Robert Healey

Several trade unions and the Canadian Labour Congress brought motions for leave to intervene as added parties or as friends of the court in an action challenging the constitution of the Amalgamated Transit Union.

The moving parties argued they had an interest in the proceeding because their own constitutions contained similar provisions and they could be adversely affected by the precedent.

The court dismissed the motions, finding that an interest based solely on the potential precedential effect of a decision is insufficient for intervention as an added party under Rule 13.01.

The court also denied leave to intervene as friends of the court under Rule 13.02, concluding that the proposed interveners' submissions would largely duplicate the arguments of the defendant union and would not provide a materially different perspective.

The moving parties sought leave to appeal a CCAA judge's decision dismissing their motion to reinstate other post-employment benefits (OPEBs) to retirees of U.S. Steel Canada Inc. The CCAA judge had dismissed the motion but ordered a one-time payment of $2.7 million towards benefits.

The Court of Appeal applied the stringent test for leave to appeal in CCAA proceedings and found no prima facie merit to the appeal.

The court emphasized the broad discretion of the CCAA judge and the fact-specific nature of the decision, which did not raise issues of significance to insolvency practice.

Leave to appeal was denied with costs fixed at $2,500.

Following a successful application declaring the applicant remained president and a member of a union organization, the court addressed costs.

The applicant sought substantial indemnity costs relying on an informal settlement offer and alleged improper conduct by the respondents in attempting to remove him from office.

The court held that the circumstances required for substantial indemnity costs were not present, including the absence of a valid Rule 49 offer or litigation misconduct.

Considering the factors under Rule 57.01 and s.131 of the Courts of Justice Act, the court reduced the applicant’s requested costs due to litigation conduct, including late retention of counsel and a shift in litigation position.