103 Lab.Cas. P 11,687
INTERNATIONAL LONGSHOREMEN'S AND WAREHOUSEMEN'S UNION, LOCAL
32, Plaintiff-Appellant
v.
PACIFIC MARITIME ASSOCIATION and Crescent City Marine Ways
and Drydock Company, Inc., Defendants-Appellees,
and
National Labor Relations Board, Intervenor Appellee.
LOCAL 32, INTERNATIONAL LONGSHOREMEN'S AND WAREHOUSEMEN'S
UNION, Petitioner,
v.
NATIONAL LABOR RELATIONS BOARD, Respondent.
NATIONAL LABOR RELATIONS BOARD, Cross-Petitioner,
v.
LOCAL 32, INTERNATIONAL LONGSHOREMEN'S AND WAREHOUSEMEN'S
UNION, Cross-Respondent.
Nos. 84-4173, 84-7544 and 84-7646.
United States Court of Appeals,
Ninth Circuit.
Oct. 7, 1985.
Richard Z. Zuckerman, Leonard & Carder, San Francisco, Cal., for plaintiff-appellant.
Margery E. Lieber, Eric G. Moskowitz, Washington, D.C., Pat Wynns, Dean T. Zografos, William & Zografos, Seattle, Wash., for defendants-appellees.
Appeal from the United States District Court for the Western District of Washington.
On Petition to Review an Order of the National Labor Relations Board.
Before WALLACE, FARRIS and HALL, Circuit Judges.
FARRIS, Circuit Judge:
In No. 84-7544, Local 32 seeks review of the NLRB's order that the union cease its attempts to enforce an arbitrator's award. The arbitrator had awarded "time-in-lieu" payments against Jones Washington and Crescent City for work which the NLRB had already assigned to non-Local 32 workers. In No. 84-7646, the NLRB cross-applies for enforcement of its work assignment order, reported at 271 N.L.R.B. No. 123 (1984). In No. 84-4173, the union appeals the decision of the United States District Court for the Western District of Washington, which denied Local 32's motion to confirm the arbitration award.
Local 32 and the Pacific Maritime Association, an employer group, agreed that PMA members would employ exclusively Local 32 workers to perform certain longshoring activities. Two members of PMA, Crescent City and Jones Washington, were subsequently hired by Weyerhaeuser to move goods from shipside onto ships berthed at Weyerhaeuser's dock facility in Everett, Washington. The remainder of longshoring work, including handling lines and moving goods from warehouse to shipside, was performed by Weyerhaeuser's own employees--who were members not of Local 32, but of the Association of Western Pulp and Paper Workers.
About December 12, 1980, Weyerhaeuser closed its Thermo-Mechanical Mill adjacent to the Everett dock. Local 32 claimed that upon the closing of the Mill, the union's contract with Jones Washington and Crescent City required the companies to order Local 32 members to perform the longshoring tasks previously performed by Weyerhaeuser's AWPPW workers. To press its claim, on December 21 Local 32 engaged in a 45-minute work stoppage at the dock.
The resulting work dispute between Local 32 and AWPPW became the subject of both NLRB and arbitration proceedings. On December 29, Weyerhaeuser filed a charge with the NLRB, alleging that Local 32 had committed an unfair labor practice in violation of section 8(b)(4)(ii)(D) of the National Labor Relations Act, 29 U.S.C. Sec. 158(b)(4)(ii)(D). The charge alleged that Local 32 had illegally engaged in a "secondary" work stoppage which, while directed immediately at Jones Washington, had the underlying purpose of forcing Weyerhaeuser to assign the AWPPW's longshoring activities to Local 32 workers. The NLRB awarded the disputed work to the AWPPW in a proceeding under section 10(k) of the NLRA, 29 U.S.C. Sec. 160(k), and after Local 32 agreed to comply, the NLRB dismissed Weyerhaeuser's unfair labor practice charges.
