Ontario Home Builders' Association et al. v. Board of Education of York Region et al., (1996) 201 N.R. 81 (SCC)
Judge | Lamer, C.J.C., La Forest, L'Heureux-Dubé, Sopinka, Gonthier, Cory, McLachlin, Iacobucci and Major, JJ. |
Court | Supreme Court (Canada) |
Case Date | August 22, 1996 |
Jurisdiction | Canada (Federal) |
Citations | (1996), 201 N.R. 81 (SCC);[1996] 2 SCR 929;35 MPLR (2d) 1;137 DLR (4th) 449;[1996] SCJ No 80 (QL);201 NR 81;4 RPR (3d) 1;1996 CanLII 164 (SCC);29 OR (3d) 320 |
Home Builders v. York Reg. School Bd. (1996), 201 N.R. 81 (SCC)
MLB headnote and full text
[French language version follows English language version]
[La version française vient à la suite de la version anglaise]
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Ontario Home Builders' Association, Humber Green Estates Ltd. and Butternut Grove Homes Inc. (appellants) v. The York Board of Education, The York Region Roman Catholic Separate School Board and The Attorney General for Ontario (respondents) and The Attorney General of Quebec, The Attorney General of British Columbia, The Ontario Public School Boards' Association, The Ontario Separate School Trustees' Association, Carlota Guzman, Tony Ciccone, Charlotte Pope and Doris Seto (interveners)
(24085)
Indexed As: Ontario Home Builders' Association et al. v. Board of Education of York Region et al.
Supreme Court of Canada
Lamer, C.J.C., La Forest, L'Heureux-Dubé, Sopinka, Gonthier, Cory, McLachlin, Iacobucci and Major, JJ.
August 22, 1996.
Summary:
The Development Charges Act (Ont.), Part III, set out a scheme for school boards to raise funds for capital expenditures for new schools by imposing development charges on new residential and commercial developments. The York Region Board of Education and the York Region Roman Catholic Separate School Board (the School Boards) passed bylaws pursuant to Part III of the Act which required persons seeking building permits to pay Educational Development Charges (EDCs) as a condition of obtaining a permit. The Ontario Home Builders' Association and two developers applied for judicial review to quash the bylaws, challenging the constitutional validity of the EDC scheme.
The Ontario Divisional Court, in a decision reported 62 O.A.C. 321, allowed the application and quashed the bylaws. The School Boards and the Attorney General for Ontario appealed.
The Ontario Court of Appeal, in a decision reported 69 O.A.C. 216, allowed the appeal, set aside the decision of the Divisional Court and dismissed the original judicial review application. The Ontario Home Builders' Association and the two developers appealed. Other interested parties intervened.
The Supreme Court of Canada dismissed the appeal. Iacobucci, J. (Lamer, C.J.C., Sopinka, Cory and Major, JJ., concurring), assumed, without deciding, that the appellants had standing and held: (1) that Part III of the Development Charges Act authorized the imposition of an indirect tax contrary to s. 92(2) of the Constitution Act, 1867; however, the EDC scheme was intra vires the Province of Ontario as ancillary to a valid regulatory scheme of land use planning pursuant to ss. 92(9)(licensing power), 92(13) (property and civil rights) and 92(16) (matters of a local nature) of the Constitution Act, 1867; (2) that the EDC scheme did not prejudicially affect a right or privilege with respect to denominational schools contrary to s. 93(1) of the Constitution Act, 1867; and (3) that the EDC scheme was immune from Charter scrutiny. La Forest, J. (L'Heureux-Dubé, Gonthier and McLachlin, JJ., concurring), agreed with the majority's reasons as they pertained to s. 93 of the Constitution Act, 1867 and the Charter, and agreed that the EDC's were intra vires the province. The minority disagreed, however, that the EDC scheme was a valid regulatory charge under the combined operation of ss. 92(9), 92(13) and 92(16). Rather the minority opined that the scheme was valid as direct taxation within the province under s. 92(2) of the Constitution Act, 1867.
