Krystad v. Lau

400 P.2d 72, 65 Wash. 2d 827, 1965 Wash. LEXIS 776, 59 L.R.R.M. (BNA) 2129
CourtWashington Supreme Court
DecidedMarch 11, 1965
Docket36927
StatusPublished
Cited by71 cases

This text of 400 P.2d 72 (Krystad v. Lau) is published on Counsel Stack Legal Research, covering Washington Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Krystad v. Lau, 400 P.2d 72, 65 Wash. 2d 827, 1965 Wash. LEXIS 776, 59 L.R.R.M. (BNA) 2129 (Wash. 1965).

Opinions

Hale, J.

Extremes beget extremes; violence, in act or attitude, induces violence. Action in the affairs of men—as in the world of physics—tends to produce an equal and opposite reaction.

Respondent David Lau, an American citizen of Chinese ancestry, will have nothing to do with the Laundry and Dye Works Drivers’ Union, Local 566. He says in his affidavit that, in 1947, when he and his wife, Kow May Lau, began the laundry business, members of the union threatened him with physical violence. Respondent David Lau says that he sought to join the union but it refused him membership because of his oriental ancestry. Union representatives told him at the time, he says, that the union did not accept orientals in membership. Today, respondents, doing business as the Esquire Cleaners and Laundry, refuse to employ members of a labor union and will discharge any of their employees who join a labor union.

At the time the union rejected David Lau in 1947, he and his wife carried on the business. By 1961, when this action commenced, Esquire Cleaners had 58 employees operating 13 call offices for receiving and distributing laundry, a dry cleaning plant and a shirt laundry.

In October, 1961, four of their employees (appellants) joined the Laundry and Dye Works Drivers’ Union, Local No. 566, and designated it as their collective bargaining agent to negotiate wages, hours and employment conditions. Respondent David Lau thereupon summarily discharged them, solely because of their joining and designating the union as their collective bargaining agent.

The four discharged employees bring this unique action, seeking damages for claimed unlawful interference with [829]*829and coercion against their right to join and designate a labor union as their collective bargaining agent; they seek an injunction against such interference and coercion, and damages for loss of wages occasioned by the loss of employment.

Meeting these issues head on, the employers, with commendable candor, acknowledge that they discharged the four plaintiffs because of their joining and designating the union as their bargaining agent, and let the case rest on the premise that they had a right to do so. With few, or perhaps no, guideposts in the literature, the learned trial judge moved the case on its way here in denying plaintiffs’ motion for summary judgment on the ground that plaintiffs had failed to establish a basis for liability upon which relief could be properly granted, and entered judgment of dismissal on defendants’ cross-motion for the same reason. Plaintiffs, employees, bring this appeal.

The precise issue in the case emerges more clearly if we state respondents’ position first. Respondents say that an employer has a right to hire and fire at will unless this right has been abrogated or qualified by contract or statute; that Washington has never abrogated or qualified this right by statute; and that the facts show no contract establishing a term of employment.

Appellants, employees, tacitly concede the common-law right in the employer to discharge without cause, or for any cause however frivolous, but they say that Washington has a statute which abridges and qualifies the common-law rule. They refer to RCW 49.32.020, Laws of 1933, Ex. Ses., chapter 7, § 2, p. 10, frequently called the little Norris-LaGuardia Act.

Respondents counter this proposition with the argument that the little Norris-LaGuardia Act conferred no substantive rights, that § 2 thereof invoked by appellants is merely a declaration of policy, and that the entire act is fundamentally a limitation on the power of the court to grant injunctions in cases growing out of labor disputes and, additionally, renders unenforceable agreements to repudiate labor unions (“yellow-dog” contracts, RCW 49.32.030). [830]*830The whole case resolves into a problem of statutory construction.

Does Laws of 1933, Ex. Ses., chapter 7, § 2, p. 10 (RCW 49.32.020, the little Norris-LaGuardia Act), grant employees an affirmative, substantive right to be free from interference, coercion or restraint by the employer in joining a labor union? Or, is this section purely a declaration of policy to aid the courts in interpreting the remainder of the act?

The section reads:

“In the interpretation of this act and in determining the jurisdiction and authority of the courts of the State of Washington, as such jurisdiction and authority are herein defined and limited, the public policy of the State of Washington is hereby declared as follows:
“Whereas, Under prevailing economic conditions, developed with the aid of governmental authority for owners of property to organize in the corporate and other forms of ownership association, the individual unorganized worker is commonly helpless to exercise actual liberty of contract and to protect his freedom of labor, and thereby to obtain acceptable terms and conditions of employment, wherefore, though he should be free to decline to associate with his fellows, it is necessary that he have full freedom of association, self-organization, and designation of representatives of his own choosing, to negotiate the terms and conditions of his employment, and that he shall be free from interference, restraint, or coercion of employers of labor, or their agents, in the designation of such representatives or in self-organization or in other concerted activities for the purpose of collective bargaining or other mutual aid or protections; therefore, the following definitions of, and limitations upon, the jurisdiction and authority of the courts of the State of Washington are hereby enacted.”

Before analyzing the foregoing statute, we should first explain why this controversy was not handled by the National Labor Relations Board where, seemingly, it belonged. When, in 1935, the Congress enacted the Wagner Act (29 U.S.C.A. § 151, et seq.), it adopted a comprehensive statute for the settlement of' labor disputes affecting interstate commerce and created the NLRB to administer it (29 U.S.C.A: § 153; 49 Stat. 451); in 1947, Congress made [831]*831substantial amendments through the Taft-Hartley Act (29 U.S.C.A. § 141, et seq.; 61 Stat. 136). Then, in 1959, in the Labor-Management Reporting & Disclosure Act (29 U.S.C.A. § 164(c) (Cum. Supp. 1963)), Congress explicitly empowered the NLRB to do what it had assumed to do earlier under the rule-making power, i.e., to decline jurisdiction in labor disputes where it believed the effect of the dispute on interstate commerce would be insufficient to warrant its exercise of jurisdiction.

Acting under this authority, the NLRB has by rule declined jurisdiction over retail establishments having less than $500,000 gross annual sales. Carolina Supplies & Cement Co., 122 NLRB 88 (1958). The Regional Director, 19th Region, NLRB, has declined jurisdiction here on the ground that Esquire’s gross business fell short of the jurisdictional minimum, and its activities did not otherwise substantially affect interstate commerce.

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Cite This Page — Counsel Stack

Bluebook (online)
400 P.2d 72, 65 Wash. 2d 827, 1965 Wash. LEXIS 776, 59 L.R.R.M. (BNA) 2129, Counsel Stack Legal Research, https://law.counselstack.com/opinion/krystad-v-lau-wash-1965.