Harrington v. Chao

372 F.3d 52, 175 L.R.R.M. (BNA) 2001, 2004 U.S. App. LEXIS 12147, 2004 WL 1379665
CourtCourt of Appeals for the First Circuit
DecidedJune 21, 2004
Docket04-1144
StatusPublished
Cited by10 cases

This text of 372 F.3d 52 (Harrington v. Chao) 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
Harrington v. Chao, 372 F.3d 52, 175 L.R.R.M. (BNA) 2001, 2004 U.S. App. LEXIS 12147, 2004 WL 1379665 (1st Cir. 2004).

Opinions

LYNCH, Circuit Judge.

In 1996 the United Brotherhood of Carpenters (UBC) reorganized its system of local unions and state and district councils to create larger “Full Services Regional Councils.” These new councils were given “all legislative and executive powers on all matters relating to the general interest and welfare of affiliated Local Unions and their members.” The UBC’s reorganization was largely a response to the accelerating regionalization of the construction industry. Construction work had become dominated by fewer and larger employers [54]*54who increasingly handled out-of-state projects. As a result, the UBC determined that its old network of local unions and state and district councils was no longer capable of bargaining effectively with employer associations.

This case involves a challenge by seven dissatisfied rank-and-file members of one regional council, the New England Regional Council of Carpenters (“NERCC”), to the procedure by which their officers are elected. The NERCC members do not directly elect their officers. Rather, the regional council’s officers are elected every four years by delegates who are themselves elected by the members of the local unions. The plaintiffs claim that the Labor-Management Reporting and Disclosure Act (LMRDA), 29 U.S.C. §§ 401-531, requires the direct election of the NERCC’s officers because the NERCC is a “local labor organization” within the meaning of the Act, id. § 481(b), notwithstanding the UBC’s designation of it as an intermediate body. ■

The Secretary of Labor initially determined that the NERCC is- an “intermediate” rather than a “local” union body and is thus not required by the Act to conduct direct elections. In Harrington v. Chao, 280 F.3d 50 (1st Cir.2002) (Harrington I), we found the Secretary’s explanation inadequate and remanded the case to her. A new Secretary reviewed the matter and reached the same conclusion, which she explained in a Supplemental Statement of Reasons (“SSR”). Plaintiffs again sued. The district court, interpreting Harrington I, found the conclusion as explained in the SSR to be arbitrary and capricious and issued injunctive relief. The Secretary appealed and at her behest this court stayed the district court’s injunctive order. We now hold that the Secretary’s determination was not arbitrary and capricious. We reverse the district court and order entry of judgment for the Secretary.

I. Background of LMRDA

Concerned about “instances of breach of trust, corruption, disregard of the rights of individual employees, and other failures to observe high standards of responsibility and ethical conduct” by entrenched union officials, 29 U.S.C. § 401(b), Congress in 1959 enacted the LMRDA. Pub.L. No. 86-257, 73 Stat. 519 (1959). Title IV of the Act regulates the election of union officers. 29 U.S.C. §§ 481-83. It requires that, the officers of all “local labor organizations” be elected directly by secret ballot of their members and that these elections take place not less than every three years. Id. § 481(b). If an organization is an “intermediate bod[y],”1 by , contrast, Title IV allows the union to choose between direct elections of the organization’s officers and election by representatives who are themselves elected,2 and provides that these elections must occur at least every four years. Id. § 481(d). These requirements are designed “to protect the rights of rank-and-file members to participate fully in the operation of their union through processes of democratic self-government, and ... to keep the union leadership responsive to the membership.” Wirtz v. Hotel, Motel & Club Employees Union, 391 U.S. 492, 497-98, 88 S.Ct. 1743, 20 L.Ed.2d 763 (1968).

The LMRDA does not define the terms “local labor organization” or “intermediate bodies.” The only explicit guidance pro[55]*55vided in the statutory text for categorizing union bodies as intermediate or local is the Act’s specification of several example “intermediate bodies.” These include “general committees, system boards, joint boards, or joint councils.” See 29 U.S.C. § 481(d).

Given the lack of specific definitions of intermediate and local bodies in the Act, the possibility existed that labor organizations would attempt to label their constituent entities as “local” or “intermediate” for the purpose of dictating which method of election would be used. To curb this potential, Congress authorized the Secretary to promulgate regulations concerning how she would determine whether an organization was local or intermediate. Id. § 489(b). Pursuant to this authorization, the Secretary has supplemented the Act’s limited guidance on the definitions of local and intermediate bodies with regulations providing that:

The characterization of a particular organizational unit as a “local,” “intermediate,” etc., is determined by its functions and purposes rather than the formal title by which it is known or how it classifies itself.

29 C.F.R. § 452.11.

Congress also made a union’s designations of its constituent entities subject to review by the Secretary at the request of union members. 29 U.S.C. § 482(b). To initiate the review process, aggrieved union members who have exhausted internal union remedies file a complaint with the Secretary. Id. § 482(a). If, after investigating the complaint, the Secretary finds probable cause to believe that a violation of Title IV occurred and that it probably infected the outcome of the election, she must bring suit to set aside the election. Id. § 482(b); Wirtz v. Local 153, Glass Bottle Blowers Ass’n, 389 U.S. 463, 472, 88 S.Ct. 643, 19 L.Ed.2d 705 (1968). In that sense, the Secretary has no discretion. See Heckler v. Chaney, 470 U.S. 821, 834, 105 S.Ct. 1649, 84 L.Ed.2d 714 (1985) (section 482(b) “quite clearly withdrew discretion from the agency and provided guidelines for exercise of its enforcement power”). If she decides there is no probable cause, she must explain the rationale for that result in writing. Dun-lop v. Bachowski, 421 U.S. 560, 571-72, 95 S.Ct. 1851, 44 L.Ed.2d 377 (1975).

At the same time that Congress was working to ensure effective union democracy, it was simultaneously taking steps to safeguard against excessive interference in the internal structure of unions. Most notably, Congress limited the ability to sue for violations of Title IV to the Secretary. See Calhoon v. Harvey,

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372 F.3d 52, 175 L.R.R.M. (BNA) 2001, 2004 U.S. App. LEXIS 12147, 2004 WL 1379665, Counsel Stack Legal Research, https://law.counselstack.com/opinion/harrington-v-chao-ca1-2004.