Sheets v. Los Angeles Metropolitan Transit Authority

364 P.2d 332, 56 Cal. 2d 481, 15 Cal. Rptr. 156, 1961 Cal. LEXIS 312, 48 L.R.R.M. (BNA) 2897
CourtCalifornia Supreme Court
DecidedAugust 15, 1961
DocketL. A. No. 25745
StatusPublished
Cited by1 cases

This text of 364 P.2d 332 (Sheets v. Los Angeles Metropolitan Transit Authority) is published on Counsel Stack Legal Research, covering California Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Sheets v. Los Angeles Metropolitan Transit Authority, 364 P.2d 332, 56 Cal. 2d 481, 15 Cal. Rptr. 156, 1961 Cal. LEXIS 312, 48 L.R.R.M. (BNA) 2897 (Cal. 1961).

Opinions

PETERS, J.

The legal problem involved on this appeal is a limited one. The facts, however, are somewhat complicated.

[484]*484Prior to March 3, 1958, there were two transit companies furnishing mass transit in the Los Angeles metropolitan area. One was the Los Angeles Transit Lines, primarily an urban system, and the other was Metropolitan Coach Lines, primarily an interurban system. Both companies had collective bargaining agreements with separate unions. Los Angeles Transit Lines had such an agreement with the Amalgamated Association of Street, Electric Railway and Motor Coach Employees of American (hereafter referred to as Amalgamated) which covered about 2,100 employees. This agreement was to continue until May 31, 1959, and from year to year thereafter in the absence of a 60-day notice of termination by either party. There is no contention or evidence that such a notice was ever given. Metropolitan Coach Lines had several such agreements, the major one being with the plaintiff and appellant the Brotherhood of Railway Trainmen (hereafter referred to as Brotherhood) which covered about 1,047 employees. This agreement was to continue until November 30,1959.

In 1957, as a result of the passage of the Metropolitan Transit Authority Act of 1957 (Stats. 1957, eh. 547, p. 1609) (hereafter referred to as the Act), there was created the Los Angeles Metropolitan Transit Authority (hereafter referred to as the Authority). That statute empowered the Authority to acquire existing facilities from publicly or privately owned public utilities. Pursuant to this grant of power, the Authority on March 3, 1958, acquired the operating facilities of Los Angeles Transit Lines and of Metropolitan Coach Lines. The Authority assumed and agreed to be bound by the Brotherhood and Amalgamated collective bargaining agreements that those unions had with the acquired companies. This ■ is required by the Act. Section 3.6, subdivision (e), provides, in part, that

“Whenever the authority acquires existing facilities from a publicly or privately owned public utility, either in proceedings by eminent domain or otherwise, the authority shall assume and observe all existing labor contracts. ... No employees of any acquired public utility shall suffer any worsening of his wages, seniority, pension, vacation or other benefits by reason of the acquisition.”

Under this provision, the Authority from the date of acquisition of the two transit companies on March 3, 1958, and until May 21, 1959, recognized both the Amalgamated and Brother[485]*485hood agreements as being in full force and effect. However, as of the latter date, it is the contention of the Authority, that both agreements were terminated as a matter of law. This contention is based on the following facts. After acquisition on March 3, 1958, disputes arose as to which union represented a majority of the employees, and over what employees were represented by which union. The Act provides for such situations. Section 3.6, subdivision (d), provides:

“If there is a question whether a labor organization represents a majority of employees or whether the proposed unit is or is not appropriate, such matters shall be submitted to the State Conciliation Service for disposition. The State Conciliation Service shall promptly hold a public hearing after due notice to all interested parties and shall thereupon determine the unit or units appropriate for the purposes of collective bargaining. In making such determination and in establishing rules and regulations governing petitions, the conduct of hearings and elections, the State Conciliation Service shall be guided by relevant federal law and administrative practice, including but not limited to the self-determination rights accorded crafts or classes in the Labor Management Relations Act, 1947, and the Railway Labor Act.

“The State Conciliation Service shall provide for an election to determine the question of representation and shall certify the results to the parties. ...”

Pursuant to this section, Brotherhood filed with the State Conciliation Service a petition requesting certification as the exclusive bargaining representative of all the operating personnel employed by the Authority. This included operators formerly hired by both of the utilities taken over by the Authority. Amalgamated filed a similar petition requesting certification as the exclusive bargaining representative of certain employees, including all of the operating personnel. Several other of the unions representing various groups of maintenance personnel petitioned for certification as bargaining representative of the maintenance employees. Hearings were held, and the State Conciliation Service ruled that all operating personnel employed by the Authority constituted one unit appropriate for collective bargaining, and that all of the maintenance personnel constituted a second unit appropriate for collective bargaining. It directed that an election be held in each unit for the purpose of determining who should represent that unit. Elections were held in each unit. As a [486]*486result of those elections, on May 21, 1959, the State Conciliation Service certified Brotherhood as the collective bargaining representative of all of the operating personnel of the Authority, and Amalgamated was certified as the collective bargaining representative of all of the maintenance personnel. Thereafter, both Brotherhood and Amalgamated requested the Authority to recognize their existing collective bargaining agreements as covering all employees of the Authority for which they had been certified. The Authority contended that the merger of the two companies and the certification of the new bargaining representatives, as a matter of law, cancelled and terminated the two agreements as of the date of certification, May 21, 1959. Amalgamated agreed with the position of the Authority. Brotherhood did not. It thereupon brought this action to secure a determination that its collective bargaining agreement survived the certification, remained in full force and effect until its expiration date of November 30, 1959, and that such agreement applied to all the operating personnel of the Authority including not only the old employees of the Metropolitan Coach Lines, but also to the operating personnel formerly associated with Amalgamated and brought into Brotherhood by reason of the certification. The trial court determined that the certification of Brotherhood on May 21, 1959, as the new bargaining agent, as a matter of law, terminated the old and until then existing collective bargaining agreement. Brotherhood appeals.

In spite of the judgment in its favor to the effect that the old agreements had terminated, the Authority promised all of the employees of both unions that during the negotiations in good faith for new collective bargaining agreements, it would continue to abide by the old Brotherhood and Amalgamated agreements with respect to employees covered by such agreements prior to May 21, 1959. It has done so. The Authority entered into a new collective bargaining agreement with Brotherhood on January 28, 1960, covering all operating personnel of the combined properties. Thus the very limited controversy left open for consideration is whether the Authority was obligated to extend the coverage of the old Brotherhood agreement to the operating employees who, prior to May 21, 1959, were represented by Amalgamated but for whom Brotherhood became bargaining agent under the certification of May 21,1959. It is our opinion that the holding of the trial court that certification terminated all existing contracts is wrong. We

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Related

Martin v. Los Angeles Metropolitan Transit Authority
238 Cal. App. 2d 183 (California Court of Appeal, 1965)

Cite This Page — Counsel Stack

Bluebook (online)
364 P.2d 332, 56 Cal. 2d 481, 15 Cal. Rptr. 156, 1961 Cal. LEXIS 312, 48 L.R.R.M. (BNA) 2897, Counsel Stack Legal Research, https://law.counselstack.com/opinion/sheets-v-los-angeