Sure, it is an interesting question. I lived in Montreal for several years myself and have some experience securing locations for films and music festivals. Overall, I think the city is fairly permissive compared to other cities when it comes to cultural events. Every weekend, there is some kind of festival blocking off the downtown city streets all summer long - the Jazz Festival, Gay Pride, Just for Laughs, and a dozen other events. Culture was everywhere but religion was nowhere. It was kind of awesome, to be honest.
OTOH, I found French Canadians in general to be somewhat intolerant of other cultures (especially Muslims) and hostile to the practice of religious observance in public spaces. I don't know whether I agree or disagree with that view - I am naturally inclined to prefer festivals that involve amazing, free music and beer in the streets to prayer meetings, so there's some inevitable bias involved. OTOH, I think it's up to them (the public) to decide how their property should be used. 86% of them claim to be Catholic, so I find it difficult to believe they're interested in persecuting Catholics by refusing permission to hold religious services in public buildings. Like I said, there are hundreds of beautiful churches in Montreal. The Catholics have way more elbow room than they know what to do with - more than they can pay for.
If the situation were different - i.e. if they had nowhere else to hold their services - I might think the terms of the rental agreement equated to the suppression of religion. In this case, though, it is a silly claim.
