National Labor Relations Board v. Seedorff Masonry, Inc.
812 F.3d 1158
8th Cir.2016Background
- Seedorff Masonry, a masonry subcontractor, signed a 1988 agreement agreeing to be bound by QCBA collective-bargaining agreements (CBAs) and did not give the required 90‑day revocation notice before the 2010 QC Agreement took effect (a § 8(f) pre-hire CBA).
- Seedorff also had § 8(f) CBAs with the Laborers and historically assigned mason‑tending/equipment work to Laborers; Local 150 (Operators) disputed those assignments.
- Local 150 filed grievances (pay‑in‑lieu back‑pay claims) after arbitration split outcomes: an arbitrator found Seedorff properly assigned certain work to Laborers on the prison project but Local 150 pursued additional grievances.
- Seedorff sent an April 12, 2012 letter denying the existence of a current CBA with Local 150 and offering limited settlement; Local 150 then filed an unfair‑labor‑practice charge alleging repudiation of the 2010 QC Agreement.
- The NLRB ALJ and Board found Seedorff violated §§ 8(a)(5) and (1) by repudiating the 2010 QC Agreement and ordered back pay to Local 150 members; the Eighth Circuit denied enforcement and vacated the Board's Order.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Was Seedorff bound by the 2010 QC Agreement? | QCBA/Local 150: Seedorff had contractually agreed in 1988 to be bound by successor QCBA agreements and did not timely revoke that authorization. | Seedorff: It consistently informed Local 150 it was not bound and never consented to a CBA with Local 150. | Held: Substantial evidence supported that Seedorff was bound by the 2010 QC Agreement. |
| Did the April 12 letter constitute repudiation (§ 8(a)(5))? | Local 150: The letter was a clear and unequivocal repudiation of the CBA. | Seedorff: The letter merely asserted defenses and arbitration/§ 10(k) remedies were available; context shows no refusal to bargain. | Held: Court reversed Board — letter, in context, was not shown to be a repudiation; Board failed to analyze contract context and arbitrability. |
| Was the repudiation claim time‑barred under § 10(b)? | Local 150: Charge was timely; repudiation occurred with the April 2012 letter. | Seedorff: Earlier conduct (hiring Laborers, not paying Operator benefits) provided clear notice more than six months before charge. | Held: Court found the Board failed to consider repudiation by earlier conduct; if repudiation occurred prior to the § 10(b) window, complaint must be dismissed. |
| Does the single‑employee‑unit exception allow unilateral repudiation? | Local 150: The bargaining unit consisted of more than one Operator covered by the QC Agreement; Seedorff failed to prove single‑employee unit. | Seedorff: Had not employed Local 150 members for years (at most a single Operator at times) so Board lacks power to enforce a one‑person unit; thus repudiation defense applies. | Held: Court held the ALJ misallocated burdens and erred: Marsh’s testimony required the General Counsel to prove the unit had more than one employee; Board failed to resolve the overlapping‑coverage/practice issue. |
Key Cases Cited
- Jim McNeff, Inc. v. Todd, 461 U.S. 260 (1983) (§ 8(f) pre‑hire agreements permit bargaining absent majority status; context matters for repudiation)
- McKenzie Eng’g Co. v. NLRB, 303 F.3d 902 (8th Cir. 2002) (repudiation of § 8(f) agreements violates § 8(a)(5); look beyond contract language to practice and custom)
- McKenzie Eng’g Co. v. NLRB, 182 F.3d 622 (8th Cir. 1999) (in resolving jurisdictional disputes, Board may consider practice, usage, and custom)
- Cedar Valley Corp. v. NLRB, 977 F.2d 1211 (8th Cir. 1992) (automatic renewal in § 8(f) agreements can extend no‑repudiation rule; enforcing binding successor agreements)
- Litton Fin. Printing Div. v. NLRB, 501 U.S. 190 (1991) (arbitrability and contract interpretation standards; de novo review for repudiation determination)
- J.W. Peters, Inc. v. Bridge Workers, Local 1, 398 F.3d 967 (7th Cir. 2005) (recognizing single‑employee unit exception in § 8(f) context)
