I. Introduction

This Guide provides non-Canadians with an introduction to the laws and regulations that affect the conduct of business in the province of Quebec. Because of Canada's federal structure, the authority to make laws and regulations is divided between the federal and provincial governments by the Canadian Constitution, although in some areas of shared jurisdiction, both federal and provincial laws may apply.

For reasons rooted in history, Canada has two legal traditions, the civil law tradition of codified law in the province of Quebec, and the common law tradition of judge-made law in the other provinces of Canada. The province of Quebec, as Canada's only province whose majority population is French speaking, has also adopted the Charter of the French Language making French the official language of Quebec. Quebec also collects its own income taxes and has shared jurisdiction with the federal government over immigration to Quebec.

This publication focuses on the laws of the province of Quebec as well as the federal laws of Canada applicable in Quebec. For a discussion on the laws of other Canadian provinces, please consult Blakes Doing Business in Canada Guide.

The discussion under each heading in this Guide is intended to provide only general guidance and is not an exhaustive description of all provisions of law with which a business might be required to comply. Particular businesses or industries may also be subject to specific legal requirements not referred to in this Guide. For this reason, the reader should not rely solely upon this Guide in planning any specific transaction or undertaking, but should seek the advice of qualified counsel.

Unless otherwise noted, the law is stated as of July 1, 2018.

II. Government and Legal System

With a population of approximately 36 million people and second only to Russia in area, Canada is a land rich in natural resources and among the world's leading industrialized nations. Quebec, the focus of this Guide, is one of Canada's major provinces, with a population of approximately 8 million. Home to some of the globe's most innovative and largest businesses, Canada — and Quebec in particular — has a highly skilled workforce and is a world leader in a variety of sectors. In Quebec, these include aerospace, information technology and telecommunications, life sciences, energy and natural resources.

While closely aligned in both commerce and culture to its southern neighbour, the United States, Canada has also enjoyed great success in forging strong trade ties with many countries in Asia, Europe, the Middle East, South America and other regions.

1. Brief Canadian History

Canada is a relatively young country that gained independence from Britain in stages over the course of a century. It started on its path as a self-governing nation in 1867, when the British Parliament passed the British North America Act. This legislation formed Canada's written constitution until 1982, when Britain formally relinquished its authority over the Canadian Constitution.

As its roots might suggest, Canada is a parliamentary democracy based closely on the British form of government. It has established two levels of government — a federal authority that governs matters of national interest, and the 10 provinces that govern matters of a more local interest. The Canadian Constitution also sets out the specific powers and jurisdictional limits for each level, with the intended result that each should have exclusive domain over certain aspects of government.

For example, the federal government has been allotted authority over the regulation of trade and commerce, banking, patents, copyright and taxation. The provinces have authority over property and civil rights and the administration of justice on a provincial level. As would be expected, there are areas of overlap. Indeed, the division of powers between the federal and provincial governments has been a long-standing source of contention among those who govern Canada.

The evolution of Canada's history has been greatly influenced by three world powers — Britain, France and the U.S. That said, while Canada's two official languages are English and French, the country is decidedly and increasingly multicultural, attracting talented new immigrants from all corners of the world.

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© 2018 Blake, Cassels & Graydon LLP.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.