NATIONAL LABOR RELATIONS BOARD, Petitioner, v. CONSTELLIUM ROLLED PRODUCTS RAVENSWOOD, LLC, Respondent.
No. 20-2140
United States Court of Appeals for the Fourth Circuit
August 5, 2022
PUBLISHED
GILBERT CHARLES DICKEY, Court-Assigned Amicus Counsel.
On Petition to Enforce an
Argued: January 25, 2022
Before HARRIS, RICHARDSON, and QUATTLEBAUM, Circuit Judges.
Dismissed by published opinion. Judge Richardson wrote the opinion, in which Judge Quattlebaum joined. Judge Harris wrote a separate opinion, dissenting.
ARGUED: Gilbert Charles Dickey, MCGUIREWOODS, LLP, Charlotte, North Carolina, for Court-Assigned Amicus Counsel. Gregoire Frederic Sauter, NATIONAL LABOR RELATIONS BOARD, Washington, D.C., for Petitioner. Dallas Floyd Kratzer III, STEPTOE & JOHNSON PLLC, Columbus, Ohio, for Respondent. ON BRIEF: Jennifer A. Abruzzo, General Counsel, Peter Sung Ohr, Deputy General Counsel, Ruth E. Burdick, Deputy Associate General Counsel, David Habenstreit, Assistant General Counsel, Amy H. Ginn, Supervisory Attorney, NATIONAL LABOR RELATIONS BOARD, Washington, D.C., for Petitioner. Anne L. Doherty, MCGUIREWOODS LLP, Charlotte, North Carolina, for Court-Assigned Amicus Counsel.
RICHARDSON, Circuit Judge:
The National Labor Relations Board petitions this Court to enforce its order imposing obligations on an employer. The charged employer, Constellium Rolled Products Ravenswood, LLC, consented in a stipulated settlement agreement to the enforcement of the order, skipping a process of agency prosecution and adjudication. Constellium agreed to a factual statement, waived any defenses, and now dutifully agrees that this Court should enter a judgment against it. We questioned our jurisdiction, concerned that this petition does not present a case or controversy fit for judicial resolution because the parties lack adverseness. We now hold that we lack jurisdiction to exercise judicial power when it would have no real consequences for the parties and would only rubberstamp an agreement the parties memorialized in writing and consummated before ever arriving on a federal court‘s doorstep. So the petition must be dismissed.
I. Background
Constellium Rolled Products Ravenswood employs members of the United Steel, Paper and Forestry, Rubber, Manufacturing, Energy, Allied Industrial and Service Workers International Union, Local 5668 (“United Steelworkers“). When a labor dispute boiled over, United Steelworkers filed four charges with the Board alleging that Constellium committed unfair labor practices. In 2019 and 2020, United Steelworkers requested information from Constellium that it believed would be relevant to collective bargaining—surveillance footage from a dock at the plant, the number of outside contractors working on various projects, and written agreements about those outside contractors, among other things. United Steelworkers says that Constellium refused to provide the requested information. Believing the allegations had merit, the Board‘s General Counsel issued an agency complaint against Constellium for violating the Natiоnal Labor Relations Act,
But rather than proceed through agency adjudication, Constellium and United Steelworkers decided to settle their labor dispute. The parties entered a Formal Settlement
The Board approved the Formal Settlement Stipulation and issued an order reflecting its terms. A week later the Board petitioned this Court under
II. Discussion
When concerns about our jurisdiction arise, we must zealously ensure that we do not exercise judicial power outside the Constitution‘s bounds. Constantine v. Rectors & Visitors of George Mason Univ., 411 F.3d 474, 480 (4th Cir. 2005). “No action of the parties can confer subject-matter jurisdiction upon a federal court, and ordinary principles of consent, waiver, and estoppel do not apply.” Id. (cleaned up). Likewise, Congress cannot extend the judicial power to matters that are neither cases nor controversies. Raines v. Byrd, 521 U.S. 811, 820 n.3 (1997). The Board petitioned this Court for a consent judgment against Constellium that would enforce the same terms as the Board‘s consent order. We questioned whether we have the power to grant its request.
