Competent Law vs. Corporate Fraud: An Overview

Canada Incorporated - Government of Canada USA BASED BUSINESS LISTING ON SEC.GOV

 

I. Competent Law: The Foundation of Legitimate Governance

What is Competent Law?

Competent law is law created and enforced by competent authority—legitimate governance structures operating under natural law and common law, with full personal liability for their actions.

Characteristics of Competent Governance:

1. Unregistered and Unincorporated: Not a corporate entity; operates as a society or government of living men and women.

2. Fully Personally Liable: All members, officers, and agents are personally liable for their actions—no corporate veil to hide behind.

3. Lawful Authority: Derives authority from the consent of the governed and operates under natural law (God-given rights) and common law (law of the land).

4. Competent to Contract: Can enter into contracts on equal footing, with full accountability and transparency.

5. Self-Governing: Operates independently, without registration or permission from higher corporate authorities.

Examples:

• Unregistered Unincorporated Societies: Peace Maker Society, First Nations self-governing communities, private law trusts.

• Historical Governments: Original constitutional republics before incorporation (pre-1871 United States, pre-Confederation Canada).

II. Incompetent Corporations Posing as Government

The Corporate Takeover

Most modern "governments" are not legitimate governments—they are corporations registered as such and operating under corporate law (statutes, codes, regulations).

Evidence:

• United States: A corporation under 28 U.S.C. § 3002(15)(A).

• Canada: A corporation registered with the U.S. Securities and Exchange Commission (SEC).

• United Kingdom: The Crown is a corporation sole.

The Fraud: Corporations Posing as Government

These corporate entities pose as governments but operate under commercial law, not public law. They:

• Issue statutes and codes (corporate policy), not laws (common law).

• Require consent (explicit or implied) to have jurisdiction.

• Operate for profit, not for the public good.

• Use limited liability to shield agents from accountability.

Key Legal Doctrine: The Clearfield Doctrine

Clearfield Trust Co. v. United States, 318 U.S. 363 (1943)

The U.S. Supreme Court ruled:

"When the United States enters into commercial or contractual relations, it does not act as a sovereign government but as a private corporation. It is subject to the same rules of law as any other private entity."

Implications:

• When a government acts in a commercial capacity (issuing currency, collecting taxes, enforcing statutes), it is not acting as a sovereign.

• It is acting as a corporation and must follow commercial law.

• It has no special immunity and can be held liable like any other corporation.

Limitation of Powers: Corporations Act

Corporate law (such as the Corporations Act in various jurisdictions) explicitly limits the powers of corporations:

• Corporations can only do what their charter (articles of incorporation) allows.

• Corporations cannot exercise sovereign powers (such as creating law, enforcing justice, or governing people).

• Corporations operate under limited liability—meaning they are not fully accountable for their actions.

III. Limited Liability = Incompetence

What is Limited Liability?

Limited liability is a corporate protection that shields officers, directors, and shareholders from personal responsibility for the corporation's debts, obligations, and wrongful acts.

Why Limited Liability Proves Incompetence:

1. Lack of Accountability: If you are not willing to be fully liable for your actions, you are not competent to govern or contract.

2. Moral Hazard: Limited liability encourages reckless behavior because there are no personal consequences.

3. Fraudulent by Nature: A corporation that claims authority over living people but hides behind limited liability is operating in fraud.

Competent vs. Incompetent:

• Competent Authority: Fully personally liable for all actions—stands behind their word and deeds.

• Incompetent Authority: Hides behind corporate veil, limited liability, and immunity—cannot be held accountable.

Biblical and Natural Law Principle:

• "Let your yes be yes and your no be no" (Matthew 5:37).

• A competent man or woman stands fully liable for their word and actions.

IV. Willful Negligence = Fraud

Legal Principle: Willful Negligence Equals Fraud

Willful negligence (also called gross negligence or reckless disregard) occurs when an individual or entity:

• Knows or should know that their actions (or inactions) will cause harm.

• Proceeds anyway, with conscious disregard for the consequences.

Legal Maxim:

"Fraud vitiates everything it touches." (Nudd v. Burrows, 91 U.S. 426)

Key Point:

• Willful negligence is treated as fraud in law.

• Fraud removes all immunity, including:

  • Sovereign immunity

  • Qualified immunity

  • Corporate immunity

  • Limited liability

Consequences of Willful Negligence/Fraud

When an agent (government official, corporate officer, police officer, judge, etc.) acts with willful negligence, they:

1. Lose All Legal Immunity: No protection under sovereign, qualified, or corporate immunity.

2. Enter Full Personal Commercial Liability: Personally liable for all damages, debts, and obligations arising from their actions.

3. Enter Full Personal Criminal Liability: Can be prosecuted personally for fraud, theft, assault, kidnapping, or other crimes.

Case Law:

• Owen v. City of Independence, 445 U.S. 622 (1980): Qualified immunity does not protect officials who violate clearly established rights.

• Scheuer v. Rhodes, 416 U.S. 232 (1974): Immunity is lost when officials act in bad faith or with malicious intent.

V. Summary: Competent Law vs. Corporate Fraud

Competent Law (Lawful Government/Society)

Incompetent Corporations (Posing as Government)

Unregistered, unincorporated

Registered corporations (U.S.C. § 3002, SEC filings)

Fully personally liable

Limited liability (corporate veil)

Operates under natural law and common law

Operates under statutes, codes, and corporate policy

Derives authority from consent of the governed

Derives authority from corporate charter

Accountable, transparent, competent

Shielded, opaque, incompetent

Can lawfully govern and contract

Operates in fraud when posing as sovereign government

Copy table

VI. Practical Application

How to Challenge Incompetent Corporate "Government"

1. Demand Full Personal Liability: Require all agents (officers, judges, police) to act in their personal capacity, fully liable for their actions.

