The applicant union sought a declaration that the respondent was a successor employer to the predecessor company under section 55 of the Labour Relations Act, or alternatively, that they were related employers under section 1(4).
The predecessor's business had been placed in receivership, and the respondent subsequently leased the premises, purchased equipment, hired former employees, and temporarily manufactured the predecessor's product line under the predecessor's trade name before transitioning to safety footwear.
The Board found that a sale of a business had occurred within the meaning of section 55.
The Board declined to terminate the union's bargaining rights under section 55(5), finding that the change from casual to safety footwear did not constitute a substantial change in the character of the business.
The section 1(4) application was dismissed.