during the
Asia-Pacific Economic Cooperation summit in
Seattle, November 17–19, 1993 On November 4, 1993, Chrétien became prime minister. While Trudeau, Joe Clark, and Mulroney had been relative political outsiders prior to becoming prime minister, Chrétien had served in every Liberal cabinet since 1965. This experience gave him knowledge of the Canadian parliamentary system, and allowed Chrétien to establish a very centralized government that, although highly efficient, was also lambasted by critics such as
Jeffrey Simpson and the media as being a "friendly dictatorship" and intolerant of internal dissent. Chrétien liked to present himself as the heir to Trudeau, but his governing style had little in common with the intense bouts of governmental activism that had characterised the Trudeau era. The Chrétien government had a cautious, managerial approach to governing, reacting to issues as they arose, and was otherwise inclined to inactivity.
Quebec 1995 Quebec referendum One of Chrétien's main concerns in office was separation of the province of Quebec, which was governed by the
sovereigntist Parti Québécois for nearly the entirety of his term. When the
1995 Quebec independence referendum began in September, Chrétien was relaxed and confident of victory as polls showed federalist forces were leading by a wide margin. On October 8, 1995,
Lucien Bouchard replaced the separatist
premier of Quebec,
Jacques Parizeau, as the
de facto chair of the
oui committee and, at that point, the support for the side started to dramatically increase, aided by the committee's complacency. In the weeks leading to the referendum on October 30, 1995, the federal government was seized with fear and panic as polls showing that, under the leadership of Bouchard, the
oui side was going to win. On October 30, 1995, the federalist
non side won by the narrowest of margins, with 50.58%.
Aftermath of referendum On November 5, 1995, six days after the referendum, Chrétien and his wife escaped injury when
André Dallaire, armed with a knife, broke in the prime minister's official residence at
24 Sussex Drive. Aline Chrétien shut and locked the bedroom door until security came, while Chrétien held a stone Inuit carving in readiness. Dallaire was a separatist who was angered by the result of the referendum. Though Chrétien had promised to enshrine recognition of Quebec as a "distinct society" in the constitution in order to win the referendum, this promise was quickly forgotten in the aftermath of victory with Chrétien arguing that the very vocal opposition of Ontario Premier
Mike Harris to amending the constitution to recognize Quebec as a "distinct society" made that impossible. Instead, Chrétien had Parliament pass a resolution recognizing Quebec as a "distinct society", which had no constitutional force and was only a symbolic step. As part of his "Plan B" for combatting Quebec separatism, in a speech in January 1996, Chrétien endorsed the idea of partitioning Quebec in the event of a
oui vote in another referendum, stating all of the regions of Quebec that voted
non would remain part of Canada, regardless of what the Quebec separatists thought. On February 15, 1996, Chrétien was confronted by a protester, Bill Clennett, during a walkabout in Hull, Quebec. Chrétien responded with a choke-hold, which was referred to by the press as the "
Shawinigan handshake", after Chrétien's hometown.
Clarity Act After the 1995 referendum very narrowly defeated a proposal on Quebec sovereignty, Chrétien started to champion what eventually become the
Clarity Act as part of his "Plan B". In August 1996, the lawyer
Guy Bertrand won a ruling in a Quebec court declaring that the sovereignty question was not just a political matter between the federal and Quebec governments, but also a legal matter subject to court rulings. Following that ruling, Chrétien decided that here was a means of defeating the Quebec sovereignty movement and, in September 1996, ordered the Justice Minister
Allan Rock to take the question of the legality of Quebec separating to the Supreme Court. Along the same lines, Dion started to send much-publicised open letters to Quebec ministers questioning the assumptions behind the separatist case. In December 1999 the Chrétien government tabled the
Clarity Act, which passed Parliament in June 2000. The
Clarity Act, which was Chrétien's response to his narrow victory in the 1995 referendum requires that no Canadian government may acknowledge any province's declaration of independence unless a "clear majority" supports a "clear question" about sovereignty in a referendum, as defined by the
Parliament of Canada, and a constitutional amendment is passed. The size of a "clear majority" is not specified in the Act. After the
Clarity Act had passed by the House of Commons in February 2000, a poll showed that the federalist forces enjoyed a 15 percent lead in the polls on the question if Quebec should become independent, which Chrétien argued meant that the sovereignty option was now effectively off the table as Bouchard had always said he would only call another referendum if he could obtain "winning conditions", which he plainly did not possess at the moment.
