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Court of Appeal held a society’s temporary committee exceeded its bylaws by imposing extra RAC eligibility criteria, and declared the February 2023 RAC invalid.
The Supreme Court held that courts may intervene in voluntary associations only where a legal right is at stake, and found no contract or jurisdiction here.
The court set aside expulsions and premises bans by Khalsa Diwan Society of Abbotsford for procedural unfairness, but refused a broader injunction.
The Court held that the appellants' membership applications, the payment commitment, and the Congregation's constitution and by‑laws gave rise to contractual rights and obligations enforceable by the courts; the motion judge erred in finding no underlying contract, there remain genuine issues as to whether the by‑laws' expulsion procedures were followed, and therefore summary judgment was inappropriate.
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The application judge correctly construed the deeds, ROLA, the Diocesan Statute and the Congregation's Bylaws and found that under ROLA s.3(2) and the Statute the Diocesan authorities validly appointed a Temporary Trusteeship which directs the trustees; there was no breach of provincial law and no enforceable individual beneficial ownership that would justify displacing the Temporary Trusteeship, therefore the appellants' declarations and relief were properly refused.
Source excerpt
The Court found on the evidence that (1) as an Official Worker and career missionary the Appellant had the status and authority of a regular minister within the CMAC, and (2) there was a sufficient nexus and appointment by the CMAC (via placement/secondment through the EFC and supported by the agency agreement with the WEF) such that the Appellant was engaged in full-time administrative service by appointment of a religious denomination; accordingly the appellant qualified for the paragraph 8(1)(c) clergy residence deduction and the assessment must be reconsidered.
Source excerpt
The Supreme Court of Canada set aside the expulsion of several Hutterite colony members, holding that notice and natural justice requirements were not met.
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