2. Invoke the Clearfield Doctrine: When a government acts commercially (taxes, fines, licenses), it is a private corporation subject to commercial law.

3. Challenge Jurisdiction: Corporations have no jurisdiction over living men and women operating in the private under natural law.

4. Expose Willful Negligence as Fraud: Document any willful negligence or reckless disregard—this removes all immunity and creates personal liability.

5. Operate in the Private: Use unregistered, unincorporated societies and private law trusts to remain outside corporate jurisdiction.

Sources:

• User Context summary

• Clearfield Trust Co. v. United States, 318 U.S. 363 (1943)

• 28 U.S.C. § 3002(15)(A)

• Owen v. City of Independence, 445 U.S. 622 (1980)

• Scheuer v. Rhodes, 416 U.S. 232 (1974)

• Corporations Act (various jurisdictions)

• Legal maxims and natural law principles

Complete Mind Complete Soul - FULL SONG Click Here!
https://open.spotify.com/album/1QeKtQ82MYTOr69s6At4mz

15‑Question Test: Competent Law vs Corporate Fraud

1. What is competent law in this framework?
a) Any law passed by a parliament or congress
b) Law created and enforced by competent authority under natural law and common law, with full personal liability
c) International treaties only
d) Corporate policy manuals

2. Which of the following is a defining feature of competent governance?
a) Registered as a corporation with a business number
b) Protected by sovereign and corporate immunity
c) Unregistered and unincorporated, operating as a society of living men and women
d) Controlled by central banks

3. From where does competent lawful authority derive its authority?
a) Corporate charters and articles of incorporation
b) Military power
c) Consent of the governed and operation under natural law and common law
d) International organizations

4. Which of the following is given as an example of competent law governance?
a) A federal ministry registered on the stock exchange
b) Peace Maker Society or First Nations self‑governing communities
c) A publicly traded multinational corporation
d) A municipal bylaw office

5. According to the text, most modern “governments” are:
a) Unregistered common‑law assemblies
b) Corporations operating under statutes, codes, and regulations
c) Religious orders
d) Tribes under natural law

6. Under the Clearfield Doctrine, when the United States enters commercial or contractual relations, it acts as:
a) A sovereign immune government
b) A religious authority
c) A private corporation subject to the same rules as any private entity
d) An international court

7. What does the Corporations Act (and similar laws) generally say about corporate powers?
a) Corporations can exercise full sovereign powers
b) Corporations can do anything they want if profitable
c) Corporations can only do what their charter allows and cannot exercise true sovereign powers
d) Corporations automatically govern all citizens

8. What is limited liability?
a) Unlimited personal responsibility for all actions
b) A protection shielding officers, directors, and shareholders from personal responsibility for corporate debts and wrongful acts
c) A criminal penalty for fraud
d) A type of insurance for natural persons only

9. Why does the text say limited liability proves incompetence to govern or contract?
a) It is illegal in all countries
b) It is too expensive to maintain
c) It shows unwillingness to be fully liable, encourages reckless behavior, and hides behind a corporate veil
d) It only applies to small companies

10. In this framework, a competent authority is one that:
a) Uses statutes and codes to control people
b) Hides behind immunity and corporate structures
c) Is fully personally liable and stands behind its word and deeds
d) Avoids entering contracts

11. What is willful negligence (gross negligence) as described here?
a) A minor mistake with no foreseeable harm
b) Acting without any knowledge of potential harm
c) Knowing or should‑knowing that actions/inactions will cause harm and proceeding anyway
d) A purely administrative error

12. What is the legal effect of fraud according to the maxim “Fraud vitiates everything it touches”?
a) It can be ignored if done by government
b) It only affects financial contracts
c) It destroys the validity and enforceability of whatever it is involved in
d) It is a minor procedural issue

13. When an agent (official, officer, judge, etc.) acts with willful negligence or fraud, what happens to their immunity in this model?
a) It increases
b) It remains fully intact
c) All immunity (sovereign, qualified, corporate, limited liability) is lost
d) Only corporate immunity is lost

14. Which of the following is a practical step suggested for challenging incompetent corporate “government”?
a) Ignore all communications from government
b) Demand that all agents act in their personal capacity with full personal liability
c) Always pay all demands without question
d) Only complain on social media

15. Why does the text recommend operating through unregistered, unincorporated societies and private law trusts?
a) To obtain more government funding
b) To remain outside corporate jurisdiction and operate in the private under natural law
c) To avoid all responsibility and liability
d) To qualify for more corporate tax credits

Answer Key

1. b) Law created and enforced by competent authority under natural law and common law, with full personal liability

2. c) Unregistered and unincorporated, operating as a society of living men and women

3. c) Consent of the governed and operation under natural law and common law

4. b) Peace Maker Society or First Nations self‑governing communities

5. b) Corporations operating under statutes, codes, and regulations

6. c) A private corporation subject to the same rules as any private entity

7. c) Corporations can only do what their charter allows and cannot exercise true sovereign powers

8. b) A protection shielding officers, directors, and shareholders from personal responsibility for corporate debts and wrongful acts

9. c) It shows unwillingness to be fully liable, encourages reckless behavior, and hides behind a corporate veil

10. c) Is fully personally liable and stands behind its word and deeds

11. c) Knowing or should‑knowing that actions/inactions will cause harm and proceeding anyway

12. c) It destroys the validity and enforceability of whatever it is involved in

13. c) All immunity (sovereign, qualified, corporate, limited liability) is lost

14. b) Demand that all agents act in their personal capacity with full personal liability

15. b) To remain outside corporate jurisdiction and operate in the private under natural law