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T-3578-79
Attorney General of Canada (Applicant) v.
Peter Cumming as a member of the Human Rights Tribunal constituted under the Canadian Human Rights Act and Canadian Human Rights Commis sion and Roberta Bailey, William Carson, Réal Pellerin and Michael McCaffrey (Respondents)
Trial Division, Thurlow A.C.J.—Ottawa, July 27 and 31, 1979.
Prerogative writs — Prohibition — Human rights — Income tax — Tribunal named to investigate complaints of discrimination, as prohibited under Canadian Human Rights Act, occurring as result of application and enforcement of the Income Tax Act — Complaints dealt with sexual discrimina tion in provisions relating to child care, and with discrimina tion as to marital status in provision providing for deductions for spouse — Application to prevent respondent Tribunal from inquiring into complaints — Canadian Human Rights Act, S.C. 1976-77, c. 33, ss. 3, 4, 5, 31, 32(1), 33, 35(1), 36(3), 39(1), 40(1),(2),(6), 41(1),(2) — Income Tax Act, S.C. 1970- 71-72, c. 63, ss. 63(1), 109(1).
This is an application for a writ of prohibition to prevent respondent, Peter Cumming, acting in his capacity as a Human Rights Tribunal, under the Canadian Human Rights Act, from inquiring into complaints made to the Human Rights Commis sion by respondents Bailey, Carson, Pellerin and McCaffrey. In the cases of Bailey and Carson, the complaint is that the Canadian Government through Revenue Canada Taxation engaged in a discriminatory practice by not allowing Roberta Bailey to claim her common law husband, William Carson, as a dependant on her income tax because of her marital status. Respondents Pellerin and McCaffrey allege that Revenue Canada Taxation discriminated against males in administering and enforcing section 63 of the Income Tax Act dealing with child care expenses. The Commission, after a preliminary investigation, came to the conclusion that what is alleged in the complaints is fit subject-matter for an inquiry before a Human Rights Tribunal under the Act.
Held, the application is dismissed. The Commission did not act beyond its authority under subsection 39(1) in appointing the Tribunal. Sections 40 and 41 confer on the Tribunal the authority to hold an inquiry and at its conclusion to determine the whole question whether or not any of the discriminatory practices alleged in the complaints had been established, including any question that might be involved therein as to whether or not the conduct complained of and established was capable in law of being discrimination prohibited by the Act. In assessing taxes under the Income Tax Act the Department of National Revenue is engaged in the provision of services within the meaning of section 5 of the Canadian Human Rights Act. The Canadian Human Rights Act is cast in wide terms and
both its subject-matter and its stated purpose suggest that it not be interpreted narrowly or restrictively. The present situation involves the question whether or not in providing a service to the public the carrying out by the Department of a law which differentiates on prohibited bases is in itself unlawful discrimi nation within the meaning of the Canadian Human Rights Act. If it happens that that question or some narrower version of it is the only question that is required to be decided in order to reach a conclusion, it is a question that does not go to the Tribunal's jurisdiction to deal with the complaints but is one for the Tribunal to decide, to the extent that it may be necessary to do so, to reach its conclusions as to whether unlawful discrimi nation has been established on the facts elicited at the inquiry.
Lodge v. Minister of Employment and Immigration [1979] 1 F.C. 775, referred to. Bell v. The Ontario Human Rights Commission [1971] S.C.R. 756, referred to. Re CIP Paper Products Ltd. and Saskatchewan Human Rights Commission (1978) 87 D.L.R. (3d) 609, referred to.
APPLICATION. COUNSEL:
T. B. Smith, Q.C. and M. L. Jewett for applicant.
Robert Nelson and George Addy for respond ent Peter Cumming.
R. Juriansz for respondent Canadian Human Rights Commission.
No one appearing for respondents Roberta Bailey, Réal Pellerin, William Carson.
R. MacKay for respondent Michael McCaf- frey.
SOLICITORS:
Deputy Attorney General of Canada for applicant.
Gowling & Henderson, Ottawa, for respond ent Peter Cumming.
Canadian Human Rights Commission Gener al Counsel, Ottawa, for respondent on its own behalf.
Robin D. MacKay, Ottawa, for respondent Michael McCaffrey.
