Canadian Lawyer InHouse

June/July 2013

Legal news and trends for Canadian in-house counsel and c-suite executives

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InDusTRY spOTLIGHT CONFLICTING OPINIONS with conflict of interest allegations hitting the headlines, municipal in-house counsel are advised to keep abreast of developments. By Charlotte Santry Toronto Mayor Rob Ford's highly charged fight to save his seat has thrust municipal conflict of interest issues into the spotlight across Canada. In light of that and other examples, municipal in-house lawyers are advised to acquaint themselves with conflicts of interest legislation despite the fact they serve municipalities, not individuals. Not only can controversial conflicts of interest cases have a significant impact on the climate in which they operate, the publicity they generate is fuelling other developments, such as lobbyist registers, and in some cases leading to an increase in queries from council members seeking informal advice on conflicts. "Until the media got hold of the Ford stuff in Ontario, I don't know if the risks were fully understood," says Jamie Johnson, a lawyer in the City of Edmonton's legal department and Canadian Bar Association municipal law section chairman for Alberta. "It's led to more questions being asked." Questions mainly relate to members' pecuniary interests, an area that has attracted lively debate thanks to Magder v. Ford. Ford's court battle was sparked when, in May 2010 — two months after declaring he was running for mayor — he wrote to lobbyists seeking donations to his personal football foundation, using paper printed with the City of Toronto letterhead. A member of the public complained there was an "implied suggestion" that donors would be served well should Ford be elected as mayor. Toronto's integrity commissioner Janet Leiper found Ford had violated the city's code of conduct and said he should reimburse the lobbyists to the tune of $3,150. Council adopted the recommendation, but Ford ignored six written requests from Leiper for confirmation he had repaid the money. Leiper then asked council members to give Ford a deadline by which to prove he had paid back the lobbyists. When this was brought to council, Ford didn't declare a pecuniary interest, and debated w w w. c a n a d i a n law y er m a g . c o m / i n h o u s e june 2013 • 33

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