Concurrent with these proceedings, the same dispute was moving through the grievance-arbitration mechanism provided for by the collective bargaining agreement between Local 32, Crescent City, and Jones Washington. An arbitration hearing was held prior to the NLRB's section 10(k) decision, but it was not until four months after the NLRB's section 10(k) decision that the arbitrator ruled that Local 32 employees should have been ordered to perform the AWPPW's stevedoring tasks. The arbitrator awarded Local 32 "time-in-lieu" payments for the work done by AWPPW, as damages for Crescent City and Jones Washington's alleged breach of their collective bargaining agreements.
Local 32 sought enforcement of the arbitration award by filing "payment-in-lieu" grievance claims and bringing suit under section 301(a) of the Labor Management Relations Act, 29 U.S.C. Sec. 185(a). The district court denied enforcement of the arbitration award, finding that it conflicted with the NLRB's prior section 10(k) decision.
Reacting to the union's section 301 suit to enforce the conflicting arbitration award, the NLRB reinstated Weyerhaeuser's unfair labor practice charge on October 23, 1981, and determined that Local 32's filing of "payment-in-lieu" claims and a section 301 suit constituted 1) a failure to comply with the Board's section 10(k) decision, and 2) a section 8(b)(4)(ii)(D) unfair labor practice in itself. Local 32 timely files a petition for review of the NLRB's decision and appeals the district court's refusal to confirm the arbitration award. The NLRB's cross-application for enforcement was consolidated in this appeal. We have jurisdiction under 29 U.S.C. Sec. 160(e), (f).
The issue in Nos. 84-7544 and 84-7646 is whether a union's attempt to enforce an arbitration award which is inconsistent with a prior section 10(k) proceeding constitutes 1) an unfair labor practice under section 8(b)(4)(ii)(D) of the NLRA, or 2) a failure to comply with the Board's section 10(k) determination. Our resolution of this issue is dispositive of Local 32's appeal in No. 84-4173.
I. Finding an unfair labor practice under Bill Johnson's Restaurants.
A. Applying the Bill Johnson's test.
In Bill Johnson's Restaurants, Inc. v. NLRB,
The Board held that the union's bringing of payment-in-lieu grievances and its filing of a section 301 suit to enforce the arbitrator's decision were "improperly motivated,"
B. Improper motivation--circumventing the section 10(k) determination.
The Board's finding of an improper desire to circumvent the section 10(k) determination is not arbitrary and capricious. The union's attempt to obtain payment for work to which it is not entitled would, if successful, completely undermine the section 10(k) work assignment. See International Association of Bridge, Structural & Ornamental Ironworkers, Local 395 v. Lake County, Indiana Council of the United Brotherhood of Carpenters et al.,
C. Lack of reasonable basis--the supremacy doctrine.
1. General principles.
It is well-established that the "supremacy doctrine" bars an arbitrator from making an award inconsistent with a NLRB determination. See e.g., Local Joint Executive Board v. Royal Center, Inc.,
In the precise context where a section 10(k) determination conflicts with an arbitrator's work assignment award, the Fifth and Sixth Circuits have held that the Board's section 10(k) determination must take precedence over a section 301 suit seeking to enforce an arbitrator's contrary award. See International Union of Operating Engineers, Local No. 714 v. Sullivan Transfer, Inc.,
The circuit courts' interest in finality of the Board's determinations and their refusal to "permit the rights and obligations of the parties to vary with the forum," Carpenters' Local Union No. 1846 v. Pratt-Farnsworth, Inc.,
2. Associated General Contractors is distinguishable.
Local 32 argues, however, that the supremacy doctrine is inapplicable here because the arbitrator's award does not conflict with the NLRB's section 10(k) decision. Local 32 contends that the instant case is controlled by Associated General Contractors of America, Inc. v. I.U.O.E., Local 701,
In AGC, Local 701 and AGC, an employer group, agreed that AGC members would only hire subcontractors who employed Local 701 workers to operate concrete pumps. A member of AGC hired Pump-Con, even though Pump-Con had already contracted to employ only Teamsters to operate the pumps. In the resulting work dispute between Local 701 and the Teamsters, an arbitrator awarded the work to Local 701 members. The NLRB subsequently awarded the same work to the Teamsters. Local 701 then sought a declaratory injunction to bar AGC members from subcontracting their concrete pump operations to companies which had already made exclusive employment agreements with the Teamsters.