Domestic affairs In November 1997, the
Asia-Pacific Economic Cooperation (APEC)
summit was held on the
University of British Columbia (UBC) campus in Vancouver. Students on UBC's campus protested the meeting because of the poor human rights practices of some of the attending leaders; one of the leaders most criticized was Indonesian President
Suharto. Demonstrators tore down a barrier and were pepper-sprayed by the
Royal Canadian Mounted Police (RCMP), with other peaceful demonstrators being subsequently pepper-sprayed as well. There was debate over whether the action was necessary. In response to Suharto's concerns about his "dignity" being called into question by protests, the Canadian government had promised him that no protesters would be allowed to get close, and in early August 1997, the PMO informed the RCMP that the prime minister did not wish for any "distractions" at the upcoming conference. Later that day, Chrétien, when asked by
Nardwuar the Human Serviette about the use of pepper-spray, stated "...For me, pepper, I put it on my plate." On August 7, 2001, the APEC report was issued by Judge
Ted Hughes; it cleared Chrétien of wrongdoing, but stated that the PMO's Jean Carle had improperly pressured the RCMP to attack the protesters. In August 1999, the Anglo-Canadian media magnate
Conrad Black was due to receive a British
life peerage. Two days before Black was to receive his title, Chrétien advised Queen
Elizabeth II not to accord Black a title of nobility, citing the 1917
Nickle Resolution whereby the Canadian House of Commons asked King
George V not to grant any hereditary peerages or knighthoods to Canadians, thereby ensuring that Black was not raised to the peerage as he was expecting to be. A humiliated Black sued Chrétien for what he alleged to be an abuse of power, leading to the legal case of
Black v Chrétien. In 2001, the
Court of Appeal for Ontario ruled in Chrétien's favour, stating it was the prime minister's prerogative to advise the Queen not to give Canadians a British peerage if he felt so inclined, and therefore it was not an abuse of power as Black had claimed. Black gave up his Canadian citizenship to accept the peerage.
Electoral affairs In July 2003 Chretien passed a bill to reform the way elections are financed. In the previous century, the political parties were largely left to their own devices. After these changes to the
Canada Elections Act (SC 2000), each vote obtained by a party was subsidized. The subsidy entered into effect on January 1, 2004, at $1.75 per vote (indexed to the
Consumer Price Index) as part of a set of amendments made by the
37th Canadian Parliament to the Canada Elections Act which for the first time set limits on political contributions by individuals and organizations (corporations, unions, non-profit groups). The per-vote subsidy was introduced to replace the reliance of political parties and candidates on corporate, union, and wealthy donors in order to reduce the political influence of such donors. The law provides a refund for 50% of the expenditure on the most recent election campaign.
Social issues In 1995, the Chrétien government introduced and passed the
Canadian Firearms Registry, also called the long-gun registry. This would require the registration of all non-restricted firearms in Canada. This
gun registry would document and record information of the firearms, their owners, and their owners' licenses. The government under Chrétien's premiership introduced a new and far-reaching
Youth Criminal Justice Act in April 2003, which replaced the
Young Offenders Act and changed the way youths were prosecuted for crimes in Canada. A flurry of major environmental legislation, including the
Canadian Environmental Protection Act,
National Marine Conservation Areas Act,
Pest Control Products Act, and the
Species at Risk Act were enacted. The cooperation of federal, provincial, and municipal governments also enabled Vancouver to win the bid to host the
2010 Winter Olympics. In July 2003, Chrétien reversed his position on gay marriage, which he had previously been opposed to (in 1999 Chrétien had voted for a resolution sponsored by the Reform saying marriage was a union of a man and a woman only). After a Toronto court ruled that laws forbidding homosexual marriage violated the
Charter of Rights and Freedoms, legalizing same-sex marriage throughout Ontario, Chrétien embraced the idea of gay marriage and introduced a bill in the House of Commons that would have legalized gay marriage despite the very vocal opposition of the Roman Catholic Church with the bishop of Calgary warning in a sermon that Chrétien's "eternal salvation" was at risk.
