The applicant union sought declarations that Tanner Industries was a successor and related employer to Do-Tan Manufacturing Limited under sections 63 and 1(4) of the Labour Relations Act.
Do-Tan had ceased operations and its assets were sold off.
J.R. Tanner, a former principal of Do-Tan, secured customer commitments and transferred equipment to a new company, Tanner Industries, owned by his family.
The Board found that a definable part of Do-Tan's business, including equipment, know-how, and customer contacts, was transferred to Tanner Industries.
The Board declared Tanner Industries a successor employer bound by the collective agreement, but declined to exercise its discretion to make a related employer declaration.