The following are the reasons for judgment delivered orally in English by
THURLOW A.C.J.: This is an application for a writ of prohibition to prevent the respondent, Peter Cumming, acting in his capacity as a Human Rights Tribunal, under the Canadian Human
Rights Act' from inquiring into complaints made to the Canadian Human Rights Commission by the respondents, Roberta Bailey, William Carson, Réal J. Pellerin and Michael McCaffrey. The application was opposed by counsel for the Canadian Human Rights Commission, for Peter Cumming and for Michael McCaffrey. The other respondents did not appear and were not represented.
In the cases of Roberta Bailey and William Carson the complaint is that the Canadian Gov ernment through Revenue Canada Taxation on or about May 30, 1978 is engaging or has engaged in a discriminatory practice in the matter of not allowing Roberta Bailey to claim William Carson as a dependant on her income tax because of marital status. As details, it was stated that the complainants felt that Revenue Canada was dis criminating against Roberta Bailey because they are not married and "that Revenue Canada is also putting us through undue financial hardship."
With respect to the subject-matter of these com plaints it may be noted that section 109 of the Income Tax Act [R.S.C. 1952, c. 148 as amended by S.C. 1970-71-72, c. 63] provides:
109. (1) For the purpose of computing the taxable income of an individual for a taxation year, there may be deducted from his income for the year such of the following amounts as are applicable:
(a) in the case of an individual who, during the year, was a married person who supported his spouse, an amount equal to the aggregate of
(i) $1,600, and
(ii) $1,400 less the amount, if any, by which the spouse's income for the year while married exceeds $300;
Pellerin's complaint is that:
... the Government of Canada through Revenue Canada on or about 1976 & 1977 & 1978, is engaging or has engaged in a discriminatory practice in the matter of allowing child care expenses to fathers because of refusing to allow me to deduct such expenses from my 1976 Income Tax Return. The details of this complaint are as follows:
My wife and I seperated [sic] without a formal agreement; I retained custody of our child. The Revenue Canada authorities refused my claim for child care expenses because there was no seperation [sic] agreement at that time They would not take this position towards a woman.
' S.C. 1976-77, c. 33.
McCaffrey's complaint is similar in substance. It alleges that Revenue Canada is engaging or has engaged in a discriminatory practice on or about March 19, 1978 because of sex, the particulars of which are:
Disallowing child care expense because I have no written separation agreement and because I am a male mother.
With respect to the subject-matter of these com plaints, subsection 63(1) of the Income Tax Act provides:
63. (1) There may be deducted in computing the income for a taxation year of a taxpayer who is
(a) a woman, or (8) a man
(i) who at any time in the year was not married,
(ii) who at any time in the year was separated from his wife pursuant to a decree, order or judgment of a com petent tribunal or pursuant to a written agreement,
amounts paid by the taxpayer in the year as or on account of child care expenses in respect of the taxpayer's children, to the extent that
The material before the Court on which the matter is to be decided consists of:
(1) An affidavit of an assistant deputy minister of the Department of National Revenue (Taxa- tion) exhibiting copies of correspondence be tween the Canadian Human Rights Commission and the Department relating to the complaints including copies of the complaints, notice of the decision of the Commission on the complaint of Roberta Bailey and William Carson and notices of dates when the Tribunal would inquire into the four complaints.
(2) An affidavit of the Chief Commissioner of the Canadian Human Rights Commission exhibiting a copy of the notice of the decision of the Commission on the Pellerin and McCaffrey complaints.
(3) An affidavit of the respondent McCaffrey which verifies the disallowance by the Depart ment of National Revenue of his claim for a deduction in respect of child care expenses, that he lives separate and apart from his wife and that there is no written separation agreement between them. The deponent expresses the view that in his identical circumstances a woman
would be able to deduct the child care expenses. He also exhibits a copy of a publication of the Department of National Revenue which refers to the tax assessment process as a service and confirms his belief that the Department is pro viding services.
In the case of the Bailey and Carson complaints the body of the notice of the Commission's deci sion reads as follows:
The Complainants have alleged that the Respondent has engaged in a discriminatory practice under section 5 of the Canadian Human Rights Act in that he has adversely differen tiated against Roberta Bailey in the allowance of deductions from income for the purposes of income tax assessment.
Investigation disclosed that Roberta Bailey is a single tax payer who lives in a stable common law relationship with William Carson. William Carson has no income and is fully supported by Roberta Bailey.
In March of 1978 Roberta Bailey filed an income tax return for her income of 1977 claiming William Carson as a depend ent and therefore a deduction of $1,400.00. On June 1, 1978 Roberta Bailey received a letter from Revenue Canada disal lowing her claim as section 109(1) of the Income Tax Act provides that the deduction of $1,400.00 is available only to a "married person who supported his spouse".
