The applicant union alleged a sale of a business from Steinberg to Yesteryear under section 63 of the Labour Relations Act, or alternatively that they were related employers under section 1(4).
Steinberg closed two stores and transferred the leases and some assets to Yesteryear, a wholly owned subsidiary, which reopened them as warehouse-style stores with new employees.
The respondents argued the union was estopped from bringing the application because it had engaged in negotiations for a separate collective agreement with Yesteryear.
The Board found no waiver or estoppel, as the union made no promise not to exercise its statutory rights.
On the merits, the Board found a sale of a business occurred, as Yesteryear occupied the same premises and continued a substantially similar retail food business.
Yesteryear was declared bound by the predecessor's collective agreement.