ACCA Applied Skills · Corporate and Business Law (Global) · Business, political and legal systems
A government agency issues a licensing decision to Brightway Ltd. Brightway believes the agency exceeded its statutory powers and applies to a court to challenge the decision. Which classification of law best describes the dispute, and what is its distinguishing feature?
It is public, specifically administrative, law. The dispute concerns whether a state agency acted within its legal powers toward a private company. Public law governs the relationship between the state and others, whereas private law governs relations between private parties.
- APublic (administrative) law, because it concerns the relationship between the state body and a private personCorrect
- BPrivate law, because Brightway is a private company
- CCriminal law, because a state body is a party
- DPrivate law, because the licence is a type of contract
Explanation
Public law governs the relationship between the state and individuals or bodies. Challenging whether an agency acted within its powers is administrative law, part of public law. Brightway's private status does not make the dispute private, and no offence is alleged.
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