McDonald v. CHICAGO, M., ST. P. & PR CO.

130 N.W.2d 794, 25 Wis. 2d 205
CourtWisconsin Supreme Court
DecidedOctober 27, 1964
StatusPublished

This text of 130 N.W.2d 794 (McDonald v. CHICAGO, M., ST. P. & PR CO.) is published on Counsel Stack Legal Research, covering Wisconsin Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
McDonald v. CHICAGO, M., ST. P. & PR CO., 130 N.W.2d 794, 25 Wis. 2d 205 (Wis. 1964).

Opinion

25 Wis.2d 205 (1964)

McDONALD, Appellant,
v.
CHICAGO, MILWAUKEE, ST. PAUL & PACIFIC RAILROAD COMPANY and another, Respondents.

Supreme Court of Wisconsin.

September 28, 1964.
October 27, 1964.

*208 For the appellant there were briefs and oral argument by A. M. Frederickson of Milwaukee.

For the respondent Chicago, Milwaukee, St. Paul & Pacific Railroad Company there was a brief by Bender, Trump, Davidson & Godfrey and Rodger S. Trump, all of Milwaukee, and oral argument by Rodger S. Trump.

For the respondent Brotherhood of Maintenance of Way Employees there was a brief by Shea & Hoyt of Milwaukee, and Mulholland, Hickey & Lyman of Toledo, Ohio, attorneys, and Ralph M. Hoyt of Milwaukee, and Richard R. Lyman and Donald W. Fisher, both of Toledo, of counsel, and oral argument by Mr. Ralph M. Hoyt and Mr. Fisher.

FAIRCHILD, J.

1. Jurisdiction. The circuit court was of the opinion that because this action would involve interpretation of a collective-bargaining agreement between a railroad and a union the Congress. by the Railway Labor Act, had *209 vested exclusive jurisdiction in the national railroad adjustment board.

The Railway Labor Act[1] classified railroad labor disputes into two large categories, labeled by the supreme court as "major" and "minor" and established separate procedures for handling each.[2] Major disputes involve agreements not yet reached; i.e., negotiations for future contracts. They present the large issues over which strikes ordinarily arise. Such disputes are submitted to mediation under the auspices of the national mediation board, arbitration upon consent of both parties, and possible ultimate presidential intervention. As the disputes involve agreements not yet reached, the act does not compel agreement, but only requires that its voluntary procedures be exhausted before the parties resort to economic self-help.

Minor disputes involve agreements already entered into and rights already accrued. They consist of disputes and differences as to interpretation of agreements in effect, and the effect of those agreements upon situations and problems which arise incidentally in the course of employment. With respect to "minor" disputes "the Act does not leave the parties wholly free, at their own will, to agree or not to agree."[3] The act established the national railroad adjustment board. Sub. (i) of the act provides:[4]

"The disputes between an employee or group of employees and a carrier or carriers growing out of grievances or out of the interpretation or application of agreements concerning rates of pay, rules, or working conditions, including cases pending and unadjusted on June 21, 1934, shall be handled in the usual manner up to and including the chief operating *210 officer of the carrier designated to handle such disputes; but, failing to reach an adjustment in this manner, the disputes may be referred by petition of the parties or by either party to the appropriate division of the Adjustment Board with a full statement of the facts and all supporting data bearing upon the disputes."

The board has "jurisdiction" to determine grievances and make awards; either party may submit a dispute to the board whether or not the other is willing. The board's decisions are final and binding.[5] Unions may be enjoined from calling strikes over such controversies.[6] This procedure for the handling of minor disputes has been referred to by the federal courts as compulsory arbitration in a limited area.[7]

A claim of wrongful discharge of an employee is a "minor" dispute and falls within the board's jurisdiction. The federal courts have held as a general rule that in cases where the board has primary jurisdiction, such jurisdiction is exclusive.[8] However, in Moore v. Illinois Central R. Co.[9] the supreme court held that there was nothing in the Railway Labor Act to prevent a state court, and on removal a federal court, from entertaining an action for wrongful discharge.