Economic policy Chrétien canceled the privatization of Toronto's Pearson airport. The consortium that was due to take ownership of Pearson sued for breach of contract, which led the government to settle out of court in April 1997 for $60 million in damages.
The first budget introduced by Martin, in February 1994, was described as a "mild and tame" budget focused only on the target of reducing the deficit to 3 percent of
Gross National Product (GNP) within three years, and brought in modest cuts, mostly to defence spending. Until the terrorist attacks of September 11, 2001, the Chrétien government tended to be hostile towards defence spending with the government's white paper "Defence 94" declaring that in a post-Cold War world there would be less and less need for armed forces, which accordingly meant reduced budgets for the military. Outside of defence spending, there were few cuts in the 1994 budget. In a radio interview with Ron Collister in March 1994, Chrétien stated: "To go to our goal of 3 per cent of GNP, all the cuts have been announced in the budget. There will not be a new round." Chrétien's plans in early 1994 for economic growth were to increase exports by embracing globalization and free trade with as many nations as possible, arguing that the export offensive would stimulate the economy out of the early 1990s recession. In April 1994, interest rates in Canada started a steady rise that would continue until early 1995. Once he had decided upon making deeper cuts than he promised, Chrétien proved to be firm supporter of the new course, and supported Martin's cuts to other departments despite the complaints of the other ministers. Chrétien's advisor Eddie Goldenberg later recalled that Chrétien was unyielding in the face of efforts by other ministers to "spare" their departments, and that Chrétien kept on saying "If I change anything, everything will unravel". In order to silence objections from left-wing Liberal backbenchers and Cabinet ministers, Chrétien ensured that the Program Review Committee chaired by
Marcel Massé that would decide what programs to end and which to cut had a majority comprising the leftist MPs
Brian Tobin, Sheila Copps,
Sergio Marchi and Herb Gray, people who would not normally be supporting cutting programs, and thereby underlined the seriousness of the crisis. It was only with the budget that Martin introduced on February 27, 1995, that the Chrétien government began a policy of cuts designed to eliminate the deficit in order to reassure the markets. Much of the Liberal caucus was deeply unhappy with the 1995 budget, arguing that this was not what they had been elected for in 1993, only to be informed by the prime minister that there was no alternative. Chrétien himself expressed his unhappiness with his budget in a radio interview with
Peter Gzowski in March 1995, saying about the budget: "It is not our pleasure sir, I have to tell you that. I've been around a long time. It's no pleasure at all. I'm not doctrinaire, a right-winger. I'm a Liberal, and I feel like a Liberal, and it is painful. But it is needed". Using the low incomes cut-offs after tax measure, the percentage of Canadians who had low income in 1993 was 14.1 percent; in 1995, when the budget was introduced, that figure had jumped to 14.5; in 2003, the end of Chrétien's time in office, that number had fallen to just 11.6 percent. The share of Canadians living in persistent poverty (i.e. low income for at least 3 years out of 6 years) has declined by almost half since the mid-1990s to 2010. The 1995 budget, which was called by
Peter C. Newman a "watershed document" that marked the first time in recent memory that anybody had made a serious effort to deal with the deficit, won a favorable reaction from the international markets, and a led to an immediate fall in interest rates. There were, however, undeniable costs associated with this endeavour. The cuts resulted in fewer government services, most noticeably in the health care sector, as major reductions in federal funding to the provinces meant significant cuts in service delivery. Moreover, the across-the-board cuts affected the operations and achievement of the mandate of most federal departments. Many of the cuts were restored in later years of Chrétien's period in office. In March 1996, when the Chrétien government presented
its third budget, the backbencher Liberal MP John Nunziata voted against the budget under the grounds it failed to repeal the GST as the Liberals had promised in 1993 and singled out for criticism his former
Rat Pack colleague Sheila Copps, who had promised during the 1993 election to resign within a year if the GST was not repealed. Chrétien's response was to expel Nunziata from the Liberal caucus. Shortly afterwards, the Chrétien government introduced the National Child Benefit program for the children of low-income parents.
