STARBUCKS CORP. v. MCKINNEY, REGIONAL DIRECTOR OF REGION 15 OF THE NATIONAL LABOR RELATIONS BOARD, FOR AND ON BEHALF OF THE NATIONAL LABOR RELATIONS BOARD
No. 23-367
SUPREME COURT OF THE UNITED STATES
June 13, 2024
602 U. S. ____ (2024)
THOMAS, J.
CERTIORARI TO THE UNITED STATES COURT OF APPEALS FOR THE SIXTH CIRCUIT. Argued April 23, 2024—Decided June 13, 2024
NOTE: Where it is feasible, a syllabus (headnote) will be released, as is being done in connection with this case, at the time the opinion is issued. The syllabus constitutes no part of the opinion of the Court but has been prepared by the Reporter of Decisions for the convenience of the reader. See United States v. Detroit Timber & Lumber Co., 200 U. S. 321, 337.
SUPREME COURT OF THE UNITED STATES
Syllabus
STARBUCKS CORP. v. MCKINNEY, REGIONAL DIRECTOR OF REGION 15 OF THE NATIONAL LABOR RELATIONS BOARD, FOR AND ON BEHALF OF THE NATIONAL LABOR RELATIONS BOARD
CERTIORARI TO THE UNITED STATES COURT OF APPEALS FOR THE SIXTH CIRCUIT
No. 23-367. Argued April 23, 2024—Decided June 13, 2024
After several Starbucks employees announced plans to unionize, they invited a news crew from a local television station to visit the store after hours to promote their unionizing effort. Starbucks fired multiple employees involved with the media event for violating company policy. The National Labor Relations Board filed an administrative complaint against Starbucks alleging that it had engaged in unfair labor practices. The Board‘s regional Director then filed a petition under
Held: When considering the NLRB‘s request for a preliminary injunction under
(a)
(b) The traditional rule is that a plaintiff seeking a preliminary injunction must make a clear showing that “he is likely to succeed on the merits, that he is likely to suffer irreparable harm in the absence of preliminary relief, that the balance of equities tips in his favor, and that an injunction is in the public interest.” Winter, 555 U. S., at 20, 22. “These commonplace considerations applicable to cases in which injunctions are sought in the federal courts reflect a ‘practice with a background of several hundred years of history.‘” Weinberger v. Romero-Barcelo, 456 U. S. 305, 313. When interpreting a statute that authorizes federal courts to grant preliminary injunctions, the Court “do[es] not lightly assume that Congress has intended to depart from established principles.” Ibid. Absent a clear command from Congress, then, courts must adhere to the traditional four-factor test articulated in Winter.
(c) The Board argues that statutory context requires district courts evaluating
The Board suggests that district courts risk supplanting its adjudi-
The Board also reasons that district courts should apply a deferential standard because the Board‘s final decisions are reviewed deferentially by a court of appeals. But the views advanced in a
77 F. 4th 391, vacated and remanded.
THOMAS, J., delivered the opinion of the Court, in which ROBERTS, C. J., and ALITO, SOTOMAYOR, KAGAN, GORSUCH, KAVANAUGH, and BARRETT, JJ., joined. JACKSON, J., filed an opinion concurring in part, dissenting in part, and concurring in the judgment.
NOTICE: This opinion is subject to formal revision before publication in the United States Reports. Readers are requested to notify the Reporter of Decisions, Supreme Court of the United States, Washington, D. C. 20543, pio@supremecourt.gov, of any typographical or other formal errors.
SUPREME COURT OF THE UNITED STATES
No. 23-367
STARBUCKS CORPORATION, PETITIONER v. M. KATHLEEN MCKINNEY, REGIONAL DIRECTOR OF REGION 15 OF THE NATIONAL LABOR RELATIONS BOARD, FOR AND ON BEHALF OF THE NATIONAL LABOR RELATIONS BOARD
ON WRIT OF CERTIORARI TO THE UNITED STATES COURT OF APPEALS FOR THE SIXTH CIRCUIT
[June 13, 2024]
JUSTICE THOMAS delivered the opinion of the Court.