Under our Constitution, “[t]he judicial power” extends only to “Cases”
A case or controversy‘s hallmark has long been “the existence of present or possible adverse parties, whose contentions are submitted to the court for adjudication.” Muskrat v. United States, 219 U.S. 346, 357 (1911). That means “there must be an actual controversy, and adverse interests” between the parties. Lord v. Veazie, 49 U.S. (8 How.) 251, 255 (1850). Although adverseness is an abstract concеpt that defies straightforward definition, typical adverseness is easy enough to describe: It is where one party “asserts its right” and the other party “is resisting.” Old Colony Tr. Co. v. Comm‘r, 279 U.S. 716, 724 (1929). Classic adverseness is the push and pull of parties with opposing interests who offer disagreements to the court.4
This case is not classically adverse. The parties agree about everything before this court, and there will be none of the push and pull of typical adverseness. And despite Constellium‘s capitulation, it does not clearly lack adverseness as a feigned or collusive case or one brought by “fraud or trickery.” Chi. & Grand Trunk Ry., 143 U.S. at 344.5 So we must dig deeper.
In Windsor, the plaintiff sued the government to recover extra taxes she paid because the Defense of Marriage Act prevented her from claiming an estate-tax exemption as the surviving spouse of her same-sex partner. Id. at 750–51. Both she and the government agreed that the Defense of Marriage Act was unconstitutional. Id. at 756. They also agreed on the relief that would be afforded if the Act was held unconstitutional—payment of Windsor‘s tax refund. But the government nonetheless continued enforcing the Act and refusing to pay the refund. Id. at 754.
The Executive‘s decision to not defend the Act‘s constitutionality concerned the Court because the case lacked adverse arguments from the parties. The Court recognized that adverse arguments serve a useful purpose because they “sharpen[] the presentation of issues.” Id. at 760 (quoting Baker v. Carr, 369 U.S. 186, 204 (1962)). But the Court held that adversarial presentation of issues, which aids federal courts’ decision-making, is only a prudential consideration. Id. According to Windsor, the push and pull of opposing legal argument is not the constitutional heart of adverseness.
Still, Windsor did not abandon the longstanding principle that Article III requires adverseness. Windsor instead reaffirmеd that Article III requires “sufficient adverseness” to confer an “adequate basis for jurisdiction.” Id. at 759. There remained a constitutional floor. But it did not require adverse arguments. Article III adverseness instead required the government, as the defendant, “retain[] a stake sufficient to support Article III jurisdiction.” Id. at 757. That meant that the parties had to have adverse interests when federal jurisdiction was invoked. Id. at 755, 757–58; see Old Colony Tr. Co., 279 U.S. at 722–24; see also Aetna Life Ins. Co. v. Haworth, 300 U.S. 227, 240–41 (1937) (satisfying the case-or-controversy requirement requires that a declaratory judgment action be “definite and concrete, touching the legal
In Windsor, the parties retained the required adverse interests because the government had not acquiesced to the remedy: While refusing to defend the Act‘s constitutionality in court and conceding that invalidating the Act would require it to pay the tax refund, the government continued to enforce the Act by refusing to pay the refund. Windsor, 570 U.S. at 757–58. As a result, the court judgment directing the Treasury to pay the tax refund—a step the Executive otherwise refused to take—had a real and immediate economic effect on the Treasury‘s interest: “Windsor‘s ongoing claim for funds that the United States refuses to pay thus establishes a controversy sufficient for Article III jurisdiction.” Id. at 758. In concluding “sufficient adverseness” existed, the Court relied on its prior decision in Chadha as holding that “the refusal of the Executive to provide the relief sought suffices to рreserve a justiciable dispute as required by Article III.” Id. at 759 (citing Immigr. & Naturalization Serv. v. Chadha, 462 U.S. 919, 939 (1983)).6
