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The Senate and the Emperor decided -- at times. The Roman Empire spanned a long, long time and in various times the laws were created differently. Ideally, the senate was to propose a law and then the voting assemblies voted to either pass or reject it. However this was not always practical, so the senate got around this by passing "resolutions" that had the effect of a law. When the principate came into power, it was the emperor who proposed the laws and the senate, if it knew what was good for it, ratified the emperor's proposals into law.

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