The National Labor Relations Board can bring in-house enforcement proceedings against employers and labor unions for engaging in unfair labor practices.
I
A
The National Labor Relations Act (NLRA) prohibits employers and unions from engaging in certain “unfair labor
Because the Board‘s administrative proceedings take years, Congress vested the Board with authority to seek a preliminary injunction in federal court while the proceedings unfold.
B
Starbucks is the world‘s largest coffeehouse chain, with over 34,000 locations. In 2022, six employees at a Memphis, Tennessee, location announced plans to unionize the store and formed an organizing committee. Several employees, including some members of the organizing committee, invited a news crew from a local television station to visit the
To assess whether the Board was entitled to a preliminary injunction under
Not all courts evaluate petitions for
II
A
A preliminary injunction is an “extraordinary” equitable remedy that is “never awarded as of right.” Winter, 555 U. S., at 24. Its purpose “is merely to preserve the relative positions of the parties until a trial on the merits can be held.” University of Tex. v. Camenisch, 451 U. S. 390, 395 (1981). The default rule is that a plaintiff seeking a preliminary injunction must make a clear showing that “he is likely to succeed on the merits, that he is likely to suffer irreparable harm in the absence of preliminary relief, that the balance of equities tips in his favor, and that an injunction is in the public interest.” Winter, 555 U. S., at 20, 22. “These commonplace considerations applicable to cases in which injunctions are sought in the federal courts reflect a ‘practice with a background of several hundred years of history.‘” Weinberger v. Romero-Barcelo, 456 U. S. 305, 313 (1982) (quoting Hecht Co. v. Bowles, 321 U. S. 321, 329 (1944)); see also Georgia v. Brailsford, 2 Dall. 402, 406 (1792) (opinion of Iredell, J.); id., at 407 (opinion of Blair, J.).
When interpreting a statute that authorizes federal courts to grant preliminary injunctions, “we do not lightly assume that Congress has intended to depart from established principles.” Romero-Barcelo, 456 U. S., at 313; see also Porter v. Warner Holding Co., 328 U. S. 395, 398 (1946). This Court has consistently employed this presumption when interpreting a wide variety of statutes that authorize preliminary and permanent injunctions. See, e.g., United States v. Oakland Cannabis Buyers’ Cooperative, 532 U. S. 483, 496 (2001) (Controlled Substances Act); Romero-Barcelo, 456 U. S., at 312-313 (Federal Water Pollution Control Act); Amoco Production Co. v. Gambell, 480 U. S. 531, 542–544 (1987) (Alaska National Interest Lands Conservation Act); Hecht, 321 U. S., at 329 (Emergency Price Control Act). Thus, absent a clear command from Congress, courts must adhere to the traditional four-factor test.
Nothing in
This Court‘s precedent also counsels against reading
Finally,
In sum, because nothing in
B
Rather than contest that traditional equitable criteria govern, the Board recasts the dispute as one about how statutory context informs the application of those criteria. The Board highlights that Congress made the Board, not federal courts, responsible for adjudicating charges of unfair labor practices in the first instance and that courts of appeals must review the Board‘s final decisions deferentially. According to the Board, these contextual considerations require district courts evaluating
The reasonable-cause standard goes far beyond simply fine tuning the traditional criteria to the
There is an obvious difference between having the Board show that it is “likely” to succeed on the merits and having it show only that its theory of the case is “substantial and not frivolous,” without having to convince the court that its theory is likely meritorious. In fact, it is hard to imagine how the Board could lose under the reasonable-cause test if courts deferentially ask only whether the Board offered a minimally plausible legal theory, while ignoring conflicting law or facts. As Judge Readler explained, if the reasonable-cause standard were “applied in the traditional civil litigation setting, any complaint that could withstand Rule 12(b)(6) would automatically be deserving of injunctive relief as well, rendering the court more a spectator than a referee when it comes to matters of equity.” Id., at 408 (concurring opinion). Perhaps unsurprisingly, courts that apply the reasonable-cause standard freely acknowledge that the threshold merits showing is “significantly lower than a requirement to show ‘likelihood of success‘” under the traditional standard. Overstreet v. El Paso Disposal, L.P., 625 F. 3d 844, 851, n. 10 (CA5 2010); see also Fleischut v. Nixon Detroit Diesel, Inc., 859 F. 2d 26, 29 (CA6 1988) (characterizing the Board‘s burden to show reasonable cause as “relatively insubstantial” (internal quotation marks omitted)).