Adverse interests—that minimum adverseness threshold required by Windsor—exist only when judicial action would have “real-world consequences” and “real meaning’ for the parties.” Seila Law LLC v. CFPB, 140 S. Ct. 2183, 2196–97 (2020).7 To have meaning in the real world, Article III requires that a judgment issued by this court have some effect in the world, that it will cause real and immediate action or inaction by one of the parties that otherwise would not occur. Id.; Windsor, 570 U.S. at 758; Chadha, 462 U.S. at 939.8 For example,
This idea is not new. In 1890, for example, the Supreme Cоurt held that an adverse controversy was “extinguished” when a disputed tax was paid by the losing party below. Little v. Bowers, 134 U.S. 547, 556–58 (1890) (“Neither the affirmance nor the reversal of that judgment would make any difference as regards the controversy brought here by this writ of error.“). A few years later, the Court pushed that idea a little further. When California tried to refuse payment of money owed to keep a suit alive, the railroad company offered to pay in full and placed the money in escrow with a bank. California v. San Pablo & Tulare R.R., 149 U.S. 308, 313–14 (1893). Under the relevant statutes, placing the money in escrow had the same legal effect as payment, which deprived the court of jurisdiction of the no-longer-adverse suit. Id. When injunctive relief is sought, the same idea holds. “If the prosecutor expressly agrees not to prosecute, a suit against him for declaratory and injunctive relief [to not prosecute] is not such an adversary case as will be reviewed here.” Poe v. Ullman, 367 U.S. 497, 507 (1961) (citing C.I.O. v. McAdory, 325 U.S. 472, 475 (1945)).
With that said, there was adverseness between these parties at some point before the Board. But that adverseness was extinguished before the case got to federal court. See Steel Co. v. Citizens for a Better Env‘t, 523 U.S. 83, 109 (1998) (“Past exposure to illegal conduct does not in itself show a present case or controversy regarding injunctive relief . . . if unaccompanied by any continuing, present adverse effects.“). A case must be justiciable when it reaches federal court. And adverseness that existed before the agency cannot confer jurisdiction upon this court. See Old Colony Tr. Co., 279 U.S. at 722–24; In re Pac. Ry. Comm‘n, 32 F. at 255. That is the issue here.
When the Board issued its order, Constellium became subject to a legal obligation to “[c]ease and desist from” certain conduct and to take other “affirmative action.” J.A. 2. The consent judgment the Board seeks only maintains this status quo by requiring Constellium to do what it is already bound to do, which all parties agree Constellium is already doing. Under those circumstances, this Court‘s judgment would have no “real consequences” on the
None of this is to say that the Board lacks any interest in enforcing federal labor laws. But that interest must be adverse to Constellium. This requirement—that some real-world consequences ride on the litigation that pits the parties against one another—was not changed by Windsor‘s shift away from requiring parties to make adverse arguments. See 570 U.S. at 759–60. In Windsor, when the Court says, “the United States retains a stake sufficient to support Article III jurisdiction,” it does not discuss some generalized interest in getting the “ruling it wants” or in properly enforcing federal law but rather that the order at issue required something consequential: “The judgment in question orders the United States to pay Windsor the refund she seeks.” 570 U.S. at 757–58. What matters is that Windsor asked for the funds and the United States refused to pay them even though it agreed with the legal arguments. Id. at 758. That is what the Court calls “sufficient adverseness.” Id. at 759. Again, the Court makes clear that “it would be a different case if the Executive had taken the further step of paying Windsor the refund to which she was entitled under the District Court‘s ruling.” Id. It would be different because then the parties would no longer have an adverse interest. In that situation, the litigation has no real meaning and adverseness is lacking.