The Canadian Human Rights Commission is satisfied that the complaint has been substantiated in that the Income Tax Act differentiates adversely and the Respondent, by applying section 109(1) of the Income Tax Act has differentiated adversely in relation to Roberta Bailey on the ground of marital status. The Commission hereby adopts the Investigator's Report and will appoint a Human Rights Tribunal to inquire into this complaint.
With respect to the Pellerin and McCaffrey complaints the notice of decision said:
Real J. Pellerin filed a complaint with the Canadian Human Rights Commission against the Respondent on February 5, 1979. Michael McCaffrey filed a complaint with the Canadian Human Rights Commission against the Respondent on March 27, 1979. The Canadian Human Rights Commission initiated a complaint against the Respondent on May 28, 1979. 2 The Commission is satisfied that these complaints involve substan tially the same issues of fact and law and will deal with these complaints together. The complaints allege that Her Majesty the Queen, as represented by the Minister of National Reve nue, adversely differentiates against males by administering and enforcing section 63 of the Income Tax Act.
2 The complaint initiated by the Commission is not included in the material before the Court and is not referred to in the originating notice of this application.
Investigation disclosed that section 63(1) of the Income Tax Act prescribes conditions that a man must satisfy before he is allowed to deduct child care expenses in computing his income for a taxation year. Section 63(1) does not require a woman to satisfy these conditions before she is allowed to deduct child care expenses in computing her income for a taxation year. The Respondent disallowed the Complainants Pellerin's and McCaffrey's claims for deductions for child care expenses for the taxation year 1977. The Complainant's claims would have been allowed had they been women.
The Commission hereby adopts the Investigators' Reports and decides that a Human Rights Tribunal will be appointed to determine whether the administration and enforcement of sec tion 63 of the Income Tax Act constitutes a discriminatory practice under section 5 of the Canadian Human Rights Act.
What these decisions amount to, as I understand the Act, is that the Commission, after a prelim inary investigation, has' come to the conclusion that what is alleged in the complaints is fit subject- matter for an inquiry before a Human Rights Tribunal under the Act and has decided to appoint such a tribunal in the one instance "to inquire into the complaint" and in the other "to determine whether the administration and enforcement of section 63 of the Income Tax Act constitutes a discriminatory practice under section 5 of the Canadian Human Rights Act."
The applicant's position is that in making income tax assessments, the Department of Na tional Revenue is not providing a service within the meaning of section 5, but that even if that is a service of the kind referred to, it is not the Depart ment which differentiates on the basis of marital status or sex but the law as set out in the Income Tax Act, which it is the Department's duty to follow, that any relief of a kind which it is open to a Human Rights Tribunal to afford, under section 41, would involve conflict with the provisions of the Income Tax Act and an abrogation or altera tion of the law therein set out, which was not intended by the Canadian Human Rights Act and which, if it were intended, would be ultra vires. Counsel, therefore, asked the Court to prohibit the proposed proceedings before the Human Rights Tribunal.
The provisions and scheme of the Canadian Human Rights Act were recently summarized in
the reasons for judgment of the Court of Appeal in Lodge v. Minister of Employment and Immigra tion,' and I need not repeat what is there set out. The Act is entitled "An Act to extend the present laws in Canada that proscribe discrimination and that protect the privacy of individuals". Its pur pose to the same effect is set out in section 2. By section 3, both marital status and sex are declared to be prohibited grounds of discrimination. By section 4, a discriminatory practice, as described in sections 5-13, may be the subject of a complaint under Part III and anyone found to be engaging in or to have engaged in a discriminatory practice may be made subject to an order as provided in sections 41 and 42.
Under section 5, which is the only one of the group of nine sections defining discriminatory practices which appears to have any possible application to the complaints in question, it is provided that:
5. It is a discriminatory practice in the provision of goods, services, facilities or accommodation customarily available to the general public
(a) to deny, or to deny access to, any such good, service, facility or accommodation to any individual, or
(b) to differentiate adversely in relation to any individual, on a prohibited ground of discrimination.
With respect to procedure and jurisdiction in respect of complaints Part III provides:
31. For the purposes of this Part, a "discriminatory prac tice" means any practice that is a discriminatory practice within the meaning of sections 5 to 13.
