The Union defendants moved to stay or dismiss the plaintiffs' action, arguing the Ontario Labour Relations Board (OLRB) had exclusive jurisdiction.
The plaintiffs, creditors of a bankrupt company (SOCF), sought damages in tort for conspiracy to injure, unlawful interference with economic relations, and inducing breach of contract, stemming from the Union defendants' alleged improper use of the grievance procedure to coerce SOCF into signing a collective agreement.
The court applied the "essential character" test from Weber v. Ontario Hydro and found the dispute's core to be a labour relations matter, specifically an alleged unfair labour practice under the Labour Relations Act, 1995.
Consequently, the court determined it lacked jurisdiction and stayed the action indefinitely, directing the plaintiffs to pursue remedies before the OLRB.