The entering of a judgment itself could be described as having “real meaning,” at least colloquially. A judgment would allow one party the future use of the court‘s contempt power. Contempt proceedings might then rеsult in money damages and maybe even jail time, which seems meaningful indeed. But the “real meaning” required by Windsor demands more than just an enforceable judgment that might, in some future proceeding, lead to real consequences. Parties cannot borrow against future justiciability like that. The court‘s judgment in this case must require a party to act—pay money, not deport, comply with investigative demand, and so on. See Windsor, 570 U.S. at 758–59; Chadha, 462 U.S. at 939–40; Seila, 140 S. Ct. at 2197.
Yet the Dissenting Opinion argues that entering a judgment should suffice to create real-world consequences here. Real meaning exists, it argues, because under the statutory scheme the Board‘s orders are not “self-executing.” Dissenting Op. 24 (quoting NLRB v. Thill, Inc., 980 F.2d 1137, 1142 (7th Cir. 1992)). And a non-self-executing order cannot be judicially enforced by contempt in a future judicial proceeding should the order be violated. See Thill, 980 F.2d at 1142 (noting Board orders lack “teeth” and are “not judicially enforceable“). So, the Dissenting Opinion posits, the real-world consequence is “consummating the administrative process” to give bite to a Board order so that a future violation will subject Constellium to the “pain of contempt.” Dissenting Op. 33.9 But potential consequences in a potential
There are surely practical consequences for the Board in lacking a more powerful remedy for a future violation in a future proceeding. See Dish Network Corp., 953 F.3d at 375 n.2 (“Congress has long limited the Board‘s powers“). But the lack of a future judicial sanction does not eliminate the obligations under the Board‘s order. An obligation is distinct from a judicial remedy. See Perry v. United States, 294 U.S. 330, 354 (1935) (separating the binding obligation from a judicial remedy); Ogden v Saunders, 25 U.S. (12 Wheat.) 213, 349–54 (1824) (Marshall, C.J., dissenting) (distinguishing a contractual obligation from a remedy for violating it); H.L.A. Hart, The Concept of Law 18–25, 34 (2d ed. 1994) (distinguishing between the conduct a rule prohibits and the sanction for violating it).
Our practice of reviewing petitions under
But this talk of аgreement evokes an obvious question: What about consent decrees? The Supreme Court has told us that “a judgment upon consent is ‘a judicial act.‘” Pope, 323 U.S. at 12. And we know that there is a long history in American and English practice of courts blessing consent decrees. See Swift & Co. v. United States, 276 U.S. 311, 323–24 (1928) (citing Bradish v. Gee (1754) 27 Eng. Rep. 152, 152, 1 Amb. 229, 229, and Webb v. Webb (1676) 36 Eng. Rep. 1011, 1012, 3 Swans. 658, 659 (“[T]here can be no
injustice in a decree by consent[.]“)); Pac. R.R. v. Ketchum, 101 U.S. 289, 289–97 (1880). And that history can matter in understanding Article III. See Tutun v. United States, 270 U.S. 568, 576 (1926) (appealing to history to support
But the Board‘s petition here meaningfully differs from the long-standing practice of entering consent decrees. In cases approving a consent decree, the plaintiff files a complaint, the defendant answers denying material allegations, and the parties submit a proposed consent decree that would become a binding obligation only upon the court‘s
approval. See North Carolina, 180 F.3d at 578; Swift, 276 U.S. at 320.13 If the consent decree is adopted by the court, it ends an ongoing controversy in federal court between the parties. If the court rejects the consent decree, the case continues. But not so here. No dispute existed when the Board filed its petition. Constellium did not deny any allegations. Thе controversy between them ended when the Board issued its order. At that point, Constellium agreed in writing to “immediately comply with the provisions of the order as set forth below.” J.A. 8. And it dutifully did not contest the Board‘s petition in federal court. It makes no difference to Constellium if we enter judgment or not. Either way, the case is over and its obligations under the Board‘s
Finally, the Board contends that none of this should matter because the Supreme Court has already sanctioned our jurisdiction to enforce Board consent orders like the one
here. The Supreme Court has reviewed Board orders over the years, approving many and never mentioning this adverseness problem. See, e.g., NLRB v. Pa. Greyhound Lines, 303 U.S. 261 (1938); NLRB v. Mexia Textile Mills, 339 U.S. 563 (1950).14 The Court has even reviewed a Board consent order just like this one.