32. (1) Subject to subsections (5) and (6), any individual or group of individuals having reasonable grounds for believing that a person is engaging or has engaged in a discriminatory practice may file with the Commission a complaint in a form acceptable to the Commission.
33. Subject to section 32, the Commission shall deal with any complaint filed with it unless in respect of that complaint it appears to the Commission that
(a) the alleged victim of the discriminatory practice to which the complaint relates ought to exhaust grievance or review procedures otherwise reasonably available; or
(b) the complaint
(i) is one that could more appropriately be dealt with, initially or completely, according to a procedure provided for under an Act of Parliament other than this Act,
(ii) is beyond the jurisdiction of the Commission,
(iii) is trivial, frivolous, vexatious or made in bad faith, or
3 [1979] 1 F.C. 775.
(iv) is based on acts or omissions the last of which occurred more than one year, or such longer period of time as the Commission considers appropriate in the circum stances, before receipt of the complaint.
35. (1) The Commission may designate a person (herein- after referred to as an "investigator") to investigate a complaint.
36....
(3) On receipt of a report mentioned in subsection (1), the Commission
(a) may adopt the report if it is satisfied that the complaint to which the report relates has been substantiated and should not be referred pursuant to subsection (2) or dismissed on any ground mentioned in subparagraphs 33(b)(ii) to (iv); or
(b) shall dismiss the complaint to which the report relates if it is satisfied that the complaint has not been substantiated or should be dismissed on any ground mentioned in subpara- graphs 33(b)(ii) to (iv).
It will be observed that section 33 is mandatory in requiring the Commission to deal with a com plaint unless it appears to the Commission, inter alia, that the complaint is beyond its jurisdiction. Paragraph 36(3)(b) is also mandatory and again by reference requires the Commission to dismiss the complaint if it appears to the Commission that the complaint is beyond its jurisdiction. By infer ence, if the complaint is not dismissed on any of the grounds mentioned, the Commission must con tinue to deal with it under other provisions of the Act. From the material on file, it is apparent that in the present instances the Commission did deal with the complaints by appointing investigators and, subsequently, approving their reports and then under section 39 appointing Mr. Cumming as a tribunal. It is also to be inferred from the fact that the Commission did not dismiss the com plaints under paragraph 36(3)(b) that it did not appear to the Commission that the complaints were beyond its jurisdiction and that the Commis sion considered that further steps should be taken with regard to them.
With respect to tribunals the following sections are relevant:
39. (1) The Commission may, at any stage after the filing of a complaint, appoint a Human Rights Tribunal (hereinafter in this Part referred to as a "Tribunal") to inquire into the complaint.
40. (1) A Tribunal shall, after due notice to the Commis sion, the complainant, the person against whom the complaint
was made and, at the discretion of the Tribunal, any other interested party, inquire into the complaint in respect of which it was appointed and shall give all parties to whom notice has been given a full and ample opportunity, in person or through counsel, of appearing before the Tribunal, presenting evidence and making representations to it.
(2) The Commission, in -appearing before a Tribunal, pre senting evidence and making representations to it, shall adopt such position as, in its opinion, is in the public interest having regard to the nature of the complaint being inquired into.
(6) A hearing of a Tribunal shall be public, but a Tribunal may exclude members of the public during the whole or any part of a hearing if it considers such exclusion to be in the public interest.
41. (1) If, at the conclusion of its inquiry, a Tribunal finds that the complaint to which the inquiry relates is not substan tiated, it shall dismiss the complaint.
(2) If, at the conclusion of its inquiry, a Tribunal finds that the complaint to which the inquiry relates is substantiated, subject to subsection (4) and section 42, it may make an order against the person found to be engaging or to have engaged in the discriminatory practice and include in such order any of the following terms that it considers appropriate:
In my opinion the Commission did not act beyond its authority under subsection 39(1) in appointing the Tribunal. It might have done so at any stage after the filing of the complaints. In these cases, it did so at the stage where an investigation had been held and the investigator's report had been approved. If, as I think, the constitution of the Tribunal was within the authority of the Commis sion, the effect of sections 40 and 41 was to confer on the Tribunal the authority to hold an inquiry and at its conclusion to determine the whole ques tion whether or not any of the discriminatory practices alleged in the complaints had been estab lished, including any question that might be involved therein as to whether or not the conduct complained of and established was capable in law of being discrimination prohibited by the Act.