Foreign policy of the
Serbian Orthodox Church, 1994.
Canada in the Yugoslav Wars In 1999, Chrétien supported Canada's involvement in the
North Atlantic Treaty Organization (NATO)
bombing campaign of
Yugoslavia over the issue of
Kosovo, even through the operation was unsanctioned by the
United Nations Security Council. There had been an Anglo-American resolution asking for the Security Council's approval of the NATO bombing, but it was vetoed by
Russia. The idea of bombing Yugoslavia caused some discomfort within the ranks of the Liberal party as the NATO campaign effectively meant supporting Kosovo separatists against a government determined to prevent Kosovo's secession from Yugoslavia. Chrétien was personally uncomfortable with the idea of bombing Yugoslavia, but supported the war because he valued good relations with the United States far more than he cared about Yugoslavia. Chrétien's foreign minister at the time,
Lloyd Axworthy justified Canada's involvement in the bombing of Yugoslavia on the grounds that allegations of massacres against ethnic Albanians in Kosovo made the use of force legitimate on humanitarian grounds, even without the approval of the UN Security Council. Under his leadership, China and Canada signed several bilateral relations agreements. The Team Canada missions attracted criticism that Chrétien seemed concerned only with economic issues, that he rarely raised the subject of China's poor human rights record, and that on the few occasions that he did mention
human rights in China he went out of his way to avoid offending his hosts. Moreover, Chrétien attracted criticism for presenting the case for improved human rights in purely economic terms, arguing that a better human rights record would allow China to join the
WTO and thus sell more goods to the West. Chrétien argued that there was no point in criticizing China's human rights record because the Chinese never listened to such criticism, and instead were greatly annoyed about being lectured by Western leaders about their poor human rights record. Given that Canada could not really do anything to change the views of China's leaders about human rights, Chrétien contended that the best that could be done was to improve Sino-Canadian economic relations while ignoring the subject of human rights. Clinton bluntly refused, saying that it had been extremely difficult to get Congress to ratify NAFTA, and if NAFTA was renegotiated, then he would have to submit the renegotiated treaty again for ratification, which was not something that he was going to do just for the sake of Chrétien. Following the
September 11 attacks, Canadian forces joined with a multinational coalition to pursue
al-Qaeda in
Afghanistan. U.S. President
George W. Bush had also commended how Canada responded to the crisis. Among them included
Operation Yellow Ribbon and the memorial service on
Parliament Hill three days after 9/11. In January 2002, Chrétien together with the Defence Minister
Art Eggleton were accused of misleading Parliament. When asked in Question Period if Canadian troops had handed over captured Taliban and al-Qaeda members in Afghanistan to the American forces amid concerns about the treatment of POWs at
Guantanamo Bay, Chrétien stated this was only a "hypothetical question" that could not be answered as the Canadians had taken no POWs. Critics of the government, such as Joe Clark, then pointed out that in the previous week,
The Globe & Mail had run on its front page a photo of Canadian soldiers turning over POWs to American troops. One year after the 9/11 attacks, Chrétien gave controversial remarks about what led to the attacks, suggesting they were a reaction to Western foreign policy. During the 2002 CBC interview, Chrétien said "I do think that the Western world is getting too rich in relations to the poor world. And necessarily, we're looked upon as being arrogant, self-satisfied, greedy and with no limits. And the 11th of September is an occasion for me to realize it even more. When you are powerful like you are, you guys, it's the time to be nice. And it is one of the problems—you cannot exercise your powers to the point of humiliation of the others. And that is what the Western world—not only the Americans but the Western world—has to realize." The comments were condemned by the new Official Opposition leader and the new Canadian Alliance leader,
Stephen Harper, who charged Chretien with
victim blaming, while the leaders of the New Democratic Party and Progressive Conservative Party did not interpret Chrétien's comments as critical of the United States. and Jean Chrétien address the media before a 2002 bilateral meeting.
