The applicant union, Local 75, brought an application under section 64 of the Labour Relations Act claiming that the business of the Skyline Triumph Hotel had been transferred to the responding parties, Accomodex and Kelloryn, who reopened it as a Howard Johnson Hotel.
The responding parties argued it was merely a transfer of idle assets following a closure and receivership.
The Board found that the transaction constituted a sale of a business within the meaning of the Act, as the new owners acquired the core asset configuration and continued to operate the same kind of business from the same location, thereby preserving the union's bargaining rights.