The appellant banks sought a declaration that their promotion of certain insurance products authorized by the federal Bank Act was immune from Alberta's Insurance Act, which required them to obtain a provincial license.
The Supreme Court of Canada held that the provincial legislation was valid under the province's property and civil rights power.
The Court rejected the application of interjurisdictional immunity, finding that the promotion of insurance is not vital or essential to the core of banking.
The Court also found no operational conflict or frustration of federal purpose to trigger the doctrine of federal paramountcy.
The appeal was dismissed, meaning the banks must comply with the provincial insurance regulations.