Civil Rights - Topic 392
Freedom of conscience and religion - Infringement of - Separate schools - Taxation - Two school boards passed bylaws imposing education development charges (EDCs) on new residential and commercial developments under Part III of the Development Charges Act (Ont.) - An interested individual argued that the EDC scheme violated her rights to equality and religious freedom under ss. 2(a) and 15 of the Charter because EDCs could be levied by Roman Catholic Separate School Boards on all new homes, whereas supporters of other religions could not impose EDCs - The Supreme Court of Canada held that the development charges legislation was immune from Charter scrutiny because the legislation pursued the constitutionally required objective of providing separate schools with funding that was on par with public school funding as required by s. 93 of the Constitution Act, 1867 - See paragraphs 76, 77.
Civil Rights - Topic 394
Freedom of conscience and religion - Infringement of - Schools - Taxation - [See Civil Rights - Topic 392 ].
Civil Rights - Topic 5671.1
Equality and protection of the law - Schools - Taxation - [See Civil Rights - Topic 392 ].
Civil Rights - Topic 8349
Canadian Charter of Rights and Freedoms - Application - Exceptions - Guaranteed rights of denominational schools - [See Civil Rights - Topic 392 ].
Civil Rights - Topic 8467.1
Canadian Charter of Rights and Freedoms - Interpretation - Relationship between Charter rights and other Constitution provisions - [See Civil Rights - Topic 392 ].
Civil Rights - Topic 8583
Canadian Charter of Rights and Freedoms - Practice - Who may raise Charter issues (incl. standing) - [See Constitutional Law - Topic 28 ].
Constitutional Law - Topic 28
General principles - Raising constitutional issues - Standing - The Development Charges Act (Ont.) authorized school boards to impose education development charges on new residential and commercial developments - A builders' association and two developers (the appellants) pursued a constitutional challenge under, inter alia, s. 93(1) (the denominational schools provision) of the Constitution Act, 1867 - Standing became an issue - Four individuals, the "standing intervenors", argued that if the appellants lacked standing on the s. 93 and Charter issues, they themselves had standing to raise these grounds - The Supreme Court of Canada assumed, without deciding, that the appellants had standing - The court opined, however, that the intervenors lacked standing, stating that "... this court takes an unfavourable view of attempts to back up an appellant's lack of standing by way of interveners. Such efforts to bootstrap flawed standing are to be discouraged" - See paragraphs 29 to 33, 78.
Constitutional Law - Topic 6822
Provincial jurisdiction (s. 92(2)) - Direct taxation within the province - What constitutes a tax - [See Constitutional Law - Topic 6822.1 ].
Constitutional Law - Topic 6822.1
Provincial jurisdiction (s. 92(2)) - Direct taxation within the province - What constitutes indirect taxation - Two school boards passed bylaws imposing education development charges (EDCs) on new residential and commercial developments pursuant to Part III of the Development Charges Act (Ont.) - A builders' association and two developers challenged the constitutional validity of the EDC scheme - The Supreme Court of Canada held that Part III of the Act authorized the imposition of an indirect tax contrary to s. 92(2) of the Constitution Act, 1867 - However, the EDC scheme was intra vires the Province of Ontario as ancillary to a valid regulatory scheme for the provision of provincial educational facilities as a component of land use planning pursuant to ss. 92(9) (licensing power), 92(13) (property and civil rights) and 92(16) (matters of a local nature) of the Constitution Act, 1867 - See paragraphs 34 to 67.
Constitutional Law - Topic 7004
Provincial jurisdiction (s. 92(9)) - Licences - Indirect taxation through licence fees - [See Constitutional Law - Topic 6822.1 ].
Constitutional Law - Topic 7227
Provincial jurisdiction (s. 92(13)) - Property and civil rights - Land - Land use planning - [See Constitutional Law - Topic 6822.1 ].
Constitutional Law - Topic 7518
Provincial jurisdiction (s. 92(16)) - Matters of local or private nature - Land use planning - [See Constitutional Law - Topic 6822.1 ].
Constitutional Law - Topic 9542
Education - Separate or denominational schools - Extent of constitutional guarantees under s. 93, Constitution Act, 1867 - [See Civil Rights - Topic 392 and first Constitutional Law - Topic 9551 ].
