Nat'l Lab. Rels. Bd. v. Universal Smart Conts., LLC

CourtCourt of Appeals for the Second Circuit
DecidedFebruary 3, 2026
Docket24-149
StatusPublished

This text of Nat'l Lab. Rels. Bd. v. Universal Smart Conts., LLC (Nat'l Lab. Rels. Bd. v. Universal Smart Conts., LLC) is published on Counsel Stack Legal Research, covering Court of Appeals for the Second Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Nat'l Lab. Rels. Bd. v. Universal Smart Conts., LLC, (2d Cir. 2026).

Opinion

24-149 Nat’l Lab. Rels. Bd. v. Universal Smart Conts., LLC

United States Court of Appeals For the Second Circuit

August Term 2024

Argued: January 10, 2025 Decided: February 3, 2026

No. 24-149

NATIONAL LABOR RELATIONS BOARD,

Applicant-Appellee,

v.

UNIVERSAL SMART CONTRACTS, LLC; PARTY SHUTTLE TOURS, LLC; CITY INFO EXPERTS, LLC; CHARLES THOMAS SCHMIDT,

Respondents-Appellants.

Appeal from the United States District Court for the Southern District of New York No. 23-mc-51, Valerie E. Caproni, Judge.

Before: SULLIVAN, BIANCO, and ROBINSON, Circuit Judges.

Appellants Universal Smart Contracts, LLC, Party Shuttle Tours, LLC, City Info Experts, LLC, and Charles Thomas Schmidt appeal from an order of the United States District Court for the Southern District of New York (Caproni, J.) granting an application of the National Labor Relations Board (“NLRB”) to enforce four administrative subpoenas duces tecum and awarding attorneys’ fees and costs. The district court rejected Appellants’ challenges to subject-matter jurisdiction, personal jurisdiction, and venue, concluding that the National Labor Relations Act authorizes nationwide service of process and that the NLRB’s inquiry was being carried on in the Southern District of New York. The district court also denied Appellants’ request to transfer the case to the Southern District of Texas and held Appellants liable for the NLRB’s attorneys’ fees and costs. The court subsequently issued an order specifying the amount of that liability.

On appeal, Appellants challenge the district court’s order enforcing the subpoenas, its refusal to transfer this case, and its award of fees and costs in favor of the NLRB. For the following reasons, we conclude that the district court had subject-matter and personal jurisdiction to enforce the subpoenas, that venue was proper, and that the district court did not abuse its discretion in declining to transfer the case or in awarding fees and costs in favor of the NLRB. But because Appellants did not file a timely notice of appeal with respect to the district court’s subsequent order fixing the amount of the NLRB’s fees and costs, we lack jurisdiction to review it. Accordingly, we affirm in part and dismiss in part for lack of appellate jurisdiction.

AFFIRMED IN PART AND DISMISSED IN PART.

C. THOMAS SCHMIDT, Schmidt Law Firm, PLLC, Houston, TX, for Respondents-Appellants.

AMANDA LEONARD, (Jennifer A. Abruzzo, Peter Sung Ohr, Nancy E. Kessler Platt, Dawn L. Goldstein, Helene D. Lerner, Kevin P. Flanagan, Paul A. Thomas, and David P. Boehm, on the brief), Washington, DC, for Applicant-Appellee.

RICHARD J. SULLIVAN, Circuit Judge:

Appellants Universal Smart Contracts, LLC, Party Shuttle Tours, LLC, City

Info Experts, LLC, and Charles Thomas Schmidt appeal from an order of the

2 district court granting the National Labor Relations Board’s (“NLRB”) application

to enforce four administrative subpoenas duces tecum and awarding attorneys’ fees

and costs. On appeal, Appellants challenge the district court’s order enforcing

the subpoenas, its refusal to transfer this case, and its award of fees and costs in

favor of the NLRB. Appellants also challenge the district court’s subsequent

determination of the amount of that award.

