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Bailey v. Callaghan
2012 U.S. Dist. LEXIS 80281
E.D. Mich.
2012
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Background

  • Unions, MEA and affiliates, sued MERC officials Challenging Act 53 amending PERA and payroll deductions.
  • Act 53 prohibited public school employers from using payroll deductions to collect union dues, effective immediately for some unions.
  • Some unions had collective bargaining agreements; others did not, affecting payroll-deduction continuation.
  • The action followed political and legislative developments in 2011–2012 surrounding Acts 4929 and 53 and related rhetoric.
  • Plaintiffs seek declaratory and injunctive relief, arguing equal protection and First Amendment violations.
  • Court granted preliminary injunction enjoining enforcement of Act 53 pending merits resolution.

Issues

Issue Plaintiff's Argument Defendant's Argument Held
Equal protection standard and rational basis Unions: Act 53 lacks rational basis to target unions. Defendants: Act 53 advances legitimate government interests adjusted by NLRA framework. Unions likely to prevail; no rational basis shown.
First Amendment burden on speech Act 53 burdens union speech and is underinclusive. Act 53 applies evenhandedly and is viewpoint-neutral. Unions likely to prevail; law burdens speech and is underinclusive.
Irreparable harm Loss of dues and advocacy revenue irreparably harms unions and speech. Harm is speculative and could be mitigated. Irreparable harm shown; First Amendment rights at stake.
Public interest and balance of harms Injury to constitutional rights outweighs potential harms to others. Injunction disrupts government interests and operations. Public interest favors injunction; harms minimal compared to rights at stake.

Key Cases Cited

  • Romer v. Evans, 517 U.S. 620 (1996) (rational basis review for non-suspect classifications and fundamental rights)
  • Ysursa v. Pocatello Education Association, 555 U.S. 353 (2009) (evenhanded, viewpoint-neutral payroll deduction restrictions; discusses scrutiny level)
  • United Food and Commercial Workers Local 99 v. Brewer, 817 F. Supp. 2d 1118 (D. Ariz. 2011) (underinclusive, discriminatory based on speaker; strict scrutiny applied)
  • Wisconsin Education Association Council v. Walker, 824 F. Supp. 2d 856 (W.D. Wis. 2012) (underinclusive restriction on payroll deductions; no sufficient justification)
  • Time Warner Cable, Inc. v. Hudson, 667 F.3d 630 (5th Cir. 2012) (application of heightened scrutiny to discriminate-against-voice regulation)
  • News America Pub., Inc. v. FCC, 844 F.2d 800 (D.C. Cir. 1988) (context for heightened scrutiny and broadcasting/speech regulation)
  • Bonnell v. Lorenzo, 241 F.3d 800 (6th Cir. 2001) (factors for preliminary injunction; balance and likelihood considerations)
  • Grandville Municipal Executive Ass’n v. City of Grandville, 453 Mich. 428 (1996) (Michigan PERA interpretation guided by NLRA precedents)
Read the full case

Case Details

Case Name: Bailey v. Callaghan
Court Name: District Court, E.D. Michigan
Date Published: Jun 11, 2012
Citation: 2012 U.S. Dist. LEXIS 80281
Docket Number: Case No. 12-CV-11504
Court Abbreviation: E.D. Mich.