Refusal to join the Iraq War Chrétien announced in parliament that government did not support the US-led
2003 invasion of Iraq. His reasoning was that the war lacked UN Security Council sanction; while not a member of the Security Council, Canada nevertheless attempted to build a consensus for a resolution authorizing the use of force after a short (two- to three-month) extension to UN weapon inspections in Iraq. Canada sent 2,000 soldiers to Afghanistan in the summer of 2003. Twenty years later, Chretien revealed that people on the street thanked him for keeping Canada out of the Iraq war. In January 1998, Chrétien's government announced that the CH-113 helicopters would be replaced by a scaled-down search-and-rescue variant of the EH101, carrying the designation
CH-149 Cormorant. Unlike the Petrel/Chimo contract which Chrétien had cancelled in 1993, these 15 aircraft were to be built entirely in Europe with no Canadian participation or industrial incentives. The first two aircraft arrived in Canada in September 2001 and entered service the following year. His Maritime Helicopter Project was supposed to find a low-cost replacement aircraft. The candidates were the
Sikorsky S-92, the
NHIndustries NH90 and the EH-101, although critics accused the government of designing the project so as to prevent AgustaWestland from winning the contract. A winner, the
Sikorsky CH-148 Cyclone, would not be announced until after Chrétien retired.
Reelections 1997 federal election Chrétien called
an early election in the spring of 1997, hoping to take advantage of his position in the public opinion polls and the continued division of the conservative vote between the Progressive Conservative Party and the upstart
Reform Party of Canada. Despite slipping poll numbers, he advised the governor general to call an election in 1997, a year ahead of schedule. Many of his own MPs criticized him for this move, especially in light of the devastating
Red River Flood, which led to charges of insensitivity. Liberal MP
John Godfrey tried hard to interest Chrétien in an ambitious plan to eliminate urban poverty in Canada as a platform to run on in the election, which was vetoed by Eddie Goldenberg and John Rae of the PMO, who convinced Chrétien that it was better to stick with an "incrementalist" course of small changes than risk any grand project. The Progressive Conservatives had a popular new leader in
Jean Charest and the
New Democrats'
Alexa McDonough led her party to a breakthrough in Atlantic Canada, where the Liberals had won all but one seat in 1993. Chrétien benefited when the Reform Party aired a TV ad in English Canada charging that the country was being dominated by French-Canadian politicians, which Chrétien used to accuse
Preston Manning of being anti-French. In 1997, the Liberals lost all but a handful of seats in Atlantic Canada and Western Canada, but managed to retain a bare majority government due to their continued dominance of Ontario.
2000 federal election Chrétien called another
early election in the fall of 2000, again hoping to take advantage of the split in the Canadian right and catch the newly formed
Canadian Alliance and its neophyte leader
Stockwell Day off guard. At the funeral of Pierre Trudeau in September 2000, the
Cuban President,
Fidel Castro happened to meet with Day. Later that same day, Chrétien met with Castro, where Chrétien asked Castro about his assessment of Day and if he should call an early election or not. In the first weeks of the 2000 election campaign, the Canadian Alliance gained in the polls and some voters complained that Chrétien had overstayed his time in office and had no agenda beyond staying in power for the sake of staying in power. The fact that the Red Book of 2000 consisted almost entirely of recycled promises from the Red Books of 1993 and 1997 and various banal statements further reinforced the impression of a prime minister with no plans or vision for Canada and whose only agenda was to hang onto power as long as possible. However, the Liberal claim that Day planned to dismantle the health care system to replace it with a
"two-tier" health care system along with a number of gaffes on Day's part in addition to Alliance candidate
Betty Granger warning that Canada was faced with the threat of an "Asian invasion" (which furthered the Liberals' plan to paint the Alliance as a xenophobic and extreme right-wing party) started to turn opinion decisively against the Canadian Alliance. Day's socially conservative views were also attacked by Chrétien as the Liberals claimed that Day would make homosexuality and abortion illegal. The New Democrats and Bloc Québécois also ran lacklustre campaigns, while the Progressive Conservatives, led by former Prime Minister Joe Clark, struggled to retain official party status. On November 27, the Liberals secured a strong majority mandate in the 2000 election, winning nearly as many seats as they had in 1993, largely thanks to significant gains in Quebec and Atlantic Canada. Without Jean Charest as leader, the PCs who had done well in winning the popular vote in Quebec in 1997 fared poorly in 2000, and most of their voters defected over to the Liberals.
