Beebe v. Union Railroad

208 A.2d 16, 205 Pa. Super. 146, 58 L.R.R.M. (BNA) 2813, 1965 Pa. Super. LEXIS 1041
CourtSuperior Court of Pennsylvania
DecidedMarch 18, 1965
DocketAppeal, No. 157
StatusPublished
Cited by7 cases

This text of 208 A.2d 16 (Beebe v. Union Railroad) is published on Counsel Stack Legal Research, covering Superior Court of Pennsylvania primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Beebe v. Union Railroad, 208 A.2d 16, 205 Pa. Super. 146, 58 L.R.R.M. (BNA) 2813, 1965 Pa. Super. LEXIS 1041 (Pa. Ct. App. 1965).

Opinion

Opinion by

Flood, J.,

Glenn C. Beebe brought this suit in assumpsit for loss of earnings in the sum of $8,673 against his employer, the Union Railroad Company. His complaint alleges that he had been injured in the course of his employment and, in an action brought under the Federal Employers’ Liability Act, had obtained a verdict against the railroad on June 25, 1957; that from that date until November 4, 1958, the railroad “held him out of service without just cause” in violation of the contract existing between the railroad and the Brotherhood of Railroad Trainmen, the plaintiff’s bargaining agent, which contract gave him “certain rights of seniority and other benefits”, and also in violation of specific promises (that he was not putting his job in jeopardy by prosecuting the suit to recover for his injury and would be returned to work immediately) made by a claim agent and an attorney for the railroad. The court below, upon the defendant’s motion, entered an or[148]*148der dismissing the complaint, holding: (1) the complaint did not allege facts showing a wrongful discharge, and therefore the National Railroad Adjustment Board had exclusive jurisdiction, precluding any state court remedy, (2) even if there was a wrongful discharge, the plaintiff was barred because he failed to show that he had exhausted his administrative remedies as required under Pennsylvania law, and (3) relief could not be based upon promissory estoppel because of any verbal promise made to the plaintiff by the defendant’s agents since the collective bargaining contract made between plaintiff’s union and the defendant railroad precluded any inconsistent individual arrangements between the railroad and a single employe.

The appellant argues that the court could not determine from the pleadings that he was not discharged, and that if he were discharged, the Railway Labor Act did not preclude suit in the state court. We agree with the court below that the plaintiff was not discharged and that, on the contrary, the pleadings affirmatively show that he did not “accept his discharge as final”. See comment of Mr. Justice Black in Slocum v. Delaware L. & W. R. Co., 339 U. S. 239, at 244 (1950) : “Moore was discharged by the railroad. He could have challenged the validity of his discharge before the Board, seeking reinstatement and back pay. Instead he chose to accept the railroad’s action in discharging him as final, thereby ceasing to be an employe, and brought suit claiming damages for breach of contract. As we there held, the Railway Labor Act does not bar courts from adjudicating such cases.” We also agree with the holding of the court below that even if the plaintiff had been discharged, he could not bring suit under the law of Pennsylvania until he had exhausted his administrative remedies.

[149]*149The Railway Labor Act, May 20, 1926, c. 347, §1, 44 Stat. 577,. as amended, May 24, 1949, c. 139, §127, 63 Stat. 107, 45 U.S.C.A. §151 et seq., provides in §153 (i) that “disputes between an employee or group of employees and a carrier or carriers growing out of grievances or out of the interpretation or application of agreements concerning rates of pay, rules, or working conditions . . . shall be handled in the usual manner up to and including the chief operating officer of the carrier designated to handle such disputes; but, failing to reach an adjustment in this manner, the disputes may be referred by petition of the parties or by either party to the appropriate division of the Adjustment Board with a full statement of the facts and all supporting data bearing upon the disputes.”

The plaintiff bases his contention on Moore v. Illinois Central Railroad Co., 312 U. S. 630 (1941), which held that the Railway Labor Act did not bar an employe’s suit for wages in a state court based upon wrongful discharge. The authority of that case, however, has been seriously weakened by later decisions.

It is true that the Moore holding was reaffirmed in Slocum v. Delaware L. & W. R. Co., supra, and in Transcontinental & Western Air, Inc. v. Koppal, 345 U. S. 653 (1953). But in the latter case, the court also held that, if state law so requires, the employe must show that he has exhausted his administrative remedies under his contract. The contract provided a grievance procedure “comparable to that ... of the ■Railway Labor Act”. The court held that since the contract was a Missouri contract and Missouri law required that the plaintiff first exhaust his administrative remedies, his failure to do so required the affirmance of the action of the District Court dismissing the complaint in an action based upon wrongful discharge.

Pennsylvania also requires the exhaustion of administrative remedies as a prerequisite to an action [150]*150for wrongful discharge in such a case. Falsetti v. Local U. No. 2026, U.M.W.A., 400 Pa. 145, 161 A. 2d 882 (1960). In that case our Supreme Court adopted the language of Judge Fuld in Parker v. Borock, 5 N.Y. 2d 156, 162, 156 N.E. 2d 297, 300 (1959), as follows: “. . . absent specific language giving the employee the right to act on his own behalf, it is my conclusion that, under a collective bargaining agreement such as the one before us — which contains provision for the submission of unsettled disputes to arbitration — the union alone has a right to control the prosecution of discharge cases. (See Cox, Rights Under a Labor Agreement, 69 Harv. L. Rev. 601, 648-652.)” The Pennsylvania Court said further: “If the Union, in processing an employee’s grievance, does not act in good faith, in a reasonable manner and without fraud, it becomes liable in damages for breach of duty . . .” Falsetti v. Local U. No. 2026, U.M.W.A., supra, at 170, 171, 161 A. 2d 894, 895.

However, we need not consider the Pennsylvania rule as to exhaustion of remedies, or whether the case before us falls within any of its exceptions, since the matter has now become one of federal law, and such claims must be brought in the first instance before the Railway Adjustment Board unless the parties have expressly agreed to the contrary.

In Republic Steel Corp. v. Maddoox, 379 U. S. 650, 85 S. Ct. 614,13 L. Ed. 2d 580 (1965), it was held that in a suit for severance pay (to which appellee in that case was entitled under the contract, if his layoff was the result of a decision of the appellant to close its mine) federal law governs and suit may not be maintained except after following the grievance procedure under the contract between the union and the employer.

The court said: “Federal jurisdiction in both Moore and Koppal was based on diversity; federal law was [151]*151not thought to apply merely by reason of the fact that the collective bargaining agreements were subject to the Railway Labor Act. Since that time the Court has made it clear that substantive federal law applies to suits on collective bargaining agreements covered by §204 of the Railway Labor Act, International Assn, of Machinists v. Central Airlines, Inc., 372 U. S. 682, and by §301 (a) of the LMRA,

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Bluebook (online)
208 A.2d 16, 205 Pa. Super. 146, 58 L.R.R.M. (BNA) 2813, 1965 Pa. Super. LEXIS 1041, Counsel Stack Legal Research, https://law.counselstack.com/opinion/beebe-v-union-railroad-pasuperct-1965.