1. Legal System and Regulatory Framework
1.1 Legal System
The Japanese legal system has its origins in the civil law
tradition and is mainly based on written law. Under the
Constitution of Japan (1946), state power has been separated into
three branches (ie, legislative, executive and judicial branches)
which are independent of each other.
The legislative body is the Diet. The Diet possesses the
authority to appoint the Prime Minister, enact laws, approve
budgets and ratify treaties.
The executive power is vested in the Cabinet. The Cabinet
consists of the Prime Minister and other Ministers of State, and it
has the power to control and supervise all administrative branches.
There are more than ten Ministries under the Cabinet. The
organisation and affairs of each Ministry are based on the
establishment law applicable to that specific Ministry.
