ti/:
Date:20120224Docket:CI11-01-75257(WinnipegCentre)Indexedas:Obergetal,v.Canada(AttorneyGeneral)Citedas:2012MBQB64
COURTOFQUEEN'SBENCHOFMANITOBA
BETWEEN:
ALLENOBERG,RONFLAMAN,CAMGOFF,KYLEKORNEYCHUK,JOHNSANDBORN,BILLTOEWS,STEWARTWELLSandBILLWOODS/plaintiffs,-and-ATTORNEYGENERALOFCANADA,defendant.
PERLMUTTER1.
INTRODUCTION
)COUNSEL:
)
)Fortheplaintiffs:)ColinR.MacArthur,
Q.c.
)andJohnB.Martens
)
)Forthedefendant:)RobertMacKinnonand)Joel
I.
Katz
)
)JUDGMENTDELIVERED:)February24,2012[1]Theplaintiffs,whoareformerboardmembersoftheCanadianWheatBoard('CWB''),seekaninterlocutoryorderstayingand/orsuspending
nuncprotunc
theoperationandimplementationofthe
MarketingFreedomforGrainFarmersAct,
S.c.2011,c.25(the"NewAct''),orinthealternativetheoperationofPartsIandIIoftheNewAct,asatthedateandtimeofRoyalAssent,pendingadecisionastothevalidityoftheNewAct.
Page:2
BACKGROUND
[2]Intheirstatementofclaim,theplaintiffsclaimdeclarationsthattheNewActisinvalidandinfringestheruleoflaw,the
ConstitutionAct,
1867,andthe
ConstitutionAct,
1982.TheplaintiffsrelyonadecisionbyCampbell
J.
in
FriendsoftheCanadianWheatBoard
v.
Canada(MinisterofAgriculture),
2011FC1432,inwhichtheplaintiffswerealsoapplicants.Campbell
J.
declaredthattheMinisterresponsiblefortheCWBbreachedhisstatutorydutypursuanttos.47.1ofthe
CanadianWheatBoardAct,
R.S.C.1985,c.C-24(the"CWBAct')toconsultwiththeCWBBoardandconductavoteofwheatandbarleyproducersastowhethertheyagreewithremovingwheatandbarleyfromtheapplicationofPartIVoftheCWBActandeliminatingtheCWB'sexclusivestatutorymarketingmandate.Further,Campbell
J.
declaredthattheMinisterfailedtocomplywithhisstatutorydutypursuanttos.47.1oftheCWBActtoconsultwiththeCWBBoardandtoholdaproducervote,priortointroducingBillC-18(whichbecametheNewAct)inParliament.[3]
It
istheplaintiffs'positionthattheNewActistheresultoftheillegalactionoftheMinisterandtheNewActisthusinvalid.Theplaintiffsrelyons.52(1)ofthe
ConstitutionAct,
1982andthe"ruleoflaw".Section52(1)ofthe
ConstitutionAct
provides:
52.(1)TheConstitutionofCanadaisthesupremelawofCanada,andanylawthatisinconsistentwiththeprovisionsoftheConstitutionis,totheextentofthelnconsistency,ofnoforceoreffect.
[4]In1998,theCWBActwasamendedtoprovidefora15personboardwithtenboardmemberstobeelectedbyproducersands.47.1wasenacted.The
Page:3plaintiffswereeightofthetenboardmemberselectedbyproducers.Section47.1oftheCWBActprovides:
47.1
TheMinistershallnotcausetobeintroducedinParliamentabillthatwouldexcludeanykind,type,classorgradeofwheatorbarley,orwheatorbarleyproducedinanyareainCanada,fromtheprovisionsofPartIV,eitherinwholeorinpart,orgenerally,orforanyperiod,orthatwouldextendtheapplicationofPartIIIorPartIVorbothPartsIIIandIVtoanyothergrain,unless(a)theMinisterhasconsultedwiththeboardabouttheexclusionorextension;and(b)theproducersofthegrainhavevotedinfavouroftheexclusionorextension,thevotingprocesshavingbeendeterminedbytheMinister.
[5]PartsIIIandIVoftheCWBActcreatea"singledesk"fortheinterprovincialandexportmarketingandtradeinwheatandbarley.Theplaintiffswereelectedonthebasisoftheirsupportforthesingledesk.[6]Asnoted,theMinisterintroducedtheBillinParliament,withoutconsultingwiththeCWBboardandwithoutholdingaproducers'vote.[7]TheNewActadoptsafive-partapproachtothechangesitmakes.Part1cameintoforceimmediatelyonRoyalAssent.Part1eliminatedthetenelecteddirectors'positions,includingtheplaintiffs.Part1alsoprovidesthatapersonmayagreetosellorbuywheatiftheagreementprovidesforthesaleorpurchasetooccuronorafterPart2oftheNewActcomesintoforce,whichisscheduledforAugust1,2012(NewAct,s.11).Part2willrepealtheCWBActinitsentirety(NewAct,s.39).Initsplace,Part2substitutesanewregimeentitledthe
CanadianWheatBoard(InterimOperations)Act
TheCWBwillcontinuetofunctionasagrainmarketingentityunderPart2,althoughits
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