In National Labor Relations Board v. Ochoa Fertilizer Corp., 368 U.S. 318, 322 (1961), the Court considered the appellate court‘s power to modify Board orders when entering a consent judgment under
The Board argues that Ochoa‘s citation to Swift is a holding that petitions to enforce a Board order are sufficiently adverse regardless of the parties’ consent to the judgment or whether the Board alleges a breach or threatened breach of the order. But this passing citation to Swift should not be read so broadly. “[D]rive-by jurisdictional rulings” are not precedential. Steel Co. v. Citizens for a Better Env‘t, 523 U.S. 83, 91 (1998). Apart from arguably addressing adverseness, the Swift Court also resolved seven other jurisdictional challenges to the consent decree. 276 U.S. at 324 (“[E]ight reasons are relied on as showing that, in whole or in part, it was beyond the jurisdiction of the court.“).16 Ochoa‘s mere passing reference to eight possible issues of jurisdiction, without explanation or rationale, see 368 U.S. at 323, does not resolve the jurisdictional question before this Court and does not change our analysis.
In sum, the parties agree on every relevant question potentially before this Court. That agreement led the parties to resolve this dispute among themselves before ever coming to federal court, leaving nothing for this Court to do that would have real consequences in the world. And the Board agrees that Constellium has complied with the order and continues to do so. There is nothing meaningful for this Court to do. Because this suit lacks adverseness, we lack jurisdiction.17
“It is the office of courts of justice to decide the rights of persons and of property, when the persons interested cannot adjust them by agreement between themselves.” Lord, 49 U.S. at 255. The parties here came to such an agreement, resolving their dispute themselves. Because the Board‘s petition to this Court seeks to merely reaffirm Cоnstellium‘s preexisting obligations under the Board consent order, this is not a case or controversy subject to the judicial power. We lack jurisdiction, and therefore the petition is
DISMISSED.
PAMELA HARRIS, Circuit Judge, dissenting:
Today‘s majority forbids, as outside the scope of Article III, a practice that the National Labor Relations Board (“NLRB” or “Board“) has used for decades to resolve labor disputes. Until now, neither we nor any other court has ever questioned our jurisdiction to enforce consent orders like this one. Indeed, year in and out, we — like every other court of appeals — routinely enforce orders exactly like this one, in a practice that the majority now says has persistently exceeded our powers.1 Because I cannot agree that the Constitution forbids this familiar practice, I respectfully dissent.
This case began as an unremarkable labor dispute between Constellium and the labor union representing employees at its Ravenswood, West Virginia aluminum plant. See Maj. Op. at 3-4. The union filed charges with the Board alleging that Constellium had denied it information to which it was entitled; the Board issued a complaint against Constellium based on those charges; and Constellium responded by filing an answer denying the Board‘s allegations. See
Rather than proceed to a full-blown adjudication, however, the parties — consistent with the Board and Congress‘s longstanding policy favoring “the peaceful, nonlitigious resolution of disputes” — reached an agreement they hoped would settle the matter. See Indep. Stave Co., 287 N.L.R.B. 740, 741 (1987); id. (discussing Congress‘s recognition that “settlements constitute the life blood of the administrative process, especially in labor relations” (internal quotation marks omitted)). In that agreement, the parties stipulated to the relevant facts, Constellium admitted
Importantly — though one might not know it from the majority‘s opinion — the Board‘s order, when issued, had no binding legal effect. “Unlike the orders of other agencies, the Board‘s orders are not self-executing.” NLRB v. Thill, Inc., 980 F.2d 1137, 1142 (7th Cir. 1992); see Dish Network Corp. v. NLRB, 953 F.3d 370, 375 n.2 (5th Cir. 2020). For a Board order to take effect, the NLRB must “petition [a] court of appeals of the United States . . . for the enforcement of such order.”
