National Labor Relations Board v. Aquabrom, Division of Great Lakes Chemical Corp.

855 F.2d 1174
CourtCourt of Appeals for the Sixth Circuit
DecidedAugust 24, 1988
DocketNo. 77-1732
StatusPublished
Cited by4 cases

This text of 855 F.2d 1174 (National Labor Relations Board v. Aquabrom, Division of Great Lakes Chemical Corp.) is published on Counsel Stack Legal Research, covering Court of Appeals for the Sixth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
National Labor Relations Board v. Aquabrom, Division of Great Lakes Chemical Corp., 855 F.2d 1174 (6th Cir. 1988).

Opinion

NATHANIEL R. JONES, Circuit Judge.

This seemingly endless labor dispute has now managed to reach this court in one form or another for the fourth, and we hope, final time. The current posture of the ease is essentially the same as it was three years ago when the case was last before us. Specifically, the National Labor Relations Board (“Board”) seeks to have respondents Aquabrom, Division of Great Lakes Chemical Corp. and Tesco Chemical, Inc., a wholly owned subsidiary of Great Lakes Chemical Corporation (collectively referred to as “Great Lakes” or “the Com[1176]*1176pany”), as successors to the Bromine Division of Drug Research, Inc. (“Bromine”), held in civil contempt for failing to comply with this court’s May 23, 1980 judgment, enforcing in full a Board order issued on November 4,1977. That order directed the successors and assigns of Bromine to bargain with the International Union, United Automobile, Aerospace, and Agricultural Implement Workers of America (“Union”) as the recently certified bargaining representative of Bromine’s employees.

The contempt proceedings were initially referred to a Special Master, who, in his recommended decision, found that the Company was a successor to Bromine and had violated this court’s May 1980 judgment by refusing to bargain with the Union. The Master recommended that the Company be adjudicated in civil contempt and be required to, among other things, bargain with the Union in order to purge itself of this contempt adjudication.

On appeal to this court, we held that the successorship determination should be made by the Board in the first instance, not by a Special Master. Accordingly, we retained jurisdiction over the case and remanded to the Board to determine the sole question of whether Great Lakes was a successor to Bromine. On remand, the Board concluded that Great Lakes was indeed Bromine’s successor.

For the reasons set forth below, we hold that the Board’s decision that Great Lakes was a successor to Bromine is supported by substantial evidence, and adopt that decision for purposes of our resolution of the contempt issue. Further, because Great Lakes acquired Bromine’s business with knowledge both of Bromine’s refusal to bargain with the then-recently certified Union and of the unfair labor practice proceedings pending against Bromine because of that refusal, Great Lakes was obligated to bargain with the Union, pursuant to the Board’s November 1977 order, as a remedy for Bromine’s unlawful refusal to do so. Because Great Lakes has never complied with that order as enforced by the judgment of this court in May of 1980, we agree with the Special Master that Great Lakes is in civil contempt. Accordingly, as outlined later in this opinion, we direct that Great Lakes take certain steps to purge itself of this contempt adjudication.

I. Facts and Procedural History

This case has a long history, but the facts can be briefly stated. In June 1975, an election was held in a unit of production and maintenance workers employed by Bromine. The union won the election by a vote of eleven to nine, with ten ballots challenged. These challenges were eventually resolved by the Board which issued an order directing that five of the ten challenged ballots be opened and counted. (224 NLRB 1275) (The “Bromine /” proceedings). As a result, on July 1, 1976, the Union was certified by the Regional Director with a final vote count of 14-11. Thereafter, Bromine refused to recognize or bargain with the Union in order to test the validity of the certification.

Because Bromine refused to bargain with the Union, the General Counsel issued a complaint against Bromine alleging various unfair labor practices. (The “Bromine II” proceedings). During early 1977, an administrative law judge (“AU”) conducted hearings on these allegations, and, on June 27, 1977, issued a report finding that Bromine had unlawfully refused to bargain with the Union following the Board’s Bromine I decision and the Union’s certification pursuant to that decision. On June 15, 1977, twelve days before the AU issued this recommended decision and order, Great Lakes took over the management of Bromine’s business. The parties do not dispute that, at the time of the acquisition, Great Lakes was aware both of the Board’s decision in Bromine I in which the Board had ordered the counting of various challenged ballots and of the unfair labor practice proceedings then pending before the AU in Bromine II.

Despite the sale of its business to Great Lakes, Bromine continued to challenge the prospect of bargaining with the Union, and, on August 1, 1977, filed exceptions to the AU’s recommended decision in Bromine II. On November 4, 1977, the Board [1177]*1177adopted the AU’s recommendation and ordered Bromine and “its officers, agents, successors and assigns” to bargain with the Union upon request. 233 NLRB at 253 (emphasis added). Bromine appealed the Board’s order to this court. At no time during the Board proceedings or in the subsequent appellate proceedings did either Bromine or Great Lakes inform the Board that Bromine had been acquired by Great Lakes.

On August 11,1978, a panel of this court issued its decision enforcing the Board’s decision and order in Bromine I. Bromine Div., Drug Research, Inc. v. NLRB, 580 F.2d 239 (6th Cir.1978). Accordingly, on August 28, 1978, the Union wrote to Great Lakes and requested that it begin negotiations immediately. The Union asserted that after the August 11th decision there was no longer any basis for a challenge to the election results and the Union’s certification, and that bargaining should therefore begin immediately. Great Lakes nevertheless refused to bargain, and at all times thereafter has refused to recognize or bargain with the Union.

Nothing of procedural significance happened in the case over the next year and a half. Moreover, it is apparent that the Union did not make further bargaining requests to Great Lakes, and neither the Union nor the Board brought unfair labor practice charges against Great Lakes for its refusal to bargain.

On April 28, 1980, a panel of this court issued its decision enforcing in full the Board’s decision in Bromine II, in which Bromine and its successors were ordered to bargain with the Union upon request. Bromine Div., Drug Research Inc. v. NLRB, 621 F.2d 806 (6th Cir.1980). A judgment was entered pursuant to that decision on May 23, 1980. Claiming not to be a successor to Bromine, Great Lakes continued to refuse to bargain with the Union although it complied with all other aspects of the Board’s enforced order in Bromine II.

Subsequent to this court’s decision, the Company advised the Board that it would stipulate to another election, to be conducted by the Board, so that the representational wishes of its employees could be determined. This offer for a new election was rejected by both the Union and the Board. Also, on July 25, 1980, 41 of the 44 hourly production and maintenance employees of Great Lakes signed a decertification petition expressing their desire not to be represented by the Union. On August 26, 1980, the Acting Regional Director for the Seventh Region dismissed the petition on the grounds that the bargaining order issued against Bromine had never been complied with. A request for review of the dismissal was denied by the Board on January 26, 1981.

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

Related

Cite This Page — Counsel Stack

Bluebook (online)
855 F.2d 1174, Counsel Stack Legal Research, https://law.counselstack.com/opinion/national-labor-relations-board-v-aquabrom-division-of-great-lakes-ca6-1988.