Tuesday, February 15, 2011

Industry minister to challenge ruling wireless company Globalive not Canadian


The Federal government is probably right to appeal but not for the ostensible reasons. It is pretty clear that the decision was not based on the prescribed definition of "Canadian" (and Globalive doesn't meet the definition).

The real reason to appeal is ask, squarely, should a Court overrule a policy decision of Cabinet even where there is a legislative basis to the decision?

Some things should be left to the political process.

The Canadian Press

OTTAWA - The federal government will appeal a court ruling that found wireless provider Globalive — operator of the Wind Mobile brand cellphone service — doesn't have sufficient Canadian ownership to operate in this country."We are convinced that Globalive is a Canadian company and meets the Canadian ownership and control requirements under the Telecommunications Act," Industry Minister Tony Clement said Tuesday.

"Globalive should therefore be able to continue to offer service in the wireless telecommunications market."

Clement said the government's motive is to defend consumer choice and increase competition, and ensuring Globalive's survival is part of that strategy. In court, the government plans to rely on legal arguments based on its interpretations that Globalive is Canadian enough — because it is managed by Canadians and its board of directors and share structure meet the Act's requirements.

7 comments:

Anonymous said...

I reckon one of the Industry Minister's problems is that these companies were already building their infrastructure before the ink was dry on the approvals.
http://tinyurl.com/4tyu5lu

James C Morton said...

Fair point

crf said...

You wrote:

"The real reason to appeal is ask, squarely, should a Court overrule a policy decision of Cabinet even where there is a legislative basis to the decision?"

I think you meant to say "even where there isn't a legislative basis to the decision". (If not, you should explain.)

Because there isn't a legislative basis for the decision: it actually contradicts legislation, which is why the court nullified it. A constraint on cabinet decisions is that they have to comply with the law.

If the government doesn't like the law, they should change the law.

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