Constitutional Law - Topic 9551
Education - Separate or denominational schools - Regulation - Valid provincial legislation - Two school boards passed bylaws imposing education development charges (EDCs) on new residential and commercial developments pursuant to Part III of the Development Charges Act (Ont.) - A builders' association and two developers alleged that the charges were contrary to s. 93(1) (the denominational schools provision) of the Constitution Act, 1867, because the EDC scheme prejudicially affected the rights of separate school supporters: (a) to a proportionate share of all public monies, apart from local assessments; and (b) to be exempt from paying assessments for public school purposes - The Supreme Court of Canada held that the EDC scheme did not prejudicially affect the rights guaranteed by s. 93(1) - See paragraphs 68 to 75.
Constitutional Law - Topic 9551
Education - Separate or denominational schools - Regulation - Valid provincial legislation - [See Civil Rights - Topic 392 ].
Education - Topic 716
Education authorities - School boards - Education development charges - [See Civil Rights - Topic 392 , Constitutional Law - Topic 6822.1 and first Constitutional Law - Topic 9551 ].
Municipal Law - Topic 2141
Municipal taxation or levies - Development charges - General - [See Civil Rights - Topic 392 , Constitutional Law - Topic 6822.1 and first Constitutional Law - Topic 9551 ].
Practice - Topic 221
Persons who can sue and be sued - Individuals and corporations - Status or standing - Public interest standing - Intervenors - [See Constitutional Law - Topic 28 ].
Cases Noticed:
Reference Re Roman Catholic Separate High Schools Funding, [1987] 1 S.C.R. 1148; 77 N.R. 241; 22 O.A.C. 321; 40 D.L.R.(4th) 18, refd to. [para. 11].
Reference Re Bill 30, An Act to Amend the Education Act (Ont.) - see Reference Re Roman Catholic Separate High Schools Funding.
Education Act Amendment Act (Ont.) Reference, Re - see Reference Re Roman Catholic Separate High Schools Funding.
Halifax (City) v. Estate of J.P. Fairbanks, [1928] A.C. 117 (P.C.), refd to. [paras. 12, 127].
Greater Hull School Board v. Quebec (Attorney General), [1984] 2 S.C.R. 575; 56 N.R. 99, refd to. [para. 13].
Shannon v. Lower Mainland Dairy Products Board, [1938] A.C. 708 (P.C.), refd to. [paras. 15, 102].
Magder (Paul) Furs Ltd. et al. v. Ontario (Attorney General), [1993] 3 S.C.R. 675; 160 N.R. 161; 67 O.A.C. 81, refd to. [para. 18].
Hy and Zel's Inc. v. Ontario (Attorney General) - see Madger (Paul) Furs Ltd. et al. v. Ontario (Attorney General).
Allard Contractors Ltd. et al. v. Coquitlam (District) et al., [1993] 4 S.C.R. 371; 160 N.R. 249; 35 B.C.A.C. 241; 57 W.A.C. 241, refd to. [paras. 20, 98].
Switzman v. Elbling, [1957] S.C.R. 285, dist. [para. 31].
Borowski v. Canada (Attorney General), [1989] 1 S.C.R. 342; 92 N.R. 110; 75 Sask.R. 82; 38 C.R.R. 232; 57 D.L.R.(4th) 231; 47 C.C.C.(3d) 1; 33 C.P.C.(2d) 105; [1989] 3 W.W.R. 97, dist. [para. 32].
Atlantic Smoke Shops Ltd. v. Conlon, [1943] A.C. 550 (P.C.), refd to. [paras. 34, 143].
Canadian Industrial Gas & Oil Ltd. v. Saskatchewan et al., [1978] 2 S.C.R. 545; 18 N.R. 107, refd to. [paras. 36, 127].
Canadian Pacific Railway Co. v. Saskatchewan (Attorney General), [1952] 2 S.C.R. 231, refd to. [paras. 40, 130].
Simpsons-Sears Ltd. v. New Brunswick and Canada (Attorney General) et al., [1982] 1 S.C.R. 144; 41 N.R. 489; 39 N.B.R.(2d) 407; 103 A.P.R. 407, refd to. [para. 40].
