The respondent Crown corporations were charged under the Combines Investigation Act with conspiring to unduly lessen competition in the uranium industry.
They sought prohibition orders to prevent the Provincial Court from proceeding, arguing they were immune from prosecution as agents of the Crown.
The Supreme Court of Canada held that the Combines Investigation Act does not bind the Crown.
Furthermore, because both corporations were statutorily designated as agents of the Crown 'for all its purposes' and were acting within their authorized corporate objects, they were entitled to Crown immunity.
The appeals by the Crown were dismissed.