Scandals and controversies Shawinigate In late 2000 and early 2001, politics were dominated by questions about the Grand-Mère Affair (or the
Shawinigate scandal). Opposition parties frequently charged that Chrétien had broken the law in regards to his lobbying for
Business Development Bank of Canada for loans to the Auberge Grand-Mère inn. Questions were especially centered around the firing of the president of the bank, François Beaudoin, and the involvement of Jean Carle, formerly of the PMO, in sacking Beaudoin. Chrétien claimed that Carle was not involved in any way with the loans to the Grand-Mère Inn, only to be countered by Joe Clark, who produced a leaked document showing that he was. After initial denials, Chrétien acknowledged having lobbied the Business Development Bank to grant a $2 million loan to Yvon Duhaime. Duhaime was a friend and constituent to whom the Prime Minister stated that he had sold his interest in the Grand-Mère Inn, a local Shawinigan-area hotel and golf resort, eventually providing evidence of the sale—a contract written on a cocktail napkin. Duhaime was a local businessman with an unsavoury reputation and a criminal record, who received a loan from the Business Development Bank that he was ineligible to collect on the account of his criminal record (Duhaime did not mention his record when applying for the loan). The bank had turned down the initial loan application, but later approved a $615,000 loan following further lobbying by Chrétien. When the bank refused to extend the loan in August 1999 under the grounds that Duhaime had a bad financial history, Beaudoin was fired by Chrétien in September 1999, which led to a
wrongful dismissal suit that Beaudoin was to win in 2004. It was revealed that Chrétien had never been paid for his share in the sale of the adjoining golf course, and criminal charges were laid against Duhaime. On February 19, 2001, the RCMP announced that there they did not find sufficient evidence to lay criminal charges against anyone in regards to the Grand-Mère Affair, and Chrétien accused Clark of waging a "witch hunt" against the Liberals. The revelation of the Grand-Mère affair did not affect the outcome of the 2000 election. Chrétien and his circle believed that the breaking of the Grand-Mère story was the work of the Martin faction.
Sponsorship Scandal The major controversy of the later Chrétien years was the
Sponsorship Scandal, which involved more than $100 million distributed from the Prime Minister's Office to Quebec's federalist and Liberal Party interests without much accountability. On May 8, 2002, the Sponsorship Scandal broke when the auditor general,
Sheila Fraser, issued a report accusing Public Works bureaucrats of having broken "just about every rule in the book" in awarding $1.6 million to the Montreal ad firm
Groupaction Marketing Inc. Chrétien's argument that he had nothing to apologize for in regards to the sponsorship program, and his apparent condoning of corruption as justified by the results of saving Canada fared poorly with the Canadian public, which increasingly started to perceive the prime minister as an autocratic leader with a thuggish streak. The Sponsorship Scandal would tarnish Chrétien's reputation only a few years after he left office, and contributed to the Liberals losing their majority government in
2004 and losing power altogether in
2006.