Bank of Toronto v. Lambe (1887), 12 App. Cas. 575 (P.C.), refd to. [paras. 41, 112].
Brewers and Maltsters' Association of Ontario v. Ontario (Attorney General), [1897] A.C. 231, refd to. [para. 41].
Cairns Construction Ltd. v. Saskatchewan, [1960] S.C.R. 619, refd to. [para. 41].
Montreal (City) v. Canada (Attorney General), [1923] A.C. 136, refd to. [para. 46].
British Columbia (Attorney General) v. Esquimalt and Nanaimo Railway Co., [1950] A.C. 87 (P.C.), refd to. [para. 46].
Rattenbury v. Land Settlement Board, [1929] S.C.R. 52, refd to. [paras. 46, 130].
Reference Re Validity of Section 31 of the Municipal District Amendment Act, 1941, [1943] S.C.R. 295, refd to. [para. 46].
Spooner Oils Ltd. v. Turner Valley Gas Conservation Board, [1932] 4 D.L.R. 750 (Alta C.A.), refd to. [para. 46].
Bratt's Lake (Rural Municipality) v. Hudson's Bay Co., [1918] 2 W.W.R. 962, refd to. [para. 46].
Dufferin-Peel Roman Catholic Separate School Board v. Mississauga (City), [1994] O.M.B.D. No. 1093, refd to. [para. 58].
Mills (Erin) Development Corp. v. Peel Board of Education (1988), 22 O.M.B.R. 177, refd to. [para. 62].
Etobicoke Board of Education v. High bury Developments Ltd., [1958] S.C.R. 196, refd to. [para. 62].
Protestant School Board of Greater Montreal et al. v. Quebec (Procureur général) et al., [1989] 1 S.C.R. 377; 92 N.R. 327; 20 Q.A.C. 241, refd to. [para. 72].
Renvoi relatif à la Loi sur l'instruction publique, L.Q. 1988, c. 84, [1993] 2 S.C.R. 511; 154 N.R. 1; 56 Q.A.C. 1, refd to. [para. 73].
Reference Re Education Act, S.Q. 1988, c. 84 - see Renvoi relatif à la Loi sur l'instruction publique, L.Q. 1988, c. 84.
Scott v. Ottawa (City) (1856), 13 U.C.Q.B. 346 (C.A.), refd to. [para. 75].
Canada (Attorney General) v. Ontario (Attorney General)(Unemployment Insurance Reference), [1937] A.C. 355 (P.C.), refd to. [para. 94].
Unemployment Insurance Reference - see Canada (Attorney General) v. Ontario (Attorney General).
Lawson v. Interior Tree Fruit and Vegetable Committee, [1931] S.C.R. 357, refd to. [para. 95].
Quebec (Attorney General) v. Reed (1884), 10 App. Cas. 141 (P.C.), refd to. [para. 100].
Friends of the Oldman River Society v. Canada (Minister of Transport and Minister of Fisheries and Oceans), [1992] 1 S.C.R. 3; 132 N.R. 321; [1992] 2 W.W.R. 193, refd to. [para. 100].
Lower Mainland Dairy Products Sales Adjustment Committee v. Crystal Dairy Ltd., [1933] A.C. 168 (P.C.), refd to. [para. 102].
Agricultural Products Marketing Act (1970), Re, [1978] 2 S.C.R. 1198; 19 N.R. 361, refd to. [para. 102].
Reference Re Agricultural Products Marketing Act - see Agricultural Products Marketing Act (1970), Re.
Ontario Boys' Wear Ltd. v. The Advisory Committee, [1944] S.C.R. 349, refd to. [para. 104].
Tolton Manufacturing Co. v. Industrial Standards Advisory Committee (Ont.) - see Ontario Boys' Wear Ltd. v. The Advisory Committee.
Reference Re Farm Products Marketing Act, [1957] S.C.R. 198, refd to. [para. 105].
Coquitlam (District) v. LaFarge Concrete Ltd., [1973] 1 W.W.R. 681 (B.C.C.A.), refd to. [para. 110].
British Columbia (Attorney General) v. Canada (Attorney General), [1924] A.C. 222, refd to. [para. 112].
