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Legal challenges related to CWB advocacy

CWB seeks leave to appeal Federal Court of Appeal ruling on advocacy directive

On September 21, 2009, the CWB filed an application with the Supreme Court of Canada for leave to appeal a ruling on the Government of Canada's advocacy directive. The directive, initially issued in October 2006, prevents the CWB from spending money "advocating retention of the CWB's monopoly powers". At stake is the vital question of control of the CWB, according to CWB board chair Larry Hill. "Western Canadian farmers believe strongly that they, through their elected directors, are in charge of their grain-marketing organization," he said. A decision on the CWB's application for leave to appeal is expected in February or March 2010.

Below are copies of related documents filed by the CWB.

On July 23, 2009, the board of directors of the CWB decided to seek permission to appeal a ruling by the Federal Court of Appeal concerning the Government of Canada's advocacy directive.

On June 23, 2009, a ruling by the Federal Court of Appeal reinstated the Government of Canada directive preventing the CWB from spending money to advocate retention of its monopoly powers. The Federal Court of Appeal ruling sets aside a 2008 Federal Court Trial Division ruling that the directive was issued for an improper purpose.

On June 19, 2008, a ruling by the Federal Court of Canada overturned the Government of Canada's advocacy directive. Mr. Justice Roger Hughes said the government's directive was issued for an improper purpose and that it contravenes the Charter of Rights and Freedoms. He said the CWB's board of directors, not the government, is responsible for overseeing the expenditures of the corporation.

The CWB filed notice of its intention (PDF) to question the validity of the advocacy OIC on June 2, 2008.

Read the CWB's memorandum of fact and law.

Read a cabinet document entered as evidence that the advocacy directive was issued for an improper purpose.

The CWB's original application for judicial review of the OIC was filed on December 4, 2006. Links to related documents are posted below.

The case was heard concurrently with a CWB challenge of another OIC issued in January 2007, ordering the CWB to pay interim CEO Greg Arason a salary set by the federal government without proper consultation of the board of directors as directed by The Canadian Wheat Board Act.

Justice Hughes ruled this issue to be moot, as Mr. Arason has since been paid and is no longer employed by the CWB.

On December 4, 2006, the CWB filed an application in Federal Court for judicial review of a federal order-in-council issued to prohibit the CWB from spending funds for advocating retention of farmers' single-desk marketing system.

Below are copies of related documents filed by the CWB:

Notice of Application (516KB PDF)

Affidavit of Kenneth R. Ritter (314KB PDF)

Affidavit of Adrian C. Measner (1.3MB PDF)

On October 5, 2006, the Government of Canada issued a directive preventing the CWB from spending money "advocating retention of the CWB's monopoly powers". View the related Regulatory Impact Analysis Statement (RIAS).