Noranda Metal Industries Ltd., Fergus Division v. International Brotherhood of Electrical Workers, Local 2345 and Roberts, (1983) 1 O.A.C. 187 (CA)

JudgeDubin, Blair and Robins, JJ.A.
CourtCourt of Appeal (Ontario)
Case DateDecember 22, 1983
JurisdictionOntario
Citations(1983), 1 O.A.C. 187 (CA);1983 CanLII 1690 (ON CA);44 OR (2d) 529;[1983] OJ No 3280 (QL);1 OAC 187;23 ACWS (2d) 136

Noranda Metal Ind. Ltd. v. IBEW (1983), 1 O.A.C. 187 (CA)

MLB headnote and full text

Noranda Metal Industries Limited, Fergus Division v. International Brotherhood of Electrical Workers, Local 2345, and Roberts

Indexed As: Noranda Metal Industries Ltd., Fergus Division v. International Brotherhood of Electrical Workers, Local 2345 and Roberts

Ontario Court of Appeal

Dubin, Blair and Robins, JJ.A.

December 22, 1983.

Summary:

A collective agreement provided:

"3.02. During negotiations it was agreed that the company has the right to subcontract, but in no case shall such subcontracting result in bargaining unit employees being laid off or losing their employment or being likewise affected."

The union claimed that the employer violated Article 3.02 by subcontracting work without offering employees a chance to do the work at overtime rates. The union claimed that the employer during negotiations agreed that Article 3.02 applied to such a situation in the wording "or being likewise affected", but the employer denied such an application. The arbitrator considered that the positions of the union and the employer were both plausible, rendering Article 3.02 ambiguous and extrinsic evidence admissible. After considering evidence about the negotiations and past practice the arbitrator ruled in favour of the union's position. The employer appealed.

The Ontario Divisional Court in a judgment reported 40 O.R.(2d) 502 quashed the award. The court held that the arbitrator erred in relying on extrinsic evidence and in not first making a ruling of ambiguity before admitting extrinsic evidence. The union appealed.

The Ontario Court of Appeal allowed the appeal and restored the arbitrator's award. The court held that the arbitrator correctly considered that Article 3.02 was ambiguous and properly relied upon extrinsic evidence in resolving the ambiguity. The court stated, further, that extrinsic evidence may be admitted to reveal a latent ambiguity.

Contracts - Topic 7430

Interpretation - Ambiguity - Admissibility of extrinsic evidence - The Ontario Court of Appeal held that an arbitrator correctly considered that a clause was ambiguous, where the constructions placed upon the clause by the parties were equally plausible - The court held that extrinsic evidence, including evidence about negotiations and past practice, was admissible to resolve the ambiguity - The court held, further, that extrinsic evidence was admissible to reveal a latent ambiguity.

Cases Noticed:

Leitch Gold Mines Ltd. et al. v. Texas Gulf Sulphur Co. Inc. et al., [1969] 1 O.R. 469, appld. [para. 12].

R. v. Barber et al., [1968] 2 O.R. 245, consd. [para. 17].

Re City of Toronto and Canadian Union of Public Employees, Local 79 (1982), 133 D.L.R.(3d) 94, consd. [para. 20].

Counsel:

Alan M. Minsky and Mark Zigler, for the appellant, union;

John C. Murray, for the respondent.

This case was heard on June 15, 1983, before Dubin, Blair and Robins, JJ.A., of the Ontario Supreme Court, Court of Appeal.

On December 22, 1983, Dubin, J.A., delivered the following judgment for the Court of Appeal.

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14 practice notes
  • Table of Cases
    • Canada
    • Irwin Books Labour and Employment Law. Cases, Materials, and Commentary. Ninth Edition
    • 24 Junio 2018
    ...711 Re Noranda Metal Industries Ltd, Fergus Division v International Brotherhood of Electrical Workers (1983), 44 OR (2d) 529 (CA) .............................................................. 716 , 719 Re Oil, Chemical & Atomic Workers & Polymer Corporation (1958), 10 LAC 31 ...................
  • The Collective Agreement and Grievance Arbitration
    • Canada
    • Irwin Books Labour and Employment Law. Cases, Materials, and Commentary. Ninth Edition
    • 24 Junio 2018
    ...Law 149. 9:311 Negotiation History Re Noranda Metal Industries Ltd, Fergus Division v International Brotherhood of Electrical Workers (1983), 44 OR (2d) 529 at 530–38 (CA) DUBIN JA: Pursuant to the terms of a collective agreement, dated September 1, 1981, efective to August 31, 1983, an arb......
  • United Brotherhood of Carpenters and Joiners of America, Local 579 v. Bradco Construction Ltd., (1993) 106 Nfld. & P.E.I.R. 140 (SCC)
    • Canada
    • Canada (Federal) Supreme Court (Canada)
    • 16 Octubre 1992
    ...Sons Co., Re (1967), 18 L.A.C. 362, refd to. [para. 44]. Noranda Metal Industries Ltd., Fergus Division and I.B.E.W, Local 2345, Re (1983), 44 O.R.(2d) 529 (C.A.), refd to. [para. Heustis v. New Brunswick Electric Power Commission, [1979] 2 S.C.R. 768; 27 N.R. 103; 25 N.B.R.(2d) 613; 51 A.P......
  • United Brotherhood of Carpenters and Joiners of America, Local 579 v. Bradco Construction Ltd., (1993) 153 N.R. 81 (SCC)
    • Canada
    • Canada (Federal) Supreme Court (Canada)
    • 16 Octubre 1992
    ...Sons Co., Re (1967), 18 L.A.C. 362, refd to. [para. 44]. Noranda Metal Industries Ltd., Fergus Division and I.B.E.W, Local 2345, Re (1983), 44 O.R.(2d) 529 (C.A.), refd to. [para. Heustis v. New Brunswick Electric Power Commission, [1979] 2 S.C.R. 768; 27 N.R. 103; 25 N.B.R.(2d) 613; 51 A.P......
  • Request a trial to view additional results
12 cases
2 books & journal articles
  • Table of Cases
    • Canada
    • Irwin Books Labour and Employment Law. Cases, Materials, and Commentary. Ninth Edition
    • 24 Junio 2018
    ...711 Re Noranda Metal Industries Ltd, Fergus Division v International Brotherhood of Electrical Workers (1983), 44 OR (2d) 529 (CA) .............................................................. 716 , 719 Re Oil, Chemical & Atomic Workers & Polymer Corporation (1958), 10 LAC 31 ...................
  • The Collective Agreement and Grievance Arbitration
    • Canada
    • Irwin Books Labour and Employment Law. Cases, Materials, and Commentary. Ninth Edition
    • 24 Junio 2018
    ...Law 149. 9:311 Negotiation History Re Noranda Metal Industries Ltd, Fergus Division v International Brotherhood of Electrical Workers (1983), 44 OR (2d) 529 at 530–38 (CA) DUBIN JA: Pursuant to the terms of a collective agreement, dated September 1, 1981, efective to August 31, 1983, an arb......

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