Canada (Attorney General) v. British Columbia (Attorney General), [1930] A.C. 111, refd to. [para. 112].
Insurance Act of Canada, Re - see Reference Re Insurance Act.
Reference Re Insurance Act, [1932] A.C. 41 (P.C.), refd to. [para. 112].
Alberta Natural Gas Tax Reference, [1982] 1 S.C.R. 1004; 42 N.R. 361; 37 A.R. 541, refd to. [para. 113].
Reference Re Exported Natural Gas Tax - see Alberta Natural Gas Tax Reference.
Exported Natural Gas Tax Reference - see Alberta Natural Gas Tax Reference.
Natural Gas Tax Reference - see Alberta Natural Gas Tax Reference.
R. v. Morgentaler, [1993] 3 S.C.R. 463; 157 N.R. 97; 125 N.S.R.(2d) 81; 349 A.P.R. 81, refd to. [para. 117].
British Columbia (Attorney General) v. Esquimalt and Nanaimo Railway Co., [1949] A.C. 600, refd to. [para. 126].
R. v. Churchill (1972), 29 D.L.R.(3d) 368 (B.C.S.C.), refd to. [para. 132].
Texada Mines Ltd. v. British Columbia (Attorney General), [1960] S.C.R. 713, refd to. [para. 133].
Renvoi relatif à la taxe de vente du Québec, [1994] 2 S.C.R. 715; 169 N.R. 1; 62 Q.A.C. 81, refd to. [para. 136].
Reference Re Quebec Sales Tax - see Renvoi relatif à la taxe de vente du Québec.
Quebec (Attorney General) v. Queen Insurance Co. (1878), 3 App. Cas. 1090, refd to. [para. 141].
Cotton v. R., [1914] A.C. 176 (P.C.), refd to. [para. 142].
Alleyn v. Barthe, [1922] 1 A.C. 215, refd to. [para. 143].
Edwards v. Canada (Attorney General), [1930] A.C. 124, refd to. [para. 145].
Skapinker v. Law Society of Upper Canada, [1984] 1 S.C.R. 357; 53 N.R. 169; 3 O.A.C. 321; 11 C.C.C.(3d) 481; 9 D.L.R.(4th) 161; 8 C.R.R. 193, refd to. [para. 145].
Ellet's Estate v. British Columbia (Attorney General) et al., [1980] 2 S.C.R. 466; 32 N.R. 326, refd to. [para. 145].
British Columbia (Attorney General) v. Canada Trust Co. - see Ellet's Estate v. British Columbia (Attorney General).
Statutes Noticed:
Canadian Charter of Rights and Freedoms, 1982, sect. 2(a), sect. 15(1) [para. 9].
Constitution Act, 1867, sect. 92(2), sect. 92(9), sect. 92(13), sect. 92(16), sect. 93(1) [para. 9].
Development Charges Act, R.S.O. 1990, c. D-9, sect. 30(1), sect. 30(3), sect. 35 [para. 9], Part III [para. 1 et seq.].
Development Charges Act Regulations (Ont.), Education Development Charges Regulations, R.R.O. 1990, Reg. 268, sect. 1, sect. 2, sect. 3, sect. 4 [para. 9]; sect. 5 [para. 56].
Education Act, R.S.O. 1990, c. E-2, sect. 122(1) [para. 9]; sect. 170, sect. 171(1), sect. 195 [para. 25].
Education Act Regulations (Ont.), General Legislative Grants Regulation, O. Reg. 119/92, sect. 6(1) [para. 8]; sect. 51 [para. 25].
Education Development Charges Regulations - see Development Charges Act Regulations (Ont.).
General Legislative Grants Regulation - see Education Act Regulations (Ont.).
Planning Act, R.S.O. 1990, c. P-13, sect. 2(i), sect. 51(24)(a), sect. 51(24)(j) [para. 28].
Roman Catholics in Upper Canada, An Act to Restore Certain Rights in respect of Separate Schools (Scott Act) (1863), 26 Vict. c. 5, sect. 14, sect. 20 [para. 9].
Scott Act - see Roman Catholics in Upper Canada, An Act to Restore Certain Rights in respect of Separate Schools to.
