National Labor Relations Board v. Stemun Manufacturing Company, Inc.

423 F.2d 737, 73 L.R.R.M. (BNA) 2899, 1970 U.S. App. LEXIS 10017
CourtCourt of Appeals for the Sixth Circuit
DecidedApril 2, 1970
Docket19438_1
StatusPublished
Cited by18 cases

This text of 423 F.2d 737 (National Labor Relations Board v. Stemun Manufacturing Company, Inc.) 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. Stemun Manufacturing Company, Inc., 423 F.2d 737, 73 L.R.R.M. (BNA) 2899, 1970 U.S. App. LEXIS 10017 (6th Cir. 1970).

Opinions

CELEBREZZE, Circuit Judge.

This is a petition for enforcement of a National Labor Relations Board (hereinafter the “Board”) order requiring Stemun Manufacturing Company (hereinafter the Company) to cease and desist from certain unfair labor practices, and reinstate with back pay four discharged employees. The order reaffirms the Board’s original order which this Court remanded for the taking of additional evidence as to the genuineness of a document allegedly written before union activity began. N. L. R. B. v. Stemun Manufacturing Company, 386 F.2d 174 (6th Cir. 1968).

The facts of this case are fully set out by the Board at 153 NLRB No. 102 (1965) and 174 NLRB No. 50 (1968). In short, the Board found that the Company engaged in conduct which violated Section 8(a) (1) and (3) of the Act during a union organizational campaign which began in April, 1964, as a result of a Company program to discharge economically inefficient workers. The Company denies it has violated the Act and relies chiefly on the disputed document as evidence that it discharged its employees solely for lawful reasons.

The issues before this Court are: First, whether there is substantial evidence to support the Board’s finding as to the fraudulent creation of the document. Second, whether there is nevertheless substantial evidence of Company violations of employee rights protected under §§ 8(a) (1) and 8(a) (3) of the Act.

The Genuineness of The Document.

The Board specifically found that the document was fraudulently prepared after union activity was commenced with the intent of deceiving the Board into believing that the discharges of four employees were based on lawful economic motives.

The Taft-Hartley Act, 29 U.S.C. § 160 (e) (1964) requires us to affirm such a factual finding of the Board if it is corroborated by “substantial evidence” when viewing the “record considered as a whole.” In Universal Camera Corporation v. N. L. R. B., 340 U.S. 474, 71 S.Ct. 456, 95 L.Ed. 456 (1951), the “relation between the Board and the Court of Appeals” with regard to factual findings supporting a petition for enforcement of a Board order was set out with particularity. We were instructed to set aside those judgments in which we “cannot conscientiously find that the evidence supporting that decision is substantial, when viewed in the light that the record in its entirety furnishes, including the body of evidence opposed to the Board’s view.” 340 U.S. at 476, 488, 71 S.Ct. at 458, 465.

The Board has relied on several circumstantial factors which it contends taken as a whole validate its finding that the challenged memorandum was not genuine. First, the Company did not produce the document in the eight months of pre-hearing discussions with the Board’s representatives, although it would have clearly been relevant. Second, neither the President nor Super[739]*739intendent mentioned the document in their affidavits prior to the hearing with the Trial Examiner. Third, Attorney Vaughn did not mention the memorandum in responding to a Board inquiry prior to the hearing as to the discharges of certain employees. Fourth, the Company did not call Mrs. Nelson, the Secretary who purportedly typed the memorandum. Fifth, Superintendent Kindell allegedly hesitated before answering an inquiry as to the identity of the person who typed the memorandum, although such hesitation was not recorded on the hearing transcript. Sixth, certain of the employees’ names on the memorandum were misspelled, raising an inference of unfamiliarity with the employees. Seventh, President Muncy had a hostile attitude and otherwise poor memory at the hearings conducted by the Trial Examiner. In no instance does the Board produce affirmative evidence from any of the principals involved to substantiate its finding of fraud. The Board does not explain why it, like the Company, did not produce the testimony of Mrs. Nelson, who purportedly was present at the time the doc'ument was dictated.

In addition to these factors, a review of the record reveals a significant discrepancy between the uneontested fact that an employee, Junior Skaggs, was discharged on April 1, 1964 and the challenged document allegedly written on April 15, 1964, which “recommended strongly * * * (to Mr. Muncy that he) * * * dismiss Junior Skaggs.” This discrepancy is additional circumstantial evidence suggesting that the challenged memorandum may not have been authored on April 15th, before union activity had begun; but that the document may have been authored at a much later date after union activity had begun when memories of the exact dates were less clear. We place little reliance on this discrepancy because the Board— whose findings it favors — did not consider it sufficiently important to rely on it in either its opinion or on appeal.

On the other hand, the Company relies on direct affirmative testimony under oath by two of its agents as to the genuineness of the memorandum: President Muncy and Superintendent Kindell. Further, those principals stated facts to the Board’s agents entirely consistent with the memorandum when filing affidavits with the Board in the initial stages of investigation of the alleged discriminatory discharges. In addition, the Company argues that it is good law practice to hold back written corroborative evidence for trial unless specifically requested in pre-hearing stages. Finally, labor relations consultant, Rector, who worked with the Company, testified under oath that he found the disputed memorandum in the Company or its lawyer’s files in September, 1964, five months before the hearing at which the Board found that the memorandum was fraudulently prepared.

We are charged by statute and case law to uphold factual findings of the Board when we find substantial evidence in the record viewed as a whole. Universal Camera Corp. v. N. L. R. B., 340 U.S. 474, 1 S.Ct. 456, 95 L.Ed. 456 (1951). The instant case requires us to review a factual finding of the Board based on several indirect and circumstantial factors which are controverted by the direct sworn testimony of three principals in this action. In reviewing the Board’s factual determination, we are not unmindful of its “special province” of determining the issue of credibility of witnesses. Champion Papers, Inc. v. N. L. R. B. 393 F.2d 388 (6th Cir. 1968); Keener Rubber, Inc. v. N. L. R. B., 326 F.2d 968 (6th Cir. 1964) cert. denied 377 U.S. 934, 84 S.Ct. 1337, 12 L.Ed.2d 297; N. L. R. B. v. Bendix Corp., 299 F.2d 308, 310 (6th Cir. 1962) cert. denied 371 U.S. 827, 83 S.Ct. 47, 9 L.Ed.2d 65.

Considering the entire record as a whole, we do not believe that the Board may discredit all of the testimony of three principals under oath on the basis of entirely indirect and circumstantial evidence.

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Bluebook (online)
423 F.2d 737, 73 L.R.R.M. (BNA) 2899, 1970 U.S. App. LEXIS 10017, Counsel Stack Legal Research, https://law.counselstack.com/opinion/national-labor-relations-board-v-stemun-manufacturing-company-inc-ca6-1970.