James McDermott v. Ampersand Publishing, LLC

CourtCourt of Appeals for the Ninth Circuit
DecidedJanuary 26, 2010
Docket08-56202
StatusPublished

This text of James McDermott v. Ampersand Publishing, LLC (James McDermott v. Ampersand Publishing, LLC) is published on Counsel Stack Legal Research, covering Court of Appeals for the Ninth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
James McDermott v. Ampersand Publishing, LLC, (9th Cir. 2010).

Opinion

FOR PUBLICATION UNITED STATES COURT OF APPEALS FOR THE NINTH CIRCUIT

JAMES J. MCDERMOTT, Regional  Director of Region 31 of the National Labor Relations Board, for and on behalf of the National No. 08-56202 Labor Relations Board, D.C. No. Petitioner-Appellant,  2:08-cv-01551- v. SVW-MAN AMPERSAND PUBLISHING, LLC, OPINION doing business as The Santa Barbara News-Press, Respondent-Appellee.  Appeal from the United States District Court for the Central District of California Stephen V. Wilson, District Judge, Presiding

Argued and Submitted March 11, 2009—Pasadena, California

Filed January 26, 2010

Before: Michael Daly Hawkins, Richard R. Clifton and Milan D. Smith, Jr., Circuit Judges.

Opinion by Judge Clifton; Dissent by Judge Hawkins

1447 MCDERMOTT v. AMPERSAND PUBLISHING 1451

COUNSEL

Ronald Meisburg, John E. Higgins, Jr., Barry J. Kearney, Judith I. Katz, Steven L. Sokolow, and Margaret E. Luke (argued), National Labor Relations Board, Washington, D.C., for the petitioner-appellant.

Framroze M. Virjee and Michael Garrison, O’Melveny & Myers LLP, Los Angeles, California; Sri Srinivasan (argued), O’Melveny & Myers LLP, Washington, D.C.; Ryan W. Rut- ledge, O’Melveny Myers, LLP, Newport Beach, California; A. Barry Cappello, Troy A. Thielemann, Matthew Clarke, and Dugan Kelley, Cappello & Noel, LLP, Santa Barbara, Califor- nia, for the respondent-appellee.

Barbara L. Camens, Barr & Camens, Washington, D.C.; Ira L. Gottlieb, Bush Gottlieb Singer Lopez Kohanski Adelstein & Dickenson, Glendale, California, for amici curiae the Graphics Communications Conference of the International Brotherhood of Teamsters and the Newspaper Guild/Communications Workers of America.

L. Michael Zinser, The Zinser Law Firm, P.C., Nashville, Tennessee; Bruce D. Brown, Baker & Hostetler LLP, Wash- ington, D.C., for amicus curiae Newspaper Association of America.

L. Michael Zinser, The Zinser Law Firm, P.C., Nashville, Tennessee, for amici curiae Gannett Co., Inc.; Lee Enter- prises, Inc.; Medianews Group, Inc.; and Stephens Media, LLC. 1452 MCDERMOTT v. AMPERSAND PUBLISHING OPINION

CLIFTON, Circuit Judge:

National Labor Relations Board Regional Director James J. McDermott (the Regional Director) appeals the district court’s denial of temporary injunctive relief under Section 10(j) of the National Labor Relations Act (NLRA), 29 U.S.C. § 160(j). The district court decided that “a significant risk of a First Amendment violation” would arise if Ampersand Pub- lishing, LLC, doing business as The Santa Barbara News- Press, were forced, among other things, to reinstate employ- ees it discharged for union activity directed at pressuring the newspaper’s owner and publisher to refrain from exercising editorial control over news reporting. McDermott ex rel. NLRB v. Ampersand Publ’g LLC, 2008 U.S. Dist. LEXIS 94596, at *39 (C.D. Cal. May 21, 2008). Weighing the equita- ble factors generally applicable to a claim for interim injunc- tive relief with an eye toward the greater burden needed to grant an injunction that threatens to infringe First Amendment rights, the district court denied the petition. We affirm.

The First Amendment protects the right of a newspaper to control its content. The main thrust of the employees’ cam- paign to secure representation by the Graphic Communica- tions Conference, International Brotherhood of Teamsters (the Union) appears to have been to block or limit the influence of the owner and publisher of the News-Press over the content of the news sections of the paper and to focus that authority in the employees themselves, as reporters and editors. We conclude that the district court correctly required a heightened showing of equitable need under our case law, because the interim relief sought by the government in support of union activity aimed at obtaining editorial control poses a threat of violating the rights of the News-Press under the First Amend- ment. Applying the Supreme Court’s recent guidance on the general standard for granting preliminary injunctions, we fur- ther determine that the district court did not abuse its discre- MCDERMOTT v. AMPERSAND PUBLISHING 1453 tion in declining to order the interim injunctive relief sought by the Regional Director.

I. Background

As described in more detail below, an NLRB administra- tive law judge (ALJ) presided over a trial and produced a lengthy recommended decision and order in this case, cur- rently pending before the Board itself. The factual narrative provided here is largely drawn from the findings of fact made by the ALJ as part of that decision.

The News-Press is a daily newspaper published in Santa Barbara, California. The News-Press’s owner and co- publisher, Wendy McCaw, purchased the paper in 2000 through her privately-held company, Ampersand Publishing.

Beginning in 2004, McCaw voiced concerns that the paper’s news reporting was sometimes biased. She took vari- ous actions to try to eliminate the bias she perceived, includ- ing issuing warning letters to reporters and conducting staff training sessions. Early in July 2006, following a series of clashes over what the district court described as “issues of content,” several editors and reporters resigned from their positions at the News-Press to protest what they perceived as unethical interference in the news-reporting function of the newspaper by McCaw and her co-publisher, Arthur von Weisenberger.

The ALJ found that these resignations prompted the remaining News-Press newsroom employees to seek out the Union. On July 6, 2006, about thirty employees met with Union representatives. After discussions with the Union, the employees drafted a letter to the News-Press, dated July 13, 2006, listing four demands:

1. Restore journalism ethics to the Santa Barbara News-Press: implement and maintain a clear separa- 1454 MCDERMOTT v. AMPERSAND PUBLISHING tion between the opinion/business side of the paper and the news-gathering side.

2. Invite back the six newsroom editors who recently resigned . . . .

3. Negotiate a contract with the newsroom employ- ees governing our hours, wages, benefits and work- ing conditions.

4. Recognize [the Union] as our exclusive bargaining representative.

The next day, July 14, the Union and its employee supporters held a rally in front of the News-Press building where these same four demands were read aloud. At another event staged four days later, News-Press reporters held up four signs, each stating one of the demands from the July 13 letter.

The News-Press delivered its response to the employees’ July 13 letter on July 17. The response stated that the newspa- per “respected the employees’ right to decide whether or not . . . to have union representation” but declined to recognize the Union or to invite back the editors who had resigned. At an internal staff meeting in late July, city editor Scott Steeple- ton answered employees’ questions concerning McCaw’s involvement in the news department by saying that, as the owner of the paper, McCaw “had the right to be part of what- ever she wants to be part of.” The paper later published edito- rials criticizing the Union and proclaiming that it was “standing firm against allowing outside Union organizers to influence news coverage or interject bias into reporting.”

At an event on July 20, 2006, the employees unveiled their campaign to persuade readers to cancel their subscriptions by September 5 “if [the employees’] demands were not met.” They distributed pledge cards at that event and at various other functions in the months that followed that said: MCDERMOTT v.

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