Melody Rogers Miner (“Miner”) sued her employer Local 373, International Brotherhood of Teamsters (“Local 373”) for breach of a collective bargaining agreement (“CBA”) and her union Local 516, International Brotherhood of Teamsters (“Local 516”) for breach of its duty of fair representation under Section 301 of the Labor Management Relations Act (“LMRA”). Miner also asserted a breach of contract claim against Local 373. The district court granted summary judgment in favor of defendants. Plaintiff appeals, and we reverse.
I. BACKGROUND
Miner worked for Local 373 as an executive secretary from July 14, 1986, until September 14, 2005. During that period, Local 373 maintained an office in Ft. Smith, Arkansas and had three full-time employees, including a principal officer (Secretary/Treasurer) who was also a directing business agent, a second business agent and an executive secretary. Local 373 also employed a temporary clerical worker for an unspecified period of time. At the time Local 373 hired Miner, her father, Ott Rogers (“Rogers”), was the principal officer. In March or April of 1991, Miner approached Larry Garner
Article 46 of the Master Agreement provides that an employee can only be discharged for just cause and requires that an employee and the relevant Union receive at least one written warning notice before an employee’s discharge. Article 44 provides for the establishment of state or multi-state grievance committees to “adjust the disputes which cannot be settled between the Employer and the Local Union.” (J.A. at 204.) Further, article 45 provides that “[wjhere a State or Multiple State Committee, by a majority vote, settles a dispute no appeal may be taken to the Southern Region Area Grievance Committee. Such decision will be final and binding on both parties.” (Id. at 204.1.)
Miner paid Local 516 a fee of fifteen dollars per month from May 3, 1991, until August 1997. Between March 17, 1992, and August 10, 1993, Randall Sanderson (“Sanderson”) — who replaced Rogers as principal officer of Local 373 — wrote Garner on five occasions noting Local 373’s compliance with the wage increases required by the Addenda. The last written communication with respect to the Addenda before Miner’s discharge was a September 11, 1995, letter from Sanderson requesting Garner’s signature on two copies of a new Master Agreement effective from April 1,1994, until March 31,1998.
On May 25, 1995, the General President of the International Brotherhood of Teamsters (“IBT”) sent an electronic message called a Titan message (“1995 Titan”) to all Locals stating that one IBT Local cannot properly represent the interests of the employees of another IBT Local because of potential conflicts of interest. Therefore, the message prohibited any future agreements between one Local for the representation of another Local’s employees and provided that any such agreements then in effect were to be reviewed upon their expiration. Another Titan message from June 20, 1997, (“1997 Titan”) regarding dual unionism — in which IBT employees are members of an IBT Local and a non-IBT Union — referenced the conflict noted in the 1995 Titan and ordered all Locals to “issue honorable withdrawal cards ... to all employees and staff who are members of, or represented by, another labor organization and are also dues paying members of a [Local].”
Sanderson resigned as Local 373’s principal officer on April 17, 2005. Despite Miner’s interest in replacing Sanderson, Stacy Fox (“Fox”) was appointed to the position. Miner and Fox’s relationship was strained, and on May 2, 2005, Fox sent Miner home and terminated her employment by phone the next day. In response, on May 13, 2005, Miner sent a letter to Jerry Van Allen (“Van Allen”) — who had replaced Garner on July 1, 1998. In that letter, Miner sought a copy of the Addenda and requested that Local 516 process her
On July 14, 2005, Miner mailed Van Allen a copy of the Addenda that she allegedly found in her family Bible. The copy was signed by Rogers and Local 373’s Executive Board but not by Garner or another Local 516 representative. Miner also withdrew the NLRB charges. On July 18, 2005, Van Allen wrote to Fox indicating that he was “in possession of what [he] believe[d] to be a bonafide collective bargaining agreement between Teamsters Local 516 and Teamsters Local 373,” and requested a meeting to resolve Miner’s grievance. (J.A. at 278.) Van Allen also sent Fox a copy of the Addenda. Fox failed to respond, and on July 27, 2005, Van Allen sent another letter proposing an August 2, 2005, meeting date. That same day, Van Allen requested that Miner’s grievance be placed on the Southern Mul-ti-State Grievance Committee’s (“Committee”) August 2005 agenda. Fox responded to Van Allen’s letter on August 1, 2005, noting that in light of the 1995 Titan, Local 373 “cannot and does not recognize the purported office clerical collective bargaining agreement alleged to exist between Local 373 and Local 516, nor Local 516’s representative status in regard to Local 373 clerical employees in that context.” (J.A. at 367.)
