated against the production and trade of margarine
, in order to give dairy
businesses assurances that margarine would not threaten their existence. This legislation actually dated back to 1886, and it was claimed in the law that the real purpose was to target a product that was "injurious to health
." While this, if true, would have made margarine a fair target for criminal law, the federal government admitted before the courts that this assessment was simply false.
power.
Rand outlined a test to determine if a law falls under the criminal law.
From this, two requirements must be met for a law to be criminal in nature.
Rand also listed a few objectives that would qualify as legitimate public purposes, namely "Public peace
, order, security
, health, morality
."
The JCPC, in upholding Rand's decision, agreed that in pith and substance
, the law was primarily related to property and civil rights, a provincial power.
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 determining if a law is within the authority of the federal government under the Parliament's powers to legislate criminal law. In this particular case, the Court found that a regulation made by Parliament 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...
. It contained sufficient punitive sanctions; however, the subject matter was not the kind that served a public purpose.
At this time, the Supreme Court of Canada was not the supreme authority on Canadian law. However, the decision, by Rand J., was upheld by the Judicial Committee of the Privy Council
Judicial Committee of the Privy Council
The Judicial Committee of the Privy Council is one of the highest courts in the United Kingdom. Established by the Judicial Committee Act 1833 to hear appeals formerly heard by the King in Council The Judicial Committee of the Privy Council (JCPC) is one of the highest courts in the United...
(JCPC) in 1951. The case has been cited in federalism
Canadian federalism
Canada is a federation with two distinct jurisdictions of political authority: the country-wide federal government and the ten regionally-based provincial governments. It also has three territorial governments in the far north, though these are subject to the federal government...
disputes many times since.
Background
Under section 91(27) of the Constitution Act, 1867Constitution 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...
(or, at the time of this case, the British North America Act, 1867), Parliament receives exclusive powers to legislate in regard to the criminal law. The precise meaning of the criminal law power, however, had proved controversial. In Board of Commerce
Canada v. Alberta
In re the Board of Commerce Act, 1919, and the Combines and Fair Prices Act, 1919 [1922] 1 A.C. 191 - commonly known as the Board of Commerce case - is a Canadian constitutional decision of the Judicial Committee of the Privy Council where the "emergency" doctrine under the peace, order and good...
(1922), the JCPC seemingly chose to define criminal law power as limited to prohibiting only what was criminal in 1867, the year of Canadian Confederation
Canadian Confederation
Canadian Confederation was the process by which the federal Dominion of Canada was formed on July 1, 1867. On that day, three British colonies were formed into four Canadian provinces...
. This was overturned in Proprietary Articles Trade Assn. v. A.-G. Can. (1931), in which it was found criminal law means Parliament could legitimately prohibit any act "with penal consequences." The problem with the latter decision was that it gave Parliament an excuse to legislate in regard to many matters.
The matter came before the courts again with the Margarine Reference, and a compromise was attempted. In this case, Parliament had legislated against the production and trade of margarine
Margarine
Margarine , as a generic term, can indicate any of a wide range of butter substitutes, typically composed of vegetable oils. In many parts of the world, the market share of margarine and spreads has overtaken that of butter...
, in order to give dairy
Dairy
A dairy is a business enterprise established for the harvesting of animal milk—mostly from cows or goats, but also from buffalo, sheep, horses or camels —for human consumption. A dairy is typically located on a dedicated dairy farm or section of a multi-purpose farm that is concerned...
businesses assurances that margarine would not threaten their existence. This legislation actually dated back to 1886, and it was claimed in the law that the real purpose was to target a product that was "injurious to health
Health
Health is the level of functional or metabolic efficiency of a living being. In humans, it is the general condition of a person's mind, body and spirit, usually meaning to be free from illness, injury or pain...
." While this, if true, would have made margarine a fair target for criminal law, the federal government admitted before the courts that this assessment was simply false.
Decision
Justice Rand, for the Majority, struck down the prohibition on production of margarine on the grounds that it was not valid criminal law, the prohibition on importation of margarine, however, was upheld under the federal Trade and CommerceTrade 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...
power.
Rand outlined a test to determine if a law falls under the criminal law.
- A crime is an act which the law, with appropriate penal sanctions, forbids; but as prohibitions are not enacted in a vacuum, we can properly look for some evil or injurious or undesirable effect upon the public against which the law is directed. That effect may be in relation to social, economic or political interests; and the legislature has had in mind to suppress the evil or the safeguard the interest threatened.
From this, two requirements must be met for a law to be criminal in nature.
- the law must be a prohibition with a penal sanction; and
- the law must be directed towards a public purpose.
Rand also listed a few objectives that would qualify as legitimate public purposes, namely "Public peace
Peace
Peace is a state of harmony characterized by the lack of violent conflict. Commonly understood as the absence of hostility, peace also suggests the existence of healthy or newly healed interpersonal or international relationships, prosperity in matters of social or economic welfare, the...
, order, security
Security
Security is the degree of protection against danger, damage, loss, and crime. Security as a form of protection are structures and processes that provide or improve security as a condition. The Institute for Security and Open Methodologies in the OSSTMM 3 defines security as "a form of protection...
, health, morality
Morality
Morality is the differentiation among intentions, decisions, and actions between those that are good and bad . A moral code is a system of morality and a moral is any one practice or teaching within a moral code...
."
The JCPC, in upholding Rand's decision, agreed that in 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...
, the law was primarily related to property and civil rights, a provincial power.
External links
- Full text of Supreme Court of Canada decision from canlii.org and lexum