The Role of Criminal Law in Business Disputes

Unethical business practices constitute criminal offenses, such as Ponzi schemes, extortion, arson, insider trading fraud embezzlement and many others. Such offenses may either be classified as misdemeanor or felony crimes.

Prosecutions often face significant difficulty when prosecuting business crimes due to potential adverse repercussions for innocent third parties in any prosecutions brought.

Fraud

Fraud is one of the most pervasive crimes that can become a business dispute, impacting businesses of all sizes. Fraud involves deceiving others with promises of goods, services or financial benefits which do not exist or which have been falsified; anyone, regardless of age, finances, education level, culture background or location can fall prey to fraudsters.

Criminal law's goal is to hold offenders accountable and deter future illegal behavior by striking a balance between individual and general deterrence; individual deterrence focuses on punishing criminals while general deterrence seeks to prevent crime by imposing severe enough penalties so as to discourage others from breaking the law.

Each province and territory in Canada, along with the federal government, determines what conduct they criminalize, creating their own set of laws and codes. For instance, the Criminal Code of Canada covers a wide range of offences, from summary convictions to indictable offences.

Misrepresentation

Misrepresentation can have serious repercussions for businesses of all sizes, as it violates the principles that agreements should be honest and fair.

False statements can take many forms; conversations, meetings and sales pitches all can constitute false representation. A court must prove that a claimant relied upon this representation for them to void the contract and award damages against a fraudulent misrepresentation case; fraudulent misrepresentation involves making statements which the defendant knew or recklessly disregarded whether they were true; this crime must also include being done intentionally to deceive claimant's as well as in order to be charged as committed.

Duress and intoxication can provide viable defenses to fraudulent misrepresentation; of you're facing such allegations in the Newmarket area, consulting with Newmarket criminal lawyers is crucial.  They can assist in fighting such allegations of misrepresentation on your behalf and protecting your reputation, career, finances and freedom.

Contractual Disputes

Conflict can quickly escalate into criminal matters and damage businesses of all sizes. A preventative approach is key when it comes to contract disputes - much as with other conflicts.

Criminal cases in Canada are brought by Crown Attorneys who act on behalf of the provincial or federal government. Only the Crown has the authority to lay charges. Police forces typically conduct investigations and then refer the matter to the Crown Attorney's office for charge approval.

Criminal prosecution requires evidence of criminal acts according to two criteria known as "actus reus" and "mens rea." Actus Reus refers to any illegal act committed while Mens Rea refers to any incriminating thoughts that exist within one. When responding to criminal accusations, an individual may use duress, intoxication or insanity defenses - though only for crimes that require specific mental states; otherwise the burden of proof lies heavy against defendants who must be found guilty beyond reasonable doubt.

Corporate Crime

Criminal law can become relevant in disputes between corporations when individuals within them commit crimes such as embezzlement or fraud, which can become particularly troubling when large businesses may be vulnerable to corporate bribery and other forms of corruption. Prosecutors must handle such cases carefully; prosecuting the company itself would have serious ramifications for its shareholders, employees and other stakeholders as well as waiving attorney-client privilege and work product protection by conveying information regarding possible wrongdoing to its representatives.

Prosecutors must focus on individuals as soon as they begin investigating corporate misconduct, in order to build cases against individual wrongdoers and make more efficient use of investigative resources. Furthermore, public opinion often wants criminal law applied when companies commit crimes that cause substantial economic, social or physical harm - and vice versa.