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Côté v. Smith

T-587-98

Morneau P.

7/4/98

9 pp.

Application under Federal Court Act, s. 18.2 for interim stay of effect of payment order served under Canada Labour Code, s. 251.1-Applicant served with payment order for $704,853 as director of Socanav Inc., company deemed bankrupt on September 20, 1986-144 respondents all former Socanav employees owed moneys as unpaid vacation pay, wages in lieu of notice and severance pay-Applicant challenging constitutionality of Code, ss. 251.1, 251.11, 251.15, 251.18-Alleging excess of jurisdiction-Also alleging inability to pay amount and irreparable harm if required to pay-Application dismissed-Constitutional question not serious question, but excesses of jurisdiction imputed to inspector making payment order could raise serious aspect to be argued-No irreparable harm-If applicant wrong on merits with respect to declarations sought, nothing in evidence he submitted indicating applicant would then have greater financial resources for purpose of appealing under Code, s. 251.11(2)-Nor should joint and several liability of other three directors be forgotten, or possibility insurers will agree to cover applicant with respect to director's liability-Applicant could also file notice of intent to make proposition under Bankruptcy and Insolvency Act-In any case, balance of convenience in respondents' favour-Federal Court Act, R.S.C., 1985, c. F-7, s. 18.2 (as enacted by S.C. 1990, c. 8, s. 5)-Canada Labour Code, R.S.C., 1985, c. L-2, ss. 251.1 (as enacted by S.C. 1993, c. 42, s.37), 251.11 (as enacted idem), 251.15 (as enacted idem), 251.18 (as enacted idem).

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