Chester Railing and Paul Railing, D/B/A C & P Coal Company v. United Mine Workers of America

429 F.2d 780, 74 L.R.R.M. (BNA) 2803
Court of Appeals for the Fourth Circuit·Decided July 17, 1970·No. 12723·Published·Cited by 6 cases

Opinions

CRAVEN, Circuit Judge.

Chester and Paul Railing began this action on June 28, 1961, for injuries to their business and property alleged to have been caused by unfair labor practices of the officers, agents, representatives and members of the United Mine Workers of America.1 Jurisdiction rests upon 29 U.S.C. § 187 (1964).

[781] The Railings conducted a nonunion coal strip-mining operation and coal tipple at Berry Run, West Virginia. In April of 1958, Railings’ employees, allegedly instigated by the Union, struck and picketed these operations. The Union’s purpose was said to be: (1) to force the Railings to recognize the Union as exclusive bargaining representative, and (2) to force the Railings to cease-doing business with other employers or to cease using, selling or otherwise handling the products of other employers, thereby forcing these other employers to recognize the Union as the bargaining representative of their employees. Additionally, the Railings allege that UMW maliciously destroyed specific items of equipment and property2 and induced employees of other employers to engage in a concerted refusal to handle or otherwise work on any coal produced by Railing. On July 14, 1959, there was a complete cessation of all strike activity and picketing pursuant to an injunction issued by the National Labor Relations Board; however, the Railings did not institute this action until June 28, 1961, one year and approximately eleven and one-half months after such cessation.

The Railings appeal from the partial grant of UMW’s motion for summary judgment as it related to the application of the two-year statute of limitations prescribed by W.Va.Code, ch. 55, art. 2, § 12 (Michie 1966). The district court held that the statute of limitations began to run on the alleged illegal activities of UMW from each day of their occurrence and not from the time when all such activities ceased.3 The result is to bar many claims that would be viable if the statute of limitations were adjudged to run from the date of cessation of illegal activity.

In its discussion of the issue now before us, the district court addressed itself to two basic questions: (1) what period of limitation was to be applied, and (2) when the cause of action being sued upon accrued and when the period of limitations began to run.

Section 303 of the Labor Management Relations Act contains no statute of limitations. The district court referred to state law to determine the pertinent period of limitation to be applied. Plaintiffs originally instituted this action in the District Court for the Eastern District of Kentucky, but the action was transferred to the District Court for the Northern District of West Virginia upon motion of UMW. The court below, the transferee district court, determined that it must look to the law of the State of Kentucky, the state from which the transfer was made, including Kentucky’s “borrowing statute,” KRS 413.060, to determine the statute of limitations applicable to the cause of action sued upon. See Cope v. Anderson, 331 U.S. 461, 67 S.Ct. 1340, 91 L.Ed. 1602 (1947). The Kentucky statute required the application of the West Virginia two-year period of limitation, since it was shorter than the period of limitation prescribed by Kentucky. The Railings do not challenge the correctness of this ruling.

It is the district court’s disposition of the problem relating to accrual of the cause of action that is the subject of appeal. In treating this issue of accrual the district court correctly determined that federal and not state law must be applied. Rawlings v. Ray, 312 U.S. 96, 61 S.Ct. 473, 85 L.Ed. 605 (1941). This is so even though the period of limitation is “borrowed” from the appropriate state. Cope v. Anderson, 331 U.S. 461, 67 S.Ct. 1340, 91 L. Ed. 1602 (1947). Although it is clear that federal law is to be applied, it is not so clear what that law may be. Since neither the statute nor the report[782] ed decisions determine when a cause of action accrues under Section 303, we are faced, as was the court below, with the necessity of fashioning a rule of decision to be applied in determining when such cause of action “accrues.”

In undertaking to fashion such a rule we have examined cases involving private causes of action arising under the federal antitrust laws. In such cases as Highland Supply Corp. v. Reynolds Metals Co., 327 F.2d 725 (8th Cir. 1964); Crummer Co. v. Du Pont, 223 F.2d 238 (5th Cir. 1955); and Delta Theaters Inc. v. Paramount Pictures, Inc., 158 F. Supp. 644 (E.D.La.1958), it has been held that where private causes of action under the antitrust laws are based upon continuous invasions of one’s rights, the causes accrue from day to day as the injured party’s rights are invaded and damages result. The Union urges us to adopt the principle of the antitrust cases here.

On the other hand, the Railings contend that under the facts of the instant case, where the same illegal activity continued on a daily basis over a definite period, a cause of action should not be held to accrue and the limitation period should not commence to run until cessation of the acts complained of;4 that it would be impossible to compute damages on a day-to-day basis, and that the decision of the district court requires of a prospective plaintiff “an attempt at prophecy or projecting into the future how long the alleged illegal activities would continue and what their future effect would be;” that it is unfair to put the injured party in the difficult position of having to protect himself from the running of the statute of limitations while the illegal activities continue.

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Chester Railing and Paul Railing, D/B/A C & P Coal Company v. United Mine Workers of America, 429 F.2d 780, 74 L.R.R.M. (BNA) 2803 (4th Cir. 1970).

429 F.2d 780 (Chester Railing and Paul Railing, D/B/A C & P Coal Company v. United Mine Workers of America) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

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