General Electric Company v. John A. Callahan, Commissioner of Labor and Industries of the Commonwealth of Massachusetts

294 F.2d 60, 48 L.R.R.M. (BNA) 2929, 1961 U.S. App. LEXIS 3696
CourtCourt of Appeals for the First Circuit
DecidedAugust 24, 1961
Docket5775
StatusPublished
Cited by31 cases

This text of 294 F.2d 60 (General Electric Company v. John A. Callahan, Commissioner of Labor and Industries of the Commonwealth of Massachusetts) is published on Counsel Stack Legal Research, covering Court of Appeals for the First Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
General Electric Company v. John A. Callahan, Commissioner of Labor and Industries of the Commonwealth of Massachusetts, 294 F.2d 60, 48 L.R.R.M. (BNA) 2929, 1961 U.S. App. LEXIS 3696 (1st Cir. 1961).

Opinion

*62 WOODBURY, Chief Judge.

The appellant, General Electric Company, is a New York corporation engaged in the business of manufacturing a great variety of electrical machines and devices. There can be no doubt whatever that it is engaged in “commerce” as defined in § 2(6) of the Labor Management Relations Act, 1947, 29 U.S.C.A. § 152 (6) and is therefore subject to the jurisdiction of the National Labor Relations Board. It has manufacturing plants in several Massachusetts communities, including Lynn, West Lynn and Medford, where it employs approximately 620 draftsmen, apprentices, designers, detailers and tracers. For years Local 142, American Federation of Technical Engineers, AFL-CIO, has been the Board certified representative of these employees for the purposes of collective bargaining.

On August 10, 1960, representatives ■of the appellant, G. E. hereinafter, and the Union commenced negotiations for a new collective bargaining agreement to follow one due to expire on October 1, 1960. Negotiations dragging on unsuccessfully, the parties, on November 10, 1960, entered into a “Memorandum of Agreement Concerning Strike Truce” effective as of that date which re-established substantially all of the terms and conditions of the expired contract and terminated a strike of some six weeks duration.

By letter dated November 22,1960, the Governor of Massachusetts requested the Board of Conciliation and Arbitration in the Department of Labor and Industries of the Commonwealth of Massachusetts, for brevity the State Board hereinafter, to “investigate and report upon the controversy” between the Union and G. E. in accordance with the provisions of Massachusetts General Laws Chapter 150 § 3 quoted in material part in the margin. 1 This letter followed by six days a letter of November 16, 1960, from the attorneys for the Union asking the State Board to “make inquiry into the cause of the controversy” between G. E. and the Union, “to hear all persons interested in the controversy who may come before it” to “advise” the parties “what ought to be done or submitted to by either or both to adjust” the controversy and “make a written decision thereof; and in the performance of-the foregoing functions to take such action as is required under G.L. Ch. 150, Sections 5 and 6” also quoted in material part in the margin. 2

*63 The State Board responded to these letters by scheduling a hearing for December 2, 1960, postponed at the appellant’s request to December 13 and subsequently again postponed, for the purpose of investigating the controversy between G. E. and the Union and taking the action thereon required of it by statute. It gave notice thereof to the Union and G. E.

In the meantime, on December 9, Counsel for G. E. had filed a verified complaint in the court below against the Commissioner of Labor of the Commonwealth of Massachusetts and the three members of the State Board, all of whom are naturally citizens of Massachusetts, asking for temporary and permanent injunctions against any action under the sections of the Massachusetts statute quoted above on the ground that the State Board was without jurisdiction for the reason that Congress had “pre-empted the field” of labor disputes in industries affecting “commerce” as defined in the federal legislation on the subject. Federal jurisdiction was alleged to rest upon diversity of citizenship and an adequate amount in controversy and it was also asserted that the action arose under Article VI, Clause 2 of the Constitution of the United States (the so-called Supremacy Clause), and the Fourteenth Amendment. 3 Jurisdiction in equity was rested on the assertion that the plaintiff was threatened with irreparable injury and had no adequate remedy at law.

The plaintiff’s application for a temporary injunction came on for hearing before the court below on December 12 at which time, without taking any evidence, the court gave an opinion from the bench concluding with the announcement: “The relief prayed for is denied,” supplemented after colloquy with counsel for the appellant by the statement: “The Complaint is dismissed.” Later on the same day the court below endorsed on the complaint: “Denied for lack of Equity Jurisdiction.”

On the same day, December 12, the State Board issued summonses to representatives of G. E. directing them to appear before it on December 15 to give evidence of what they knew about the controversy. At that hearing counsel for G. E., appearing specially for the G. E. officials summoned to appear, petitioned the State Board to quash the summonses for lack of jurisdiction and supported their contention with a brief and oral argument. The State Board immediately denied the petition and G. E. on the same day appealed to this court from the action taken on December 12 by the court below. 4 Subsequently counsel for *64 G. E. again unsuccessfully argued the same jurisdictional point before the State Board. But before the State Board took any further action this court entered an order granting the appellant relief pending appeal.

The basis for the District Court’s action is not altogether clear from its extemporaneous opinion. It seems to have rested its conclusion in part upon Myers v. Bethlehem Shipbuilding Corp., 1938, 303 U.S. 41, 58 S.Ct. 459, 82 L.Ed. 638, and in part upon the assertion that a court of equity “must not act to enjoin” an administrative agency “from conducting hearings and making findings, embarrassing as they may be, merely because such agency is acting without any warrant of law and contrary to the Constitution,” which it immediately elaborated with the statement: “Those who engage in such conduct in a quasi-official or official capacity run such risk as there may be of private action against them if it be found that what they have done is tortious, and malicious, and undertaken with a full awareness that they are without power, and with the mere purpose of creating political or other embarrassment.”

Myers v. Bethlehem Shipbuilding Corp., supra, is not in point. The Gourt in that case held that the district courts lacked jurisdiction to enjoin the National Labor Relations Board from conducting hearings on charges of unfair labor practices for the reason that Gongress had vested “exclusive” power to prevent unfair labor practices in the Board subject to judicial review only by the United States Courts of Appeals and ■on certiorari by the Supreme Court of the United States. The case is not in point •on the question of adequate legal remedy, for no federal court has power to review actions of the State Board and it is established doctrine that the adequacy of relief available to G. E. at law is to be measured by the character of the relief which may be had in the federal courts. American Federation of Labor v. Watson, 1946, 327 U.S. 582, 594, 66 S.Ct. 761, 90 L.Ed. 873; Di Giovanni v. Camden Fire Insurance Ass’n, 1935, 296 U.S. 64, 69, 56 S.Ct. 1, 80 L.Ed. 47.

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294 F.2d 60, 48 L.R.R.M. (BNA) 2929, 1961 U.S. App. LEXIS 3696, Counsel Stack Legal Research, https://law.counselstack.com/opinion/general-electric-company-v-john-a-callahan-commissioner-of-labor-and-ca1-1961.