Authors and Works Noticed:
Concise Oxford Dictionary (9th Ed. 1995) [para. 133].
Hogg, Peter W., Constitutional Law of Canada (3rd Ed. (Looseleaf Supp.) 1992), §30.2(6) [para. 38], pp. 413, 414 [para. 145].
Jowitt's Dictionary of English Law (2nd Ed. 1977), vol. 2 [para. 75].
La Forest, Gerard V., The Allocation of Taxing Power Under the Canadian Constitution (2nd Ed. 1981), pp. 2, 3, 4 [para. 37]; 79 [para. 42]; 86 [para. 49]; 89 [para. 144]; 90 [paras. 12, 144]; 94 [para. 137]; 111, 112, 113 [para. 39]; 155, 156 [para. 52]; 159, 160 [para. 122]; 195 [para. 96].
Laskin, Bora, Provincial Marketing Levies: Indirect Taxation and Federal Power (1959-60), U. of T. L.J. 1, p. 4 et seq. [para. 102].
Magnet, Joseph Elito, The Constitutional Distribution of Taxation Powers in Canada (1978), 10 Ottawa L.R. 473, p. 533 [para. 135].
Mill, John Stuart, Principles of Political Economy (1893), Book V, ch. 3, p. 419, §1 [paras. 35, 96, 141].
Counsel:
Neil Finkelstein and Monica Kowal, for the appellants;
Peter D. Lauwers, Janet E. Minor, Michel Y. Hélie and Martha M. MacKinnon, for the respondents;
Monique Rousseau, for the intervener, the Attorney General of Quebec;
George H. Copley, for the intervener, the Attorney General of British Columbia;
Colin L. Campbell, Q.C., and Gordon F. Willcocks, for the intervener, the Ontario Public School Boards' Association;
Peter D. Lauwers, for the intervener, the Ontario Separate School Trustees' Association;
George Vegh, for the interveners, Carlota Guzman and Tony Ciccone;
Jane Thompson and Robert Maxwell, for the interveners, Charlotte Pope and Doris Seto.
Solicitors of Record:
Blake, Cassels & Graydon, Toronto, Ontario, for the appellants;
The Attorney General for Ontario, Toronto, Ontario, for the respondents;
The Attorney General of Quebec, Sainte-Foy, Quebec, for the intervener, the Attorney General of Quebec;
The Attorney General of British Columbia, Victoria, British Columbia, for the intervener, the Attorney General of British Columbia;
McCarthy, Tétrault, Toronto, Ontario, for the intervener, the Ontario Public School Boards' Association;
Holden, Day, Wilson, Toronto, Ontario, for the intervener, the Ontario Separate School Trustees' Association;
Blake, Cassels & Graydon, Toronto, Ontario, for the interveners, Carlota Guzman and Tony Ciccone;
Gardiner, Roberts, Toronto, Ontario, for the interveners, Charlotte Pope and Doris Seto.
This appeal was heard on October 10 and 11, 1995, before Lamer, C.J.C., La Forest, L'Heureux-Dubé, Sopinka, Gonthier, Cory, McLachlin, Iacobucci, and Major, JJ., of the Supreme Court of Canada. The decision of the court was delivered in both official languages on August 22, 1996, including the following opinions:
Iacobucci, J. (Lamer, C.J.C., Sopinka, Cory and Major, JJ., concurring) - see paragraphs 1 to 86;
La Forest (L'Heureux-Dubé, Gonthier and McLachlin, JJ., concurring) - see paragraphs 87 to 147.
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Table of cases
..................................................... 126, 346 Ontario Home Builders’ Association v. York Regional Board of Education (1996), 137 D.L.R. (4th) 449 (S.C.C.) .........................127, 345, 359 Ontario Human Rights Commission v. Peel Board of Education (1991), 80 D.L.R. (4th)......
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Constitutional Fundamentals
...School Board v. Quebec Bank , [1920] A.C. 230 (P.C.). 186 Ontario Home Builders’ Association v. York Region Board of Education (1996), 137 D.L.R. (4th) 449 (S.C.C.). RELIGIOUS INSTITUTIONS AND THE LAW IN CANADA 128 In addition to the regulation of the non-denominational portions of their cu......