Chrétien and Martin: Liberal Party infighting Relations between Chrétien and Martin were frequently strained, and Martin was reportedly angling to replace Chrétien as early as 1997. Martin had long hoped that Chrétien would just retire at the end of his second term, thereby allowing him to win the Liberal leadership, and was greatly disappointed in January 2000 when Chrétien's communications director Françoise Ducros had fired "a shot across the bow" by confirming what had been strongly hinted at since the summer of 1999 in an announcement to the caucus that Chrétien would seek a third term. Chrétien was due to face a leadership review in February 2002, but the Liberal national executive, which was controlled by partisans of Paul Martin, agreed to Chrétien's request in early January 2001 that the leadership review be pushed back to February 2003. In agreeing to this request, Martin believed that this was the
quid pro quo for allowing Chrétien a decent interval to retire with dignity sometime in 2002, an interpretation that Chrétien did not hold. In January 2002, Brian Tobin complained to Chrétien that the Liberal Party machinery had been "captured" by Martin's followers to the extent that it was now virtually impossible for anyone else to sign up their own followers. In January 2002, an incident occurred which was to greatly damage Chrétien's relations with the Liberal caucus. After Chrétien reorganized the Cabinet in late January 2002, Liberal MP
Carolyn Bennett criticised Chrétien at a caucus meeting for not appointing more women to the Cabinet. Chrétien exploded with rage at Bennett's criticism, saying that as a mere backbencher she did not have the right to criticise the prime minister in front of the caucus, and attacked her with such fury that Bennett collapsed in tears. In February 2002, reflecting a growing number of Liberal MPs' displeasure with Chrétien, the Liberal caucus elected the outspoken pro-Martin MP
Stan Keyes (who had already openly mused in 2001 about how it was time for Chrétien to go) as their chairman, who defeated pro-Chrétien MP
Steve Mahoney. Chrétien had expected Mahoney to win, and was reported to be shocked when he learned of Keyes's victory, which now gave Martin more control of the caucus. Martin left his cabinet on June 2, 2002. Martin claimed that Chrétien dismissed him from Cabinet, while Chrétien said that Martin had resigned. In his memoirs, Chrétien wrote that he regretted not having fired Martin a few years earlier. The open split, which was covered extensively on national media, increasingly painted Chrétien as a
lame duck. During the summer of 2002, a number of backbencher Liberal MPs associated with Martin started to openly criticise Chrétien's leadership, calling on him to resign now or suffer the humiliation of losing the leadership review. Chrétien asked Jim Karygiannis, who had been so effective in signing up supporters for him in 1990 to repeat that performance, only to be told by Karygiannis that Chrétien had never rewarded him by appointing him to the Cabinet as he asked for many times over the years, had not even returned his phone calls to set up a meeting to discuss his possible appointment to the Cabinet and that he was now a Martin man. Karygiannis then called a press conference on July 13, 2002, where he called for Chrétien to retire "with dignity", rather than risk losing a potentially divisive leadership review and avoid having his career end that way. After less than half the caucus committed to support him in August 2002 by signing a letter indicating their support for the prime minister in the up-coming leadership review, Chrétien announced that he would not lead the party into the next election, and set his resignation date for February 2004. Martin was not happy with the 2004 departure date, preferring that Chrétien retire at the end of 2002, but considered it better if Chrétien were to retire than having to defeat him at the 2003 leadership review, which would have been more divisive and would have established the ominous precedent of a prime minister being ousted by his own party for no other reason other that someone else wanted the job. Due to mounting pressure from the Martin camp, Chrétien no longer saw his February 2004 resignation date as tenable. His final sitting in the House of Commons took place on November 6, 2003. He made an emotional farewell to the party on November 13 at the
2003 Liberal leadership convention. The following day, Martin was elected his successor. On December 12, 2003, Chrétien formally resigned as prime minister, handing power over to Martin. Chrétien joined the law firm,
Heenan Blaikie on January 5, 2004, as counsel. The firm announced he would work out of its Ottawa offices four days per week and make a weekly visit to the Montreal office. In early 2004, there occurred much
in-fighting within the Liberal Party with several Liberal MPs associated with Chrétien such as Sheila Copps and
Charles Caccia losing their nomination battles against Martin loyalists. ==Retirement==