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F. Ray MARSHALL, Secretary of Labor, U. S. Department of Labor, Petitioner-Appellee, v. ABLE CONTRACTORS, INC., Respondent-Appellant
573 F.2d 1055
9th Cir.
1978
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PER CURIAM:

Ablе Contractors (Able) appeals from a district court order compelling it to submit to inspections under the Occupational Safety and Health Act (OSHA), 29 U.S.C. § 651, et seq. 1 The Secretary of Labor sought the injunction after Able on severаl occasions refused inspectors access to its premises and worksites.

The crux of Able’s defense was that before inspections under § 657(a) can proceed the Secretary must prove that Able is an emрloyer “engaged in a business affecting commerce,” [§ 652(5)] and therefore subject to OSHA’s coverage. Able argues that the Secretary must resort ‍‌​​‌​​‌​​​​​​‌​​‌​​​‌‌​​‌​​‌​​‌​‌​‌‌​​​‌​‌​‌​​‌​‍to a pre-inspection evidentiary hearing, utilizing his § 657(b) subpoena powers when statutory coverage is in issue. It is also asserted that Congress would be exceeding its constitutional powers to authorize inspections without a prior showing of coverage under the Act.

Abie’s defense is without merit. Requiring such a hearing would totally frustrate OSHA’s express objective of establishing a system оf inspections executed without undue delay or advance notice. See §§ 657(a), 666(f). Furthermore, the Secretary’s resort to his § 657(b) powers is, by the statute’s very terms, discretionary.

*1057 Moreover, it is hardly a novel proposition that an аdministrative agency can utilize its investigatory or subpoena powers ‍‌​​‌​​‌​​​​​​‌​​‌​​​‌‌​​‌​​‌​​‌​‌​‌‌​​​‌​‌​‌​​‌​‍and that a federal court can grant relief to aid it in doing so without a prior conclusive showing of statutory coverage. See Oklahoma. Press Publishing Co. v. Walling, 327 U.S. 186, 66 S.Ct. 494, 90 L.Ed. 614 (1946); Endicott-Johnson Corp. v. Perkins, 317 U.S. 501, 63 S.Ct. 339, 87 L.Ed. 424 (1943); Federal Maritime Comm’n v. Port of Seattle, 521 F.2d 431 (9th Cir. 1975).

Generally the agency should make the initial determination of its own jurisdiction. State of Cal. ex rel. Christensen v. F. T. C., 549 F.2d 1321 (9th Cir. 1977). Primary jurisdiction to determinе questions of OSHA coverage" is lodged in the statutorily created organ fоr hearing appeals of OSHA violation citations, the Occupational Safety and Health Review Commission. Matter of Restland Memorial Park, 540 F.2d 626 (3rd Cir. 1976). Able should raise the question of statutory coverage in an administrative appeal ‍‌​​‌​​‌​​​​​​‌​​‌​​​‌‌​​‌​​‌​​‌​‌​‌‌​​​‌​‌​‌​​‌​‍contesting the validity оf any citation it may receive as a result of OSHA inspections.

Before a federal court reviews the question of OSHA jurisdiction, sound judicial policy requires that Able exhaust its administrative remedies. Parisi v. Davidson, 405 U.S. 34, 92 S.Ct. 815, 31 L.Ed.2d 17 (1972); State of Cal. ex rel. Christensen v. F. T. C., supra; Am. Fed. of Gov’t Employеes, Local 1668 v. Dunn, 561 F.2d 1310 (9th Cir. 1977). See also Lone Star Cement Corp. v. F. T. C., 339 F.2d 505 (9th Cir. 1964).

Application of the exhaustion of remedies doctrine is appropriate here. Able would not be exposed to irreparable injury by a requirement ‍‌​​‌​​‌​​​​​​‌​​‌​​​‌‌​​‌​​‌​​‌​‌​‌‌​​​‌​‌​‌​​‌​‍that it first contest in an administrative forum whether it is within OSHA’s rеach. There appears to be little doubt about jurisdiction, 2 and the administrative agency is particularly competent to consider the quеstion of statutory coverage. State of California ex rel. Christensen v. F. T. C., supra; Lone Star Cement Corp. v. F. T. C., supra, 339 F.2d at 510 citing 3 K. Davis, Administrative Law Treatise § 20.03 (1958 ed.).

Able raises for the first time on apрeal the issue whether OSHA inspections are searches subject to thе reasonableness requirements of the Fourth Amendment. ‍‌​​‌​​‌​​​​​​‌​​‌​​​‌‌​​‌​​‌​​‌​‌​‌‌​​​‌​‌​‌​​‌​‍Specifically it argues that the Secretary’s inspectors must first obtain a search warrant on probable cause before they can demand access to Abie’s premises.

At no point in the proceedings below was the Fourth Amendmеnt issue raised. Able’s sole objection to the inspections, until it drafted its brief for this appeal, was that it had not been proven to be an emplоyer affecting commerce prior to the attempts to compel obedience to the statute. Because it never raised the issuе below, we hold that its Fourth Amendment claim was not timely asserted and was waived for purposes of this appeal. Usery v. Godfrey Brake & Supply Service, 545 F.2d 52 (8th Cir. 1976). Accordingly, we do not address the search and seizure issue.

The judgment of the district court is affirmed.

Notes

1

. All references to statutory sections, unless оtherwise noted, are to Title 29, United States Code.

2

. We have previously recognized that when Congress enacted OSHA it intended to exercise its commerce clause powers to the fullest extent. Godwin v. Occupational Safety and Health Review Commission, 540 F.2d 1013, 1015 (9th Cir. 1976).

Case Details

Case Name: F. Ray MARSHALL, Secretary of Labor, U. S. Department of Labor, Petitioner-Appellee, v. ABLE CONTRACTORS, INC., Respondent-Appellant
Court Name: Court of Appeals for the Ninth Circuit
Date Published: Jan 10, 1978
Citation: 573 F.2d 1055
Docket Number: 76-1615
Court Abbreviation: 9th Cir.
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