The Board and the partial dissent also reason that district courts should apply a deferential standard because the Board‘s final decisions are reviewed deferentially by a court of appeals. But, none of the views advanced in a
III
For the foregoing reasons, we hold that district courts must apply the traditional four factors articulated in Winter when considering the Board‘s requests for a preliminary injunction under
It is so ordered.
SUPREME COURT OF THE UNITED STATES
No. 23-367
STARBUCKS CORPORATION, PETITIONER v. M. KATHLEEN MCKINNEY, REGIONAL DIRECTOR OF REGION 15 OF THE NATIONAL LABOR RELATIONS BOARD, FOR AND ON BEHALF OF THE NATIONAL LABOR RELATIONS BOARD
ON WRIT OF CERTIORARI TO THE UNITED STATES COURT OF APPEALS FOR THE SIXTH CIRCUIT
[June 13, 2024]
JUSTICE JACKSON, concurring in part, concurring in the judgment, and dissenting in part.
“When Congress entrusts to an equity court the enforcement of prohibitions contained in a regulatory enactment, it must be taken to have acted cognizant of the historic power of equity to provide complete relief in light of the statutory purposes.” Mitchell v. Robert DeMario Jewelry, Inc., 361 U. S. 288, 291-292 (1960). Accordingly, when interpreting a statute that authorizes equitable relief, like a preliminary injunction, this Court typically employs what amounts to a two-part inquiry focused on congressional intent. See Hecht Co. v. Bowles, 321 U. S. 321, 328-331 (1944). First, we determine whether Congress has stripped courts of their traditional equitable discretion by “a clear and valid legislative command.” Porter v. Warner Holding Co., 328 U. S. 395, 398 (1946). Second, if no such clear command is found, we look to the statutory context to assess how courts should exercise their equitable discretion “‘as conditioned by the necessities of the public interest which Congress has sought to protect.‘” Weinberger v. Romero-Barcelo, 456 U. S. 305, 320 (1982) (quoting Hecht, 321 U. S., at 330).
Today, the Court correctly applies the first step, but ignores the second. I agree with the majority that nothing in the National Labor Relations Act (NLRA) clearly strips courts of their equitable discretion to determine whether to issue a so-called
I
The question in this case is how district courts should evaluate the Board‘s request for a preliminary injunction in light of Congress‘s intentions. See
Our Hecht case is instructive, for it establishes the frame-
But Hecht did not end there. The Court emphasized that the mere fact that the Emergency Price Control Act lacked an “unequivocal statement” displacing courts’ equitable discretion did not “imply that courts should administer [the Act] grudgingly.” 321 U. S., at 329–330. Instead, the Court explained, courts should see themselves as partners of the agency that administered the Act. Congress “entrusted” each “with a share of . . . responsibility” for effectuating its goals. Id., at 331. In other words, “[c]ourt and agency are the means adopted to attain the prescribed end, and so far
Hecht‘s two-step framework is still in use today. We only rarely find that a statute clearly displaces courts’ equitable discretion. See, e.g., TVA v. Hill, 437 U. S. 153, 193–195 (1978) (finding such displacement in the Endangered Species Act). So, in most cases in which equitable relief is authorized by statute, the movant must contend with the court‘s equitable authority. In statutes that involve preliminary injunctive relief, that means the party seeking relief “must establish [1] that he is likely to succeed on the merits, [2] that he is likely to suffer irreparable harm in the absence of preliminary relief, [3] that the balance of equities tips in his favor, and [4] that an injunction is in the public interest.” Winter v. Natural Resources Defense Council, Inc., 555 U. S. 7, 20 (2008).