As explained below, we conclude that the district court had subject-matter

and personal jurisdiction to enforce the subpoenas, that venue was proper, and

that the district court did not abuse its discretion in declining to transfer the case

or in awarding fees and costs in favor of the NLRB. But because Appellants did

not file a timely notice of appeal with respect to the district court’s subsequent

order fixing the amount of the NLRB’s fees and costs, we lack jurisdiction to

review that order. Accordingly, we affirm in part and dismiss in part for lack of

appellate jurisdiction.

I. BACKGROUND

In February 2012, non-party New York Party Shuttle, LLC (“NYPS”)

terminated Fred Pflantzer, one of the company’s New York City tour guides.

Suspecting that Pflantzer had been fired for attempting to unionize, the NLRB’s

Manhattan Regional Office (the “Manhattan Office”) opened an investigation,

3 which eventually resulted in administrative enforcement proceedings for

violations of the National Labor Relations Act (“NLRA”).

In 2013, the NLRB’s adjudicative body, referred to as the “Board,” issued a

decision finding that Pflantzer’s termination violated the NLRA. See N.Y. Party

Shuttle, LLC & Fred Pflantzer, 359 NLRB 1046, 1047 (2013). The Board ordered

NYPS to make Pflantzer whole for any loss of earnings suffered on account of his

unlawful discharge and to either reinstate Pflantzer’s employment as a tour guide

or, if that position was no longer available, appoint him to a substantially

equivalent position. See id. at 1051. NYPS reinstated Pflantzer in July 2014, but

fired him again just two weeks after his return.

After years of further litigation, the Board issued another decision holding

NYPS and several of its affiliates, including Appellant Party Shuttle Tours, LLC,

liable as a single employer for backpay and benefits in the amount of $91,912 plus

interest. See N.Y. Party Shuttle, LLC, No. 02-CA-073340, 2020 WL 5658307, at *1–2

(N.L.R.B. Sept. 16, 2020). Apart from one portion of the backpay award, the Fifth

Circuit affirmed the Board’s order on appeal, resulting in a reduced award of

$66,794 plus interest. N.Y. Party Shuttle, L.L.C. v. Nat’l Lab. Rels. Bd., 18 F.4th 753,

769 (5th Cir. 2021).

4 The story did not end there. When NYPS and the other judgment debtors

failed to pay the surviving portion of the Board’s judgment, the Manhattan Office

referred the matter to the agency’s Contempt, Compliance, and Special Litigation

Branch (the “Contempt Branch”), based in Washington, D.C., to conduct further

proceedings. The judgment debtors, however, subsequently informed the

Contempt Branch that they were no longer doing business and lacked the ability

to satisfy the judgment. Thereafter, on September 22, 2022, the Contempt Branch

issued an administrative subpoena duces tecum to each Appellant seeking

documents that might help determine whether Appellants could be held liable for

the judgment on a derivative basis. Appellants failed to comply with those

subpoenas.

The NLRB initiated this enforcement proceeding on February 28, 2023,

through an application for an order directing Appellants to comply with the

subpoenas and to pay the agency’s attorneys’ fees and costs. On March 10, 2023,

the district court issued an order requiring Appellants to appear at a hearing and

show cause why an order directing them to comply with the subpoenas should

not be issued. The NLRB served a copy of its enforcement application and the

district court’s order to show cause on Appellants five days later. Pursuant to an

5 order of the district court, the NLRB then perfected service of the application and

order to show cause on August 23, 2023.

Appellants, meanwhile, moved to dismiss the NLRB’s application on the

grounds that the district court lacked subject-matter jurisdiction, venue, and

personal jurisdiction over them. In the alternative, Appellants asked the district

court to transfer the case to the Southern District of Texas, where they reside. The

district court denied Appellants’ motion on November 16, 2023, and ordered

Appellants to comply with the subpoenas. The district court also awarded the

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Nat'l Lab. Rels. Bd. v. Universal Smart Conts., LLC, Counsel Stack Legal Research, https://law.counselstack.com/opinion/natl-lab-rels-bd-v-universal-smart-conts-llc-ca2-2026.