*211 In Slocum v. Delaware, L. & W. R. Co.[10] relied upon by respondents and the trial court, the court held that a state court could not entertain an action for a declaratory judgment with respect to a jurisdictional dispute between two unions. The court stated that the dispute concerned interpretation of an existing bargaining agreement, and that settlement of the dispute "would have prospective as well as retrospective importance to both the railroad and its employees, since the interpretation accepted would govern future relations of those parties."[11] The action was thus within the exclusive jurisdiction of the national railroad adjustment board. However, the court went on to say:[12]

"Our holding here is not inconsistent with our holding in Moore v. Illinois Central R. Co., 312 U. S. 630. Moore was discharged by the railroad. He could have challenged the validity of his discharge before the Board, seeking reinstatement and back pay. Instead he chose to accept the railroad's action in discharging him as final, thereby ceasing to be an employee, and brought suit claiming damages for breach of contract. As we there held, the Railway Labor Act does not bar courts from adjudicating such cases. A common-law or statutory action for wrongful discharge differs from any remedy which the Board has power to provide, and does not involve questions of future relations between the railroad and its other employees. If a court in handling such a case must consider some provision of a collective-bargaining agreement, its interpretation would of course have no binding effect on future interpretations by the Board."

In a case decided the same day, the court held that a railroad could not seek an interpretation of a collective-bargaining contract by declaratory-judgment action in a state court *212 in a dispute arising from claims by continuing employees to extra pay for certain work.[13]

In Transcontinental Air v. Koppal[14] the supreme court stated:[15]

"This case presents two questions: (1) whether a discharged employee of a carrier that is subject to the Railway Labor Act is precluded by that Act from resorting to a staterecognized cause of action for wrongful discharge and, if not, (2) whether, in such action, he must show that he has exhausted his administrative remedies, under his contract of employment. For the reasons hereafter stated, our answer to the first question is no and to the second, yes, provided the applicable state law so requires."

The court went on to state:[16]

"The important point is that while the employment contract conforms to the policy of the Railway Labor Act and the Act provides a procedure for handling grievances so as to avoid litigation and interruptions of service, the Act does not deprive an employee of his right to sue his employer for an unlawful discharge if the employee chooses to do so."

And after quoting portions of the Moore and Slocum decisions to the effect that a discharged employee may bring a common-law action for damages in a court, the opinion went on:[17]

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Moore v. Illinois Central Railroad
312 U.S. 630 (Supreme Court, 1941)
Elgin, Joliet & Eastern Railway Co. v. Burley
325 U.S. 711 (Supreme Court, 1945)
Slocum v. Delaware, Lackawanna & Western Railroad
339 U.S. 239 (Supreme Court, 1950)
Order of Railway Conductors v. Southern Railway Co.
339 U.S. 255 (Supreme Court, 1950)
Transcontinental & Western Air, Inc. v. Koppal
345 U.S. 653 (Supreme Court, 1953)
California v. Taylor
353 U.S. 553 (Supreme Court, 1957)
Pennsylvania Railroad v. Day
360 U.S. 548 (Supreme Court, 1959)
Union Pacific Railroad v. Price
360 U.S. 601 (Supreme Court, 1959)
Martin v. Southern Railway Co.
136 S.E.2d 907 (Supreme Court of South Carolina, 1964)
Donahoo v. Thompson
291 S.W.2d 70 (Supreme Court of Missouri, 1956)
Widuk v. John Oster Manufacturing Co.
117 N.W.2d 245 (Wisconsin Supreme Court, 1962)
Atkinson v. Thompson
311 S.W.2d 250 (Court of Appeals of Texas, 1958)
Crockett v. Union Terminal Company
342 S.W.2d 129 (Court of Appeals of Texas, 1960)
Fray v. Amalgamated Meat Cutters & Butcher Workmen of North America
101 N.W.2d 782 (Wisconsin Supreme Court, 1960)
Wise v. Southern Pacific Co.
223 Cal. App. 2d 50 (California Court of Appeal, 1963)
Kopke v. Ranney
114 N.W.2d 485 (Wisconsin Supreme Court, 1962)
McDonald v. Chicago, Milwaukee, St. Paul & Pacific Railroad
130 N.W.2d 794 (Wisconsin Supreme Court, 1964)

Cite This Page — Counsel Stack

Bluebook (online)
130 N.W.2d 794, 25 Wis. 2d 205, Counsel Stack Legal Research, https://law.counselstack.com/opinion/mcdonald-v-chicago-m-st-p-pr-co-wis-1964.