CMA Foundation · Fundamentals of Business Laws and Business Communication · Primary and Subordinate Legislation
Which statement about an Act of Parliament and the rules made under it is correct?
The Act is the parent legislation, and rules made under it must remain within the powers the Act confers. Rules derive their authority from the Act, so they cannot override or contradict it; a rule that goes beyond the Act can be held ultra vires.
- AThe rules can override the Act if the Ministry considers it necessary
- BThe Act is the parent legislation, and the rules must stay within the powers it confersCorrect
- CThe rules and the Act have equal legal authority in every respect
- DThe rules are primary legislation, while the Act is subordinate legislation
Explanation
The Act is passed by the legislature and is the source of authority. Rules are made under power delegated by the Act and cannot go beyond it or conflict with it. If they do, they can be struck down as ultra vires. The other options reverse or equalise this hierarchy.
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