The applicant union sought a declaration that there was a sale of a business from Gallant Painting to Lindsay Maintenance under section 63 of the Labour Relations Act.
Gallant Painting ceased operations after being organized by the union.
Shortly after, Lindsay Maintenance, a mechanical maintenance contractor, hired the former owner of Gallant Painting to manage a newly created painting division.
The Board found that the essential elements of the maintenance painting business resided in the expertise and reputation of the former owner.
By hiring him, Lindsay Maintenance acquired the predecessor's key asset, enabling it to be placed on a major customer's bidder's list and obtain work.
The Board concluded this constituted a sale of a business and declared the union the bargaining agent for the painting division employees.