The applicant union sought a declaration under section 1(4) of the Labour Relations Act that Krest Masonry Contracting Limited and Canada Contracting were one employer, or alternatively that there was a sale of a business under section 63.
Krest, a unionized masonry contractor, was bound by a collective agreement.
Canada Contracting was incorporated by family members of Krest's directors and operated as a non-union broker on the same construction sites, utilizing Krest's materials and services.
The Board found that the two companies were engaged in related business activities under common control and direction, serving as a vehicle for Krest to avoid its collective agreement obligations.
The Board granted the section 1(4) declaration, making it effective as of the application date.