On August 1, 2005, Van Allen notified Miner that the Committee would hear her grievance at its meeting in mid-September. At that meeting, which Miner did not attend, Fox, on behalf of Local 373, challenged the validity of the Addenda on a point of order. Van Allen presented a copy of the Addenda to the Committee and argued that Local 373 was bound by its terms. Local 373 offered a rebuttal and introduced the 1997 Titan message. After asking questions regarding Garner’s missing signature on the Addenda and Miner’s failure to pay fees after August 1997, the Committee upheld Local 373’s point of order.
On September 14, 2005, after the Committee dismissed Miner’s grievance, she obtained what she claimed to be her personal files from Local 373’s office. One of the files contained a copy of the Addenda with Garner’s signature.
Miner filed this action on November 10, 2005, asserting claims under Section 301 of the LMRA against Locals 373 and 516 and in the alternative for breach of contract against Local 373. The district court granted summary judgment to defendants on all claims. On appeal, Miner argues that genuine issues of material fact remain as to the existence of a CBA between
DISCUSSION
We review de novo the district court’s grant of summary judgment in favor of defendants.
Mayer v. Nextel W. Corp.,
A. Section 301(a)
Section 301(a) of the LMRA vests subject matter jurisdiction in the federal courts for “[s]uits for violation of contracts between an employer and a labor organization representing employees in an industry affecting commerce as defined by this Act, or between any such labor organizations.” 29 U.S.C. § 185(a). An employee can bring a “hybrid” action under Section 301(a) but must show that the employer breached the terms of a CBA and that the union breached its duty of fair representation under that CBA.
Scott v. UAW,
1. Validity of the Addenda
The existence of a valid contract between an employer and a labor organization is a necessary prerequisite for federal jurisdiction under Section 301(a). The district court determined that no contract existed between Locals 373 and 516 at the time of Miner’s discharge. In reaching its conclusion, the district court granted some deference to the Committee’s conclusion that the Addenda was invalid. The Locals argue that the Committee’s conclusion binds the court.
When there is no question about the validity and scope of a CBA, it is axiomatic that courts “should not undertake to review the merits of arbitration awards but should defer to the tribunal chosen by the parties finally to settle their disputes.”
Hines v. Anchor Motor Freight, Inc.,
We look to what the parties agreed upon to ascertain who determines whether a dispute is arbitrable.
See First Options of Chi., Inc. v. Kaplan,
Federal labor law governs a CBA’s validity, and we are not bound by technical rules of contract.
See Textile Workers Union v. Lincoln Mills,
Neither Titan message is self-executing by its terms. The 1995 Titan articulated the inherent conflict of interest that exists when one IBT Local represents employees of another IBT Local. The message, however, did not expressly disclaim any such existing agreements. Rather, the message provided that:
from this date forward no new bargaining relationship should be established covering the employees of a Teamster affiliate by another Teamster affiliate. In cases involving Teamsters Locals where collective bargaining agreements covering the employees of another local union currently apply, the Local Union shall conduct a review upon expiration of those agreements to determine whetherfederal labor law dictates the disclaimer of future representation of that unit.
(J.A. at 256.) This message was issued on May 25, 1995. The parties’ conduct subsequent to the issuance of the message indicates no change in the Addenda’s continued validity. Indeed, on September 11, 1995, Sanderson sent Garner a letter requesting his signature on a new Master Agreement, and Miner continued paying fees to Local 516 for more than two years.
