The applicant, a federal Crown corporation, sought judicial review of a decision by the Ontario Board of Inquiry adding it as a respondent to a human rights complaint.
The complainant alleged that the rent calculation formula for social assistance recipients in her co-operative housing, mandated by the applicant's funding agreement, was discriminatory.
The Divisional Court quashed the Board's order, holding that the applicant's imposition of funding conditions was a valid exercise of the federal spending power under s. 91(1A) of the Constitution Act, 1867.
The Court applied the doctrine of interjurisdictional immunity, finding that provincial human rights legislation must be read down so as not to impair the essential powers of a federal agency carrying out its core functions.