Even so, under the Hecht framework, we have consistently held that courts’ exercise of equitable discretion is informed by congressional intent. Put simply, “a court sitting in equity cannot ‘ignore the judgment of Congress, deliberately expressed in legislation.‘” United States v. Oakland Cannabis Buyers’ Cooperative, 532 U. S. 483, 497 (2001) (quoting Virginian R. Co. v. Railway Employees, 300 U. S. 515, 551 (1937)). For each of the four factors, then, courts must look to the choices made by Congress for guidance. See Oakland Cannabis, 532 U. S., at 497 (“‘Once Congress, exercising its delegated powers, has decided the order of priorities in a given area, it is . . . for the courts to enforce them when enforcement is sought‘” (quoting Hill, 437 U. S., at 194)).
II
A
Here, the choices Congress has made regarding how labor disputes are to be resolved—including its decision to authorize preliminary injunctive relief in some circumstances—are clear and comprehensive. As briefly explained below, Congress has long sought to contain the unbounded exercise of judicial discretion to issue injunctions in the context of labor disputes, leaving the resolution of those particular conflicts primarily in the hands of the Board. See Brief for Service Employees International Union as Amicus Curiae 4–11.
That is for good reason. To put it bluntly, courts exercising their equitable discretion amidst labor disputes today do so against the backdrop of an ignominious history of abuse. See generally F. Frankfurter & N. Greene, The Labor Injunction (1930). “In the early part of [the 20th] century, the federal courts generally were regarded as allies of management in its attempt to prevent the organization and strengthening of labor unions.” Boys Markets, Inc. v. Retail Clerks, 398 U. S. 235, 250 (1970). “Injunctions figured in virtually every railroad strike; in most strikes in which industrial unionism, ‘amalgamation,’ or ‘federation’ was at issue; in most major organizing and recognition strikes, boycotts, closed shop or sympathy strikes or anti-union/open-shop lockouts of significant magnitude; and in a small but still significant and growing portion of ordinary mine-run strikes.” W. Forbath, The Shaping of the American Labor Movement, 102 Harv. L. Rev. 1109, 1152 (1989). “[I]n this industrial struggle the injunction became a potent weapon that was wielded against the activities of labor groups.” Boys Markets, 398 U. S., at 250.
Congress reacted to this antidemocratic “government by injunction” by seeking to cabin courts’ power to intervene. Milk Wagon Drivers v. Lake Valley Farm Products, Inc., 311 U. S. 91, 102 (1940). Its initial attempt, in the Clayton Act
Three years later, in 1935, Congress passed the National Labor Relations Act,
Notably, though, Congress did not leave it to courts to protect the rights established in the NLRA. See Phelps Dodge Corp. v. NLRB, 313 U. S. 177, 193 (1941). Instead, Congress created an expert agency, the National Labor Relations Board, to investigate, adjudicate, and stop unfair labor practices. See
To evaluate and remedy unfair labor practices, the Board follows a four-step process. See ante, at 2. First, a charge is filed and investigated, with parties generally permitted to present evidence and arguments related to the alleged violation. See
B
Crucially for present purposes, Congress recognized that delay in vindicating labor rights “during the ‘notoriously glacial’ course of NLRB proceedings” can lead to their defeat. Kinney v. Pioneer Press, 881 F. 2d 485, 491 (CA7 1989). This case is illustrative of the problem. In February 2022, Starbucks fired five of six members of an organizing committee, along with two other union-aligned workers, just as a campaign for unionization was building momentum. The Board took up the workers’ complaint soon after. Now, more than two years later, their case remains pending.
To respond to situations such as this one, Congress gave the Board specific power to seek preliminary injunctive relief. These injunctions are generally referred to as ”
“Time is usually of the essence in [labor disputes], and consequently the relatively slow procedure of Board hearing and order, followed many months later by an enforcing decree of the circuit court of appeals, falls short of achieving the desired objectives—the prompt elimination of the obstructions to the free flow of commerce and encouragement of the practice and procedure of free and private collective bargaining. Hence we have provided that the Board, acting in the public interest and not in vindication of purely private rights, may seek injunctive relief in the case of all types of unfair labor practices.” S. Rep. No. 105, 80th Cong., 1st Sess., 8 (1947).