Moreover, the effect of the 1997 Titan is ambiguous. Although it referenced the conflict addressed in the 1995 Titan, the substance of the 1997 Titan was dual unionism. Specifically, the express terms of the 1997 Titan limited the message’s mandate for the issuance of honorable withdrawal cards “to all employees and staff who are members of, or represented by, another labor organization and are also dues paying members of a Teamster Local Union.” (J.A. at 254-55.) There is no express indication that the 1997 Titan also required withdrawal cards to be issued to the employees described in the 1995 Titan. Therefore, the conduct of the Locals determines whether the Addenda remained in effect beyond the issuance of the 1997 Titan.
Certain conduct by the parties suggests that the Locals terminated the Addenda in response to the 1997 Titan: Miner stopped paying her fee to Local 516 around the same time the 1997 Titan was issued; there was no written communication between the Locals or Miner about the Addenda from September 11,1995, until after Miner’s discharge; Sanderson testified that Local 516 disclaimed the Addenda in 1998 in response to the 1997 Titan and that Garner sent him a letter to that effect; and Van Allen noted that the Addenda was not part of the active flies at Local 516 when he took over in July 1998. Other conduct by the parties, however, suggests that the Locals intended to be bound by the Addenda even after the 1997 Titan. First, Miner contends that she voluntarily paid the monthly fee to Local 516, that her representation was not dependent upon payment of that fee and that she stopped payment at the prompting of Garner. Second, the alleged letter from Garner to Sanderson disclaiming the Addenda is not in the record. Moreover, Garner’s secretary, Kaye Mogck (“Mogck”), indicated that Garner discussed the 1997 Titan with her and had her type a letter to Sanderson advising him that Local 516 would no longer accept Miner’s fees. Mogck, however, noted that the letter “addressed only the fees and did not cancel the [Addenda],” and that Garner told her that he did not intend to cancel the Addenda. (J.A. at 653. 1.) Third, Sanderson testified that no change occurred in his working relationship with Miner and that he never conveyed to her that Local 516 would no longer adhere to the terms of the Addenda.
5
Fourth, affidavits from certain members of both Locals’ executive boards indicate that the Addenda remained in force. Finally, Van Allen knew of the agreement between Rogers and Garner, but because no copy could be produced, he determined that Local 516 had no duty to represent Miner. However, upon receiving a copy of the Addenda that was not signed by Garner, Van Allen pursued Miner’s grievance on her behalf and argued before the Committee that the Addenda was valid. Notwithstanding Local 516’s current position, such behavior manifests Local 516’s intent to abide and be bound by the terms of the Addenda. Therefore, taking all inferences
In addition to their argument that the Locals’ conduct establishes that they terminated the Addenda, the Locals argue that the Addenda was invalid at the time of Miner’s discharge for three independent reasons. First, Local 373 argues that the court lacks jurisdiction because a CBA covering a bargaining unit of one is unenforceable under the NLRA. Pursuant to the so called “single-employee unit” rule, the NLRB does not have the authority to certify single-employee bargaining units because “‘the principle of collective bargaining presupposes that there is more than one eligible person who desires to bargain.’ ”
Int’l Transp. Serv., Inc. v. NLRB,
Second, Local 516 argues that the Addenda was never effective because Miner was not an “employee” as defined by the NLRA. The NLRA excepts from the definition of an employee “any individual employed by his parent or spouse.” 29 U.S.C. § 152. Although Rogers, Miner’s father, was Local 373’s principal officer at the time the parties signed the Addenda, he did not employ her. Rather, she was hired by Local 373’s executive board and employed by Local 373 as an entity. Moreover, even if Miner was not properly characterized as an “employee” under the NLRA at the time the parties signed the Addenda, she was an “employee” from the time Sanderson became principal officer later in 1991.