We recognized that in many cases "a judgment in favor of the union which lost before the NLRB could place the employer 'between the devil and the deep blue.' " See AGC,
This line of reasoning is unavailable in the instant case. The party who owed the contractual duty to the union in AGC was also the primary employer--wielding complete control over the decision whether to hire a Local 701 subcontractor. In contrast, neither Jones Washington nor Crescent City can compel Weyerhaeuser to assign all longshoring activities to themselves or to Local 32 members; it is Weyerhaeuser which holds the power to hire and fire, and Weyerhaeuser has no contractual obligations to Local 32. To allow Local 32 to pressure either Jones Washington or Crescent City to pressure Weyerhaeuser could be to allow the union to exert "secondary" pressure, potentially an unfair labor practice under section 8(b)(4)(ii) of the NLRA.
A second key difference between the instant case and AGC is that here the section 10(k) work assignment is unconditional. The Board's order states that "Employees of Weyerhaeuser Company, who are represented by Association of Western Pulp and Paper Workers, Local 10, are entitled to perform the work of handling of cargo from the warehouse or last point of rest to shipside and the tying up and casting off of lines." This unqualified assignment of work would conflict with any attempt by any of the parties involved to assign the stated work to members of Local 32.
In contrast, the NLRB order in AGC covered "all situations in which members of the [subcontractors' association which had contracted with the Teamsters] performed concrete pumping work for AGC contractors." AGC,
We therefore conclude that AGC is distinguishable and that the arbitrator's award here conflicts with the NLRB's section 10(k) assignment of work to the AWPPW.1
Because the union is barred by the supremacy doctrine from enforcing the arbitrator's award, there is no "reasonable basis in law" for its grievance and section 301 claims. Bill Johnson's,
II. The Board's finding is supported by existing interpretations of section 8(b)(4)(ii).
A. Interpretations of coercion.
Apart from Bill Johnson's, our previous interpretations of section 8(b)(4)(ii) support the Board's finding. Section 8(b)(4)(ii)(D) of the NLRA makes it an unfair labor practice for a union to "threaten, coerce, or restrain any person" with the objective of "forcing or requiring any employer to assign particular work to employees in a particular labor organization." 29 U.S.C. Sec. 158(b)(4)(ii)(D). We have interpreted the scope of section 8(b)(4)(ii) pragmatically, looking to the "coercive nature of the conduct, whether it be picketing or otherwise," NLRB v. International Brotherhood of Electrical Workers,
Under this standard, we have held that a union may not enforce an arbitrator's award of in-lieu payments when the effect is to encourage a neutral employer to pressure the primary employer to hire union employees. Id. at 436, 438. Similarly, we have found that "the mere filing of" a retaliatory lawsuit by a union against its own members may amount to "coercion" under section 8(b)(1)(A), even if the suit is prosecuted in good faith or would be barred on the merits by res judicata. United Stanford Employees, Local 680 v. NLRB,
B. Suits to enforce contractual rights.
We are aware that several circuit court and NLRB decisions have held that section 8(b)(4)'s "coercion" bar does not prevent a union from bringing a lawsuit to enforce its contractual rights. See Carrier Air Conditioning Co. v. NLRB,
In none of these cases, however, would the enforcement of the union's contract in court have resulted in a conflict with an existing section 10(k) Board determination. Thus, these decisions were never required to resolve the conflict between the policy of encouraging dispute resolution through the courts and the countervailing labor policy considerations of the supremacy doctrine. Instead, these decisions dealt with "arguably meritorious" claims that had not been precluded by a contrary NLRB determination, see National Association of Broadcast Employees,
We therefore uphold the NLRB's finding of a section 8(b)(4)(ii)(D) violation. Because the section 10(k) order expressly requires the union to refrain from using "means proscribed by Section 8(b)(4)(D)," the Board's finding of noncompliance is also affirmed.