That brings us to the majority‘s opinion, which dismisses the Board‘s application. As best as I can tell, the court holds that the parties here have insufficiently “adverse” interests because (1) they settled this dispute before the agency and (2) their settlement included a promise, fulfilled by Constellium, not to contest enforcement before us. In other words, we lack jurisdiction, and therefore purportedly must dismiss the NLRB‘s enforcement application, because given the parties’ settlement, any judicial action here “would have no real consequences” and “no real meaning.” Maj. Op. at 10-13 (internal quotation marks omitted).
This is a novel conclusion. As far as I am aware, no court before ours has questioned, let alone rejected, its jurisdiction to hear a case like this one. See, e.g., supra note 1. And while I agree that no case has specifically held to the contrary on these exact facts,2 essentially all of the relevant authority points in favor of finding that we have jurisdiction to enforce the Board order here.
More importantly, after the Supreme Court‘s decision in United States v. Windsor, 570 U.S. 744, 756-59 (2013), it appears that Article III does not require adverseness at all. Instead, as the majority explains, “the parties can apparently agree about essentially everything” without calling our power to hear the case into question. Maj. Op. at 8; see id. at 7-11 (discussing Windsor, 570 U.S. at 756-59). Under Windsor, that is, the parties can agree on the facts, view the law the same way, and seek exactly the same outcome for exactly the same reasons — but whatever prudential concerns we may have in that scenario, Article III has nothing to say about our power to decide the case. See 570 U.S. at 759-60 (fact that parties agreed on case‘s outcome, and resulting risk of a “friendly, non-adversary, proceeding” rather than a “real, earnest and vital controversy,” went only to prudential, not jurisdictional, considerations (internal quotation marks omitted)).
As a result of all this, the majority falls back on a different Article III theory. In light of the above, it acknowledges, it is now clear that the Constitution “d[oes] not require adverse arguments.” Maj. Op. at 9. But still, it pivots, we cannot exercise jurisdiction unless there are “adverse interests” at stake. Id. And this case lacks this distinct variety of adverseness, the majority reasons, because nothing we can do would change the result the parties have already agreed upon: The Board has already issued its order, Constellium intends to abide by it, and with or without
The problem with this reframing, however, is that it has little to do with adverseness. As suggested by the majority‘s shift from discussing “the push and pull” of adverse contestation, id. at 7, to demanding “real-world consequences,” a “tangible effect,” and “real meaning for the partiеs,” id. at 10-11 (internal quotation marks omitted), we have strayed quite a ways from any freestanding adverseness doctrine. Now, we seem instead to be dealing with a much more familiar Article III requirement: that a party needs a concrete interest in the outcome of a case to invoke federal jurisdiction. This idea is sometimes expressed as a component of our mootness case law. See, e.g., Eden, LLC v. Justice, 36 F.4th 166, 169 (4th Cir. 2022) (case moot where “the parties lack a legally cognizable interest in the outcome” (internal quotation marks omitted)). Other times, it relates to a party‘s standing. See, e.g., Windsor, 570 U.S. at 757-58. But in all cases, the core question is this: Consistent with Article III‘s demand for “cases” or “controversies,” will a judicial decision matter for real people in the real world? Cf. Allen v. Wright, 468 U.S. 737, 750 (1984) (discussing commonalities running across “[a]ll of the doctrines that cluster about Article III” (internal quotation marks omitted)).3
And once we have identified the right question — whether the NLRB has a sufficient interest in the enforcement of its order to support our jurisdiction — the answer becomes quite clear: It does. That follows first from the long line of cases holding that compliance with a Board order does not deprive the Board of an interest in enforcing that order. By 1950, it was “plain from the cаses that the employer‘s compliance with an order of the Board does not render the cause moot, depriving the Board of its opportunity to secure enforcement from an appropriate court.” NLRB v. Mexia Textile Mills, Inc., 339 U.S. 563, 567 & n.4 (1950) (collecting cases). That was because “[a] Board order imposes a continuing obligation” and, even without an ongoing dispute, “the Board is entitled to have the resumption of the unfair practice barred by an enforcement decree.” Id. at 567; see NLRB v. Raytheon Co., 398 U.S. 25, 27 (1970) (Board‘s unique role in enforcing federal labor law prevented enforcement action from becoming moot).