Cf. Campbell-Harris Elec., Inc.,
Finally, relying on
Carpenters Benefit Fund v. Holleman Construction,
2. Local 516’s Duty of Fair Representation
The district court also determined in the alternative that if the Addenda was valid at the time of Miner’s discharge, her Section 301(a) claim failed because Local 516 did not breach its duty of fair representation. We, however, abstain from deciding this issue. The requirement under Section 301(a) that an employee establish that the labor organization breached its duty of fair representation under the CBA ensures that a court honors the exclusive grievance procedures contracted for between the employer and the labor organization.
See Vaca v. Sipes,
In this case, the Committee determined that there was no valid agreement between Locals 373 and 516. As a result, although Local 516 argued for the validity of the Addenda before the Committee, Local 516 was not permitted to represent Miner on the merits of her grievance. Therefore, by definition, there was no duty for Local 516 to breach. Accordingly, if on remand it is determined that a valid CBA existed between Locals 373 and 516 at the time of Miner’s discharge, the proper remedy would be remand to the Committee so that Local 516 can represent Miner on the merits of her grievance. 7
In addition to holding that it had no jurisdiction under Section 301(a), the district court determined sua sponte that Section 301 preempted Miner’s state law breach of contract claim. If the district court determines on remand that no valid CBA existed at the time of Miner’s termination, the issue of whether her breach of contract claim is preempted will arise. Therefore, we address the preemption issue here.
Section 301 requires the creation of federal common law that preempts inconsistent state law.
Local 174, Teamsters v. Lucas Flour Co.,
III. CONCLUSION
For the reasons stated, we reverse the district court’s grant of summary judgment in favor of defendants and remand for further proceedings consistent with this opinion.
Notes
. The parties to the Master Agreement also negotiate separate supplemental agreements. At issue in this case is the "Southern Conference Area Local Freight Office Clerical Employees Supplemental Agreement.”
. Miner also filed a protest with the Office of the Election Supervisor for the IBT alleging that she was discharged from her employment because of her stated intention to run for election as delegate and principal officer of Local 373. The Election Supervisor denied the protest.
.
Although the grievance procedures outlined in the Master Agreement are not referred to as arbitration, the actions of the committees "have consistently been considered just as final and binding as if the actions had been called arbitration.”
Warren v. Int’l Bhd. of
. We recognize that the relevant inquiry is the objective intent of the Locals, not Miner’s subjective understanding of the validity of the Addenda. However, Sanderson’s failure to communicate to Miner that she was no longer covered by the Addenda objectively suggests that it remained in effect.
. Later decisions by the NLRB have expansively interpreted the "single-employee unit” rule to mean that "when a unit consists of no more than a single permanent employee at all material times, an employer has no statutory duty to bargain and thus, will not be found in violation of the [NLRA] for disavowing a bargaining agreement and refusing to bargain.”
Haas Garage Door Co.,
. We also abstain from addressing Local 373’s argument that Miner’s action is barred because she did not exhaust her contractual remedies. It is settled that to bring an action under Section 301(a) an employee first "must exhaust any exclusive grievance and arbitration procedures established under [a] collective bargaining agreement.”
Smegal v. Gateway Foods of Minneapolis, Inc.,
. Neither the lower court nor the parties have addressed whether the NLRA would preempt Miner's alternative breach of contract claim. Two preemption doctrines have developed under the NLRA. First,
Garmon
preemption "forbids state and local regulation of activities that are protected by § 7 of the [NLRA], or constitute an unfair labor practice under § 8.’ ”
Bldg. & Constr. Trades Council v.
Assoc.
Builders & Contractors of Massachusetts,
Here, Miner does not allege a defect in the bargaining process between the Locals that would arguably give rise to NLRB jurisdiction. Moreover, recognizing Miner’s breach of contract claim would not interfere with the collective bargaining process. Specifically, assuming that the Locals validly terminated the Addenda and took no actions to negotiate a new CBA, there is no justification for the