III. The district court's refusal to confirm the arbitration award.
In granting the NLRB's motion to dismiss in No. 84-4173, the district court considered evidentiary matters beyond Local 32's complaint, including affidavits and exhibits. Accordingly, we view the district court's judgment as one of summary judgment under Fed.R.Civ.P. 56, see Retail Clerks Union Local 648 v. Hub Pharmacy, Inc.,
In light of our preceding discussion of the supremacy doctrine, see supra, section I-C, we must uphold the district court's refusal to confirm an arbitration award which conflicts with an NLRB section 10(k) work assignment. Local 32 argues, however, that the applicable state statute of limitations precludes Crescent City and the NLRB from even raising the "supremacy doctrine" as a defense.
Several decisions in this and other circuits have held that a party's failure to petition to vacate an arbitration award within the relevant statutory limitations period will preclude the assertion of affirmative defenses in a subsequent action to confirm the award. See, e.g., Florasynth, Inc. v. Pickholz,
Although we have held that "[o]rdinarily, a party opposing an arbitration award must move to vacate the award or be barred from further legal action," Sheet Metal Workers,
At the outset, we note that the rule by its own terms is limited to a "party" to the arbitration. See id. The NLRB was not a party to the arbitration. Nor has the rule been applied in the past against the NLRB, which acts not merely as a private party but as the primary determiner and enforcer of federal labor policy.
More importantly, Congress intended to make the section 10(k) proceeding the "peaceful and binding" final determination of a disputed work assignment, see NLRB v. Radio and Television Broadcast Engineers Union, Local 1212,
Finally, in Carey the Supreme Court stated in dicta that the NLRB's superior section 10(k) authority could be invoked "at any time." Carey,
We therefore hold that the failure to move to vacate an arbitration award within the applicable limitations period does not preclude a prior or subsequent section 10(k) decision from invalidating a contrary arbitration award. "The power of the federal courts to enforce the terms of private agreements is at all times exercised subject to the restrictions and limitations of the public policy of the United States as manifested in ... federal statutes.... Where the enforcement of private agreements would be violative of that policy, it is the obligation of courts to refrain from such exertions of judicial power." Kaiser Steel Corp. v. Mullins,
Because the Washington statute of limitations does not bar Crescent City or the NLRB from raising the supremacy doctrine, the district court's refusal to confirm the arbitration award is affirmed.
IV. Conclusion.
The policies underlying the supremacy doctrine, as enunciated by the Supreme Court in Carey and the overwhelming body of circuit and district court decisions, indicate that a section 10(k) decision must be given precedence over an arbitrator's contrary decision. These same policies prevent a private party's failure to timely move to vacate an arbitration award from foreclosing the subsequent use of the supremacy doctrine to overturn the award.
Because Local 32 is barred by the supremacy doctrine from enforcing the arbitrator's award, there can be no "reasonable basis in law" for its grievance and section 301 suits. Bill Johnson's,
We therefore affirm the Board's finding that Local 32 committed an unfair labor practice and failed to comply with the Board's section 10(k) decision; grant the Board's application for enforcement of its section 10(k) decision; and affirm the district court's refusal to confirm the arbitration award.
No. 84-4173: AFFIRMED.
No. 84-7544: AFFIRMED.
No. 84-7646: ENFORCEMENT GRANTED.
Notes
We have held that an NLRB decision will not be given preclusive effect if it did not "fully compl[y] with the standards of procedural and substantive due process that attend a valid judgment by a court...." Edna Pagel, Inc. v. Teamsters Local Union No. 595,
