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Y R A h- R in LIB LO W LO LA LCOO KIN o S LA — CO A — u- R O co B CONTEMPORARY ISSUES IN FEDERALISM: THE FUTURE OF THE FEDERATION 2000 2001 - VOLUME I Prof. Sujit Choudhry Faculty of Law, University of Toronto Special thanks to Rebecca Case. Allyn Chudv and Carol Wilton for their assistance in tire preparation of these materials. CONTEMPORARY ISSUES IN FEDERALISM: THE FUTURE OF THE FEDERATION 2000-2001 VOLUME I Prof. Sujit Choudhry Faculty of Law, University of Toronto Special thanks to Rebecca Case, Allyn Chudv and Carol Wilton for their assistance in the preparation of these materials. Digitized by the Internet Archive in 2018 with funding from University of Toronto https://archive.org/details/contemporaryissu01chou CONTEMPORARY ISSUES IN FEDERALISM: THE FUTURE OF THE FEDERATION 2000—2001 TABLE OF CONTENTS VOLUME I I. NORMATIVE JUSTIFICATIONS FOR FEDERALISM No readings II. SOCIAL POLICY A. The New Deal Cases J. H. Thompson with A. Seager, Canada 1922-1939: Decades of Discord Toronto: McClelland and Stewart, 1985) at 261-66.1 Reference re Employment and Social Insurance Act, [1936] SCR 427.4 Reference re Employment and Social Insurance Act, [1937] A C. 355 (P C.).19 B. The Post-War Welfare State K. Banting, "The Past Speaks to the Future: Lessons from the Postwar Social Union" m H Lazar, ed.„ Non-Constitutional Renewal (Kingston: Institute of Intergovernmental Relations, 1998) 39 at 39-48 and 50-61.21 C. The Constitution and Social Policy 1. Federal Spending Power (a) Cases Porter v. Canada, [1965] 1 Ex. C.R. 200.31 Central Mortgage and Housing Corp v. Co-op College Residences (1975), 13 O R (2d) 384 (C A ).38 Wmterhaven Stables v. Canada (1988), 53 D.L.R. (4th) 413 (Alta C.A.).45 Shubenacadie Indian Band v. Canada (Human Rights Commission), [1998] 2 F.C. 198 (T.O.).62 YMHA Jewish Community Centre v. Brown, [1989] 1 S.C.R. 1532.66 Reference Re Canada Assistance Plan, [1991] 2 S.C.R. 525.71 (b) Constitutional provisions and proposals Constitution Act, 1982, s 36.87 i Meech Lake Accord of 1987, Schedule, s. 7 (to insert proposed s. 106A into the Constitution Act, 1867).87 Charlottetown Accord of1992, Draft Legal Text, s. 16 (to insert proposed s. 106A into the Constitution Act, 1867).87 (c) Commentary P. E. Trudeau, Federal-Provincial Grants and the Spending Power of Parliament (Ottawa: Queens Printer, 1969) at 4-34...88 A. Fetter, “Federalism and the Myth of the Federal Spending Power” (1989) 68 Can. Bar Rev. 448.96 P W. Hogg, Constitutional Law of Canada (Toronto: Carsw'ell, 1999) at 159-163.Ill Coyne, "The Meech Lake Accord and the Spendmg Power Proposals: Fundamentally Flawed" in M. D. Behiels, ed., The Meech Lake Primer: Conflicting Views of the 1987 Constitutional Accord (Ottawa: University of Ottawa Press, 1989) at 245-267.113 2. Intergovernmental Agreements (a) Cases Reference Re Canada Assistance Plan (above) Saskatchewan Egg Producers Marketing Board v. Ontario (Min. of Agriculture & Food), [1993] O.J. No. 434 (Gen Div.).124 Finlay v. Minister of Finance (Standing), [1986] 2 S.C.R. 607. 131 Finlay v. Minister of Finance (Merits), [1993] 1 S.C.R 1080. 141 Brown v. British Columbia (Attorney General) (1997), 41 B.C.L.R (3d) 265 (S.C.).162 Collett v. Ontario (A.G.) (1995), 124 D L R. (4th) 426 (Ont. Gen Div.).168 Lofstrom v. Murphy (1971), 22 O.L.R. (3d) 120 (Sask. C.A.).176 (b) Relevant constitutional provisions Charlottetown Accord of1992, Draft Legal Text, s. 17 (to insert proposed s. 126A into the Constitution Act, 1867). 178 (c) Commentary S. Choudhry, "Bill 11, the Canada Health Act and the Social Union: The Need for Institutions" (2000) 38 Osgoode Hall L.J. 39 at 39-76. 179 3. Impact of the Charter R. v. 5.5., [1990] 2 S.C.R. 254...212 Haig v. Canada (Chief Electoral Officer), [1993] 2 S.C.R. 995.218 ii B. Toward a New Social Union? 