Application for successor rights dismissed; lease of restaurant space in hotel did not constitute sale of business.
The applicant union sought a declaration of successor rights, arguing that the opening of a Ruth's Chris steakhouse in the hotel premises formerly occupied by Trader Vic's constituted a sale of a business under section 69 of the Labour Relations Act.
The union argued that the downtown location was a key asset transferred to the new restaurant.
The Board found that the transaction was merely a lease of space and that no part of the predecessor's business, other than the location itself, was transferred.
The application was dismissed.
Hotel Employees Restaurant Employees Union, Local 75 v. Hilton Canada Inc. and Sizzling in Toronto, Inc., 1997 CanLII 15573