True, in Mexia, the employer had originally contested the matter before the Board, and complied only after the Board had ruled against it. See Maj. Op. at 9, 19 n.10. But I do not see how that could matter to our assessment of whether the Board has an interest here, now that we are at the enforcement stage of the case. Both here and in Mexia, by the time
It is true, of course, that these precedents address mootness, and not the specific “adverseness problem” the court has posed to itself. Maj. Op. at 18-19 & n.10.4 But for reasons I have already explained, once we clarify that we are talking about adverse “interests” instead of adverse “arguments,” this becomes a distinction without a difference. The Board has an interest in the outcome of this case because it has an interest in preventing further violations of federal labor law, like the ones Constellium has admitted to in this case. See Raytheon, 398 U.S. at 27-28. That interest gives the Board standing to bring enforcement actions even once all parties have already complied with its orders; it prevents those actions from becoming moot even if compliance begins after it seeks enforcement; and, all told, it gives rise to a sufficiently concrete “case” or “controversy” throughout the process.
The majority also seems to rely on a distinction between standing and mootness, noting that, while the need to deter future misconduct may save a case, once brought, from becoming moot, it cannot create the injury necessary to support standing at the outset. See Maj. Op. at 12, 19 n.14 (citing Steel Co. v. Citizens for a Better Env‘t, 523 U.S. 83, 109 (1998)). This may be true in general civil litigation. But in the context of the Board‘s enforcement of federal labor law, the Supreme Court has already told us that the Bоard‘s interests transcend remedying “particular” incidents of misconduct because its role is more broadly “to protect employees in the exercise of their organizational rights.” Raytheon, 398 U.S. at 27. Indeed, the lead case that Mexia relied on, see 339 U.S. at 567-68, rejected a claim that the court lacked jurisdiction to enforce a Board order due to a settlement that had occurred before the Board had issued that order, see NLRB v. Gen. Motors Corp., 179 F.2d 221, 222 (2d Cir. 1950) (per curiam) (“[I]t is well settled in Labor Board cases that the Board need not dismiss the proceeding and that the courts need not refuse to enforce the Board‘s order, because, pendente lite, the original dispute has been settled.” (footnote omitted)). None of these cases purported to turn on whether the employer had complied with the Board‘s order before or after the NLRB had sought enforcement in the court of appeals.
All this is reinforced by the details of the statutory scheme here. In concluding that this proceeding can have no “real-world
As a result, the adversary process that begins before the Board essentially stays alive up through the enforcement of a Board order. In the analogous context of arbitral confirmation, the Third Circuit has held similarly. See Teamsters Loc. 177 v. UPS, 966 F.3d 245, 248 (2020). There, the party that lost in arbitration sought to dismiss the winner‘s bid for confirmation of the arbitral award, arguing that because it (the arbitral loser) had not violated the award and did not challenge its validity, the winner lacked a concrete interest in its confirmation and therefore lacked standing. Id. at 251. Relying on the structure of the Federal Arbitration Act (“FAA“) and the fact that Congress had left arbitral awards unenforceable until confirmed by a court, the circuit rejected this argument. “[I]t is confirmation under
So too here: Enforсing the Board‘s order would have the real-world effect of consummating the administrative process that Congress has carefully set up, entitling the Board and complaining union to compel Constellium‘s compliance upon pain of contempt. Absent our enforcement, Constellium
Finally, as the majority acknowledges, the long line of cases approving the entry of consent decrees outside the labor context also supports our jurisdiction in this case. Generally, a settlement ends a case, precluding further jurisdiction over the matter. See, e.g., Pressley Ridge Schs. v. Shimer, 134 F.3d 1218, 1220 (4th Cir. 1998). But even after settlement, the majority accepts, “there is a long history . . . of courts blessing consent decrees,” to which we ought to defer. Maj. Op. at 16; see, e.g., Pope v. United States, 323 U.S. 1, 12 (1944) (“It is a judicial function and an exercise of the judicial power to render judgment on consent. A judgment upon consent is a judicial act.” (internal quotation marks omitted)); Swift & Co. v. United States, 276 U.S. 311, 323-24 (1928).
