THE PROCEDURES WERE DEVELOPED IN RESPONSE TO TWO POLITICAL KIDNAPPINGS IN 1970, TAKING OF HOSTAGES IN PENITENTIARIES, AIRCRAFT HIJACKINGS, OCCUPATION OF A CANADIAN EMBASSY ABROAD, AND NUMEROUS THREATENED INCIDENTS. THE PROCEDURES ARE DESIGNED TO CONFORM TO THE CANADIAN LEGAL SYSTEM, ALTHOUGH SOME JURISDICTIONAL ISSUES REMAIN. THE 1970 KIDNAPPINGS LED TO FORMAL DELEGATION TO THE CANADIAN SOLICITOR GENERAL THE RESPONSIBILITY FOR TERRORIST INCIDENT POLICY DEVELOPMENT. IN ADDITION, A CABINET REVIEW OF THE GOVERNMENT'S CRISIS MANAGEMENT CAPABILITY RESULTED IN ADOPTION OF THE 'LEAD MINISTER' CONCEPT. UNDER THIS CONCEPT, ONE CABINET MINISTER IS APPOINTED TO COORDINATE THE FEDERAL GOVERNMENT RESPONSE IN AN EMERGENCY. THE SOLICITOR GENERAL, AIDED BY A BRANCH OF ABOUT 20 PEOPLE, COORDINATES RESPONSES TO TERRORIST ACTS. AIRCRAFT HIJACKINGS, HOSTAGE SITUATIONS, AND RANSOM DEMANDS MAY RAISE ISSUES OF JURISDICTION AMONG PROVINCIAL AND FEDERAL GOVERNMENTS OR AMONG POLICE AND GOVERNMENT AUTHORITIES. COMMUNICATION AND COOPERATION AMONG THE GOVERNMENTAL UNITS CAN RESOLVE THESE ISSUES, HOWEVER. CANADA'S POLICY IS TO REFUSE TO YIELD TO TERRORIST DEMANDS (ALTHOUGH MINOR CONCESSIONS MAY BE GRANTED), AND TO ATTEMPT TO COORDINATE THROUGH THE LEAD MINISTER THE RELEASE OF INFORMATION TO THE NEWS MEDIA. UNRESOLVED ISSUES NEEDING FURTHER STUDY ARE (1) CONCESSIONS EFFECTS ON FURTHER INCIDENTS, (2) THE ROLE OF SPECIALIST ADVISORS, (3) THE ROLE OF HEAVY WEAPONS AND VEHICLES, AND (4) THE RELATIVE MERITS OF ADVANCE PLANNING AND FLEXIBLE AD HOC POLICIES. FOR RELATED PAPERS FROM THE SAME SEMINAR, SEE NCJ-63591, 63592, AND 63594-63600. (CFW)