The applicant union sought a declaration that Davis Textiles purchased the business of Josh Industries, which was in receivership, under section 63 of the Labour Relations Act.
Davis Textiles had assumed the lease of Josh Industries' vacant plant, purchased some of its sewing machines from the receiver, and hired some of its former employees who applied for jobs.
The Board found that Davis Textiles did not purchase the raw materials, finished goods, trade marks, or licenses of Josh Industries, and did not take over its workforce as such.
The Board concluded that the transaction did not constitute the sale of a business and dismissed the application.