The applicant union claimed that a former contractor transferred its business to the respondent when the respondent won a competitive tender for a food services contract at a correctional centre.
The union argued that the respondent was bound by the existing collective agreement as a successor employer.
The Ontario Labour Relations Board dismissed the application, finding that the loss of a contract by tender to a competitor does not constitute a sale or transfer of a business under section 63 of the Labour Relations Act, relying on its previous decision in Metropolitan Parking Inc.
