Act of Parliament
An Act of Parliament is a statute enacted as primary legislation by a national or sub-national parliament. In the Republic of Ireland the term Act of the Oireachtas is used, and in the United States the term Act of Congress is used.In Commonwealth countries, the term is used both in a narrow...
of the Parliament of Great Britain
Parliament of Great Britain
The Parliament of Great Britain was formed in 1707 following the ratification of the Acts of Union by both the Parliament of England and Parliament of Scotland...
. Its principal overt objective was to reduce the massive surplus of tea held by the financially troubled British East India Company
East India Company
The East India Company was an early English joint-stock company that was formed initially for pursuing trade with the East Indies, but that ended up trading mainly with the Indian subcontinent and China...
in its London
London is the capital city of :England and the :United Kingdom, the largest metropolitan area in the United Kingdom, and the largest urban zone in the European Union by most measures. Located on the River Thames, London has been a major settlement for two millennia, its history going back to its...
warehouses. A related objective was to undercut the price of tea smuggled into Britain's North American colonies. This was supposed to convince the colonists to purchase Company tea on which the Townshend duties
The Townshend Acts were a series of laws passed beginning in 1767 by the Parliament of Great Britain relating to the British colonies in North America. The acts are named after Charles Townshend, the Chancellor of the Exchequer, who proposed the program...
were paid, thus implicitly agreeing to accept Parliament's right of taxation.