The majority does not offer any serious way to distinguish these cases. It claims that a defendant seeking a consent decree usually “answers denying material allegations,” contrasting that with Constellium‘s admissions here. Maj. Op. at 17. But that is not always the case, see, e.g., In re Musical Instruments & Equip. Antitrust Litig., 798 F.3d 1186, 1190 (9th Cir. 2015) (defendant “neither admitted nor denied the FTC‘s allegations“); Stinson Canning Co. v. United States, 170 F.2d 764, 765 (4th Cir. 1948) (noting entry of consent decrees “reciting the claimant‘s admission of the allegations . . . and its consent to judgments“); cf. In re Metro. Ry. Receivership, 208 U.S. 90, 108 (1908) (“We do not doubt the jurisdiction of the Circuit Court, although the facts were admitted, and the defendant joined with the complainants in a request that receivers should be appointed.“), and the majority tells us nothing about how its decision squares with these authorities. The majority also suggests that consent decrees are different because they “become a binding obligation only upon the court‘s approval.” Maj. Op. at 17-18 & n.13. But that is just so here: As I have explained, because the Board‘s order is not self-executing, it, too, can only become binding upon our approval. See, e.g., In re NLRB, 304 U.S. at 495. Finally, the majority seems to believe that courts can only enter consent decrees if the parties resolve their dispute after coming to court, emphasizing the timing of the settlement here. See Maj. Op. at 12, 18. But it is common practice for parties seeking consent decrees to “arrive[] in court” having already settled, “with the proposed judgment in hand“; and the majority cites no cases disapproving of that practice. E.g., SEC v. Randolph, 736 F.2d 525, 528 (9th Cir. 1984) (rejecting that the court lacked jurisdiction to enter consent decree just because the parties “could rely on their [prior] settlement agreement“).
* * *
In sum: We all agree that Article III does not require parties before us to press adverse arguments. The Supreme Court has told us that the NLRB has a sufficient
Perhaps today‘s decision, standing alone, will cause little trouble for the NLRB, grounded as it is in the distinct facts before us. On my read, the court‘s holding (though it does not clearly set out what factors it considers dispositive) is limited to cases in which (1) the parties settle bеfore the Board issues an order; (2) that settlement includes a promise not to contest enforcement of the resulting order; (3) the parties abide by that promise; (4) the parties do not otherwise violate the order and have no dispute about its terms; and (5) the agreement does not depend on our enforcement of the order.8
As a result, going forward the Board may well be able to amend the terms of its settlements to avoid these pitfalls — for example, by no longer having employers preemptively waive their defenses to enforcement, or by making the agreement conditional not only on Board approval, but also on judicial enforcement.9 Even so, I worry that, in the majority‘s zeal to manufacture a jurisdictional problem here, it cannot avoid creating costly doubt about the permissibility of a whole swath of long-accepted judicial practices, which parties often rely on to resolve disputes, minimize risk, and organize their relations. See, e.g., James E. Pfander & Daniel D. Birk, Article III Judicial Power, the Adverse-Party Requirement, and Non-Contentious Jurisdiction, 124 Yale L.J. 1346, 1359-91 (2015) (cataloging scores of non-adverse proceedings over which courts have long maintained jurisdiction). The majority does not tеll us exactly how far its holding goes, or what other seemingly well-established types of cases might now be in jeopardy. Rather than inviting this wave of uncertainty, I would defer to the precedent and
Notes
The majority also relies on “[o]ur practice of reviewing petitions under
