The Defence of Due Diligence

question 45

Multiple Choice

The defence of due diligence

• A) applies only to an absolute liability crime.
• B) is available to a corporation, in certain circumstances, if the person with managerial responsibility for the area of the corporation's activities in which a strict liability offence was committed acted reasonably in the circumstances with a view to preventing the offence.
• C) applies if a shareholder brings an action against a corporate director for relief under the oppression remedy.
• D) applies only to a mens rea crime.
• E) is the only defence to a derivative action.

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Definitions:

Aggregate Demand

Total economic desires for all goods and services at a uniform price level over a specific period.

Government Interference

Involvement by government in market operations, which can range from regulations and taxes to direct control and ownership of services.

Full Employment GDP

The output level of goods and services in an economy when all available labor resources are being used in the most economically efficient way.

Equilibrium GDP

The gross domestic product level where aggregate supply equals aggregate demand, indicating a stable economy.