The Alberta Federation of Labour (AFL), the Canadian Civil Liberties Association and the city reached an agreement in Court of Queen's Bench Tuesday.
Lawyers agreed to adjourn the activists' applications to challenge a bylaw used to prevent protesters from gathering on city-owned property.
John Chaput, the city of Calgary's G-8 project manager, says he's working with the activists to make sure the picnic goes smoothly.
"I assume they'll have their picnic, some chants, some singing and some music, and hopefully when it's over everybody will go home peacefully and we'll all be happy at the end."
The AFL and civil liberties assocation will challenge the constitutionality of the Calgary bylaw later this year.
City lawyer Jon Gescher says the bylaw is constitutional. He says Calgary has every right to regulate the use of its public parks when there's an application for large-scale events.
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