The appellant Commission claimed $67,014.99 from the respondent transit commission, representing the difference between wages paid to the respondent's employees under a collective agreement and the amounts required by the Construction Decree for renovation work done on the respondent's buildings.
The lower courts dismissed the claim, holding that the Construction Industry Labour Relations Act did not apply to mass transit employers and that the employees received a 'total wage' greater than the Decree's requirements.
The Supreme Court of Canada allowed the appeal, holding that the Act's application depends on the nature of the work done (construction) rather than the employer's primary industry.
The Court also rejected the 'total wage' concept, ruling that the Decree is a matter of public order and its specific minimum conditions cannot be offset by other benefits provided in a collective agreement.