See also, e.g., Kinney, 881 F. 2d, at 488 (Easterbrook, J.) (quoting this passage); Miller v. California Pacific Medical Center, 19 F. 3d 449, 455, n. 3 (CA9 1994) (en banc) (same); Danielson v. Joint Bd. of Coat, Suit and Allied Garment Workers’ Union, 494 F. 2d 1230, 1241–1242 (CA2 1974) (Friendly, J.) (discussing similar legislative history).
In short, Congress designed
In addition to authorizing
The NLRA does not specify how the Board should exercise its discretion to seek
When the district court receives the Board‘s application
III
A
What standard should district courts use to decide whether granting the Board‘s
At step one, the parties here do not dispute that
The remaining question—Hecht‘s second step—is the
The fact that this needs to be done is uncontroversial. “Obviously,” Starbucks says, “‘statutory context is relevant to the consideration of equitable relief.‘” Reply Brief 10 (quoting Brief for Respondent 15); see also Brief for Respondent 9; Reply Brief 2; Tr. of Oral Arg. 20–24, 33-35. And every relevant Circuit, including those that use the standard four-factor test, understands district courts’ equitable discretion to issue a
B
Given our precedents and the statute‘s text, the interaction between Congress‘s choices in the NLRA and a district court‘s equitable assessment of a request for
To show irreparable harm, the Board must establish that its ability to remedy a violation of labor rights will likely be precluded absent interim relief. See, e.g., Frankl v. HTH Corp., 650 F. 3d 1334, 1362 (CA9 2012) (“In the context of the NLRA, permitting an alleged unfair labor practice to reach fruition and thereby render meaningless the Board‘s remedial authority is irreparable harm” (alteration and internal quotation marks omitted)). When evaluating the balance of the equities, district courts may consider harms to an opposing party, but they are prohibited from crediting a party‘s desire to continue engaging in an alleged violation of the NLRA. See Oakland Cannabis, 532 U. S., at 498 (“[W]hen a court of equity exercises its discretion, it may not consider the advantages and disadvantages of nonenforcement of the statute“). When addressing the public interest, courts must defer to Congress‘s articulation of that interest in the NLRA itself. See
The final factor—the likelihood of success on the merits—is more difficult to evaluate. That factor can be articulated in “a bewildering variety of formulations,” but, at core, it asks courts to predict how likely it is that a party seeking preliminary relief will ultimately prevail on the merits of their claims. 11A C. Wright, A. Miller, & M. Kane, Federal Practice and Procedure §2948.3, p. 197 (3d ed. 2013); see also id., at 201 (“All courts agree that a plaintiff must present a prima facie case but need not show a certainty of winning” (footnote omitted)). In my view, three aspects of the NLRA‘s scheme should inform this evaluation.
First, as described above, the NLRA makes the Board, not district courts, the primary adjudicator of labor disputes and the central expositor of labor policy. See
Second, as I previously explained,
Finally, the NLRA gives federal courts only a limited role
These three features of the statutory scheme necessarily mean that a district court‘s preliminary look at the merits when considering the Board‘s petition for interim relief under
C
The majority‘s contrary conclusion on the likelihood-of-success factor is based on various misrepresentations about the Board‘s authority under the NLRA. For example, in addition to mistakenly consigning the Board to the status of a mere party movant, see n. 3, supra, the majority misstates the Board‘s role in seeking
Unfortunately, today‘s decision appears to be another installment in a series of labor cases in which this Court has failed “to heed Congress‘s intent with respect to the Board‘s primary role in adjudicating labor disputes.” Glacier Northwest, Inc. v. Teamsters, 598 U. S. 771, 814 (2023) (JACKSON, J., dissenting). And, like its earlier decisions, “[t]he Court‘s ruling is likely to cause considerable confusion among the lower courts,” which have been for decades exercising their equitable discretion informed by the NLRA. Ibid. I recognize that, as a practical matter, the majority‘s decision here may make little difference, since requests for
*
*
*
A petition for
