Employer and interim receiver ordered to sign collective agreement after refusing to execute ratified settlement.
The complainant union alleged that the employer, Coulter Copper & Brass Limited, and its interim receiver violated section 14 of the Labour Relations Act by refusing to sign a formal collective agreement.
The parties had previously signed a Memorandum of Settlement which was subsequently ratified by the union.
Shortly after ratification, the employer went into receivership, and the interim receiver instructed the employer not to sign the formal agreement to avoid creating a fraudulent preference.
The Board found that a collective agreement came into existence upon the union's communication of ratification.
The Board held that the refusal to execute the formal document reflecting the agreed terms constituted a breach of the duty to bargain in good faith, and ordered the respondents to sign the agreement.
International Brotherhood of Boilermakers, Iron Ship Builders, Blacksmiths, Forgers and Helpers, Local #637 v. Coulter Copper & Brass Limited, 1981 CanLII 862