It appears to me that in substance what the Court is being asked to do on this application is to pre-empt the Tribunal and to decide a question that the statute gives the Tribunal the authority to decide. To accede to the application involves a decision that what is complained of cannot be unlawful discrimination, that the Tribunal can only dismiss the complaints and that, therefore, the Tribunal has no jurisdiction to hold its inquiry or even to decide that unlawful discrimination has
not been established and that the complaint should be dismissed.
The Court is undoubtedly entitled, when the jurisdiction of an inferior tribunal turns on a clear and severable question of law arising on undisput ed facts, to decide that point of law and, if the conclusion from it is that the Tribunal does not have jurisdiction, to prohibit the Tribunal from proceeding. See Bell v. The Ontario Human Rights Commission 4 . But, as pointed out in Re CIP Paper Products Ltd. and Saskatchewan Human Rights Commission` per Culliton C.J.S. at page 612:
Care must be taken not to give to the decision in Bell v. Ontario Human Rights Com'n, supra, too wide an application. That case simply decided that, where there is a clear point of law not depending upon particular facts upon the determination of which the jurisdiction of the tribunal depends, that determi nation may be made in an application for prohibition. That judgment did not decide that prohibition lies on the contention that the complaint is one which cannot be sustained within the provisions of the Act in respect to which the complaint is made. The decision as to whether the complaint is one which is contemplated by the pertinent legislation, and, if so, whether discrimination is, or is not, established, are matters for the Human Rights Commission. Such statutory rights and duties of the Commission cannot be usurped by the Court under the guise of prohibition proceedings in which is sought, in effect, a determination of the complaint on its merits.
Here there may well be questions of law that may arise on the complaints. There is the issue as to whether the Department of National Revenue, in assessing taxes, is engaged in the provision of services within the meaning of section 5 of the Canadian Human Rights Act. There is the ques tion whether, if the Department is engaged in the provision of services within the meaning of section 5, the Department's action in applying discrimina tory provisions of the Income Tax Act is in itself an unlawful discriminatory practice. If so, there is the question whether any of the kinds of relief specified in section 41 would be appropriate or ought to be afforded. This may involve the ques tion whether provisions of the Income Tax Act which discriminate on bases prohibited by the Canadian Human Rights Act have been pro tanto repealed. And there may be others.
With respect to the first of these questions, which appears to me to be one that goes to the
[1971] S.C.R. 756.
s (1978) 87 D.L.R. (3d) 609.
jurisdiction of the Tribunal, I am not prepared to accept the broad proposition that in assessing taxes under the Income Tax Act the Department of National Revenue is not engaged in the provision of services within the meaning of section 5 of the Canadian Human Rights Act. The statute is cast in wide terms and both its subject-matter and its stated purpose suggest that it is not to be interpret ed narrowly or restrictively. Nor do I think that discrimination on any of the bases prohibited by the Act cannot conceivably occur in the provision of such services to the public.
Apart from that broad question, what appears to me to be involved in the present situation is wheth er in providing a service to the public the carrying out by the Department of a law which differenti ates on prohibited bases is in itself unlawful dis crimination within the meaning of the Canadian Human Rights Act. It may be that these com plaints will involve little or nothing but that ques tion of law. But even if it turns out that that question or some narrower variation of it is the only question that requires to be decided in order to reach a conclusion, it appears to me to be a question which does not go to the Tribunal's juris diction to deal with the complaints but is one for the Tribunal to decide, to whatever extent it may be necessary to do so, to reach its conclusion as to whether on the facts elicited at the inquiry unlaw ful discrimination has been established. Nor do any of the other questions I have mentioned go to the jurisdiction of the Tribunal. If they arise, they will be for the Tribunal to decide.
In the Lodge case, supra, Le Dain J. at pages 785-786 of his reasons expressed the view that:
The question as to the extent, if any, to which the administra tion and application of federal statutes, whether regulatory in purpose or not, fall under the Canadian Human Rights Act is, of course, a serious one. There may be important distinctions to be drawn between different aspects of the public service, based on the facts established in each case. It is preferable, I think, that these questions should be determined in the first instance by the Commission, as section 33 would appear to intend, before a court is called upon to pronounce upon them.
That passage refers to the exercise of the func tions of the Commission rather than those of a tribunal but it seems to me that the same principle applies. The preferable course for the Court is to leave the Tribunal free to carry out its inquiries and not to prohibit it save in a case where it is
clear and beyond doubt that the Tribunal is with out jurisdiction to deal with the matter before it. In my opinion, the present is not such a case.
The application, therefore, fails and it will be dismissed with costs.
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