1. Constitutional Proposals Ontario's Proposal for a Social Charter for Canada (February 13, 1992).231 Charlottetown Accord of 1992, Draft Legal Text. ss. 30 (to amend s. 36 of the Constitution Act, 1982), 31 (to insert a new s. 36.1. 36.2, 37, and 37 1 into the Constitution Act, 1982).232 A Framework to Improve the Social Union for Canadians (February 4. 1999).233 First Ministers' Meeting Communique on Health (Sept 11, 2000).241 2. Commentary T J. Courchene, ACCESS A Convention on the Canadian Economic and Social Systems (working paper prepared for the Ontario Ministry of Intergovernmental Affairs, 1996).247 M. Biggs, Building Blocks for Canada's New Social Union, Canadian Policy Research Networks Working Paper No. F02, 39-43 (1996).265 K. O'PIara with the assistance of S. Cox, Securing the Social Union, Canadian Policy Research Networks Study No CPRN02, 53-67 (1998).268 W. B P. Robson & D. Schwanen, Social Union Agreement: Too Flawed to Last (Toronto. C.D. Howe Institute, (1999).278 III. ECONOMIC POLICY A. Economic Union I. The case for Economic Union (a) The Value of Economic Union J. R.S. Prichard with J Benedickson, "Securing the Canadian Economic Umon: Federalism and Internal Bamers to Trade" in M.J. Trebilcock et al., eds., Federalism and the Canadian Economic Union (Toronto: University of Toronto Press, 1983) 3 at 5-15.1 Government of Canada, Canadian Federalism and Economic Union: Partnership for Prosperity (Ottawa: Minster of Supply and Services, 1991) at 2 and 9-14.6 R J. Howse, Economic Union, Social Justice, and Constitutional Reform. Towards a High But Level Playing Field (North York, ON: York University Centre for for Public Law and Public Policy, 1992) at 7-16.12 D Schneiderman, "Economic Citizenship and Deliberative Democracy: An Inquiry into Constitutional Limitations on Economic Regulation" (1993) 21 Queen's L.J 125 at 125-130, 141-146 and 151-165.18 K. Swinton, "Courting Out Way to Economic Integration: Judicial Review and the Canadian Economic Umon" (1995) 25 Can Bus. L.J. 280 at 288-293 32 hi (b) Positive vs. Negative Integration Howse, Economic Union, Social Justice, and Constitutional Reform'. Towards a High But Level Playing Field at 25-29.35 M.J. Trebilcock & Rambood Behboodi, "The Canadian Agreement on Internal Trade. Retrospects and Prospects" in M.J. Trebilcock & D. Schwanen, eds., Getting There: An Assessment of the Agreement on Internal Trade (Toronto, C.D. Howe Institute, 1995) 20 at 33-39.37 (c) Barriers to Economic Mobility: The Evidence and Examples J. Walley, "The Impact of Federal Policies on Interprovincial Activity" m M.J. Trebilcock et al., eds., Federalism and the Canadian Economic Union (Toronto: University of Toronto Press, 1983) 201 at 217-22.40 Michael J Trebilcock et al., "Provincial Induced Barriers to Trade m Canada: A Survey", in M.J. Trebilcock et al., eds., Federalism and the Canadian Economic Union (Toronto: University of Toronto Press, 1983) 243 at 254-257, 274-279 and 291-294...43 2. The Constitution and Economic Policy (a) Federal Jurisdiction (i) Trade and Commerce Interprovmcial and International Trade Labatt Breweries v. A.G. Canada, [1980] 1 S C R 914.48 General Regulation of Trade Affecting the Whole Dominion General Motors v. City National Leasing, [1989] 1 SCR 641.60 (ii) Peace, Order and Good Government (POGG) R. v. Crown Zellerbach Canada Ltd. 49 D.L.R. (4th) 161...73 (b) Provincial Jurisdiction: Property & Civil Rights Carnation Co. v. Quebec Agricultural Marketing Board, [1968] S.C.R. 238.86 A.G. Manitoba v. Manitoba Egg & Poultry Assoc., [1971] S.C.R. 689.90 Central Canada Potash v. Government of Saskatchewan, [1979] 1 S.C.R. 42.97 3. Interprovincial Mobility (a) Constitutional Provisions Constitution Act, 1867, s. 121.101 Constitution Act, 1982, 22. 6(2)-(4).101 iv (b) Goods, Capital & Services Atlantic Smoke Shops, 11943] A C 550. 102 Murphy v. CPR, [1958] S.C.R. 626. 105 Re Agricultural Products Marketing Act, [ 1978] 2 S C R 1198.110 (c) Persons: Mobility Rights Law Society of Upper Canada v. Skapinker, [ 1984] 1 S.C.R 357. 1 15 Black v. Law Society of Alberta, [1989] 1 S.C.R. 591.121 Canadian Egg Marketing Board v. Richardson, [1998] 3 S C R. 157.136 Waldman v. British Columbia (Medical Services Commission) (1997), 177 D.L.R. (4th) 321 (B C.C A.).163 4. Towards the Canadian Economic Union (a) Agreement on Internal Trade D Schwanen, "Canadian Regardless of Origin: 'Negative Integration' and the Agreement on Internal Trade" in H Lazar, ed., Non-Constitutional Renewal (Kingston: Institute of Intergovernmental Relations, 1998) 169. 175 D. Schwanen, "Happy Birthday, AIT!" (2000) 21:6 Policy Options 51.192 D. Cohen, “The Internal Trade Agreement: Furthering the Canadian Economic Disunion?" (1995) 25 Can Bus L J. 280. 197 R. J. Howse, "Between Anarchy and the Rule of Law: Dispute Settlement and Related Implementation Issues in the Agreement on Internal Trade" m M.J Trebilcock & D. Schwanen. eds.. Getting There: An Assessment of the Agreement on Internal Trade (Toronto: C.D. Howe Institute, 1995) 170 at 171-186.209 Re Manganese-Based Fuel Additives Act, File No. 97/99 (June 12, 1998).216 Re Amendments to Dairy Industry Act Regulations, File No. 98/99 (Ian. 18, 2000).229 (b) Unilateral Federal Action pursuant to 91(2) and POGG Hunt v. T&N, [1993] 4 S.C.R. 289.242 R.J. Howse, Securing the Canadian Economic Union: Legal and Constitutional Options for the Federal Government (C.D. Howe Institute, 1996) at 3-14.252 (c) Reading 91(2) broadly: dormant commerce clause K. Swinton, "Courting Out Way to Economic Integration: Judicial Review and the Canadian Economic Union" (1995) 25 Can. Bus. L.J. 280 at 295-302.264 v (d) Amending s. 121 A Renewed Canada — The Report of the Special Joint Committee on a Renewed Canada (1992) (text & proposed amendment to amend s. 121 of the Constitution Act, 1867).269 Charlottetown Accord of1992, Draft Legal Text, s. 31 (to insert a new s. 36.1 into the Constitution Act, 1982).270 Howse, Economic Union, Social Justice, and Constitutional Reform. Towards a High But Level Playing Field at 34-45.271 Trebilcock & Behboodi, "The Canadian Agreement on Internal Trade: Retrospects and Prospects" at 27-33.277 VOLUME II B. International Trade and the Canadian Constitution 1. The Labour Conventions controversy Reference Re Regulation and Control of Aeronautics in Canada, [1932] A.C. 54.281 Reference re Regulation and Control of Radio Communication in Canada, [1932] A.C. 304.'.284 Reference re Weekly Rest in Industrial Undertakings Act, Minimum Wages Act and Limitations of Hours Work Act, [1937] A.C. 326.287 R J Howse, "The Labour Conventions Doctrine in an Era of Global Interdependence: Rethinking the Constitutional Dimensions of Canada's External Relations" (1990) at 16 Can. Bus. L.J. 160 at 163-78...292 2. Jurisdiction to Implement NAFTA R. Howse, ‘"NAFTA and the Constitution: Does Labour Conventions Really Matter Any More?” (1994) 5 Const. Forum 54, excerpts.301 Anonymous, "Issues of Constitutional Jurisdiction" in Peter M. Leslie & Ronald L. Watts, eds., Canada: The State of the Federation 1987-88 (Kingston: Queen's University Institute for Intergovernmental Affairs, 1989) 39 at 41-51.303 3. Impact upon Canadian Federalism Anonymous, "Issues of Constitutional Jurisdiction", 51-55.309 Howse, “NAFTA and the Constitution: Does Labour Conventions Really Matter Any More?” excerpts.312 Howse, Securing the Canadian Economic Union: Legal and Constitutional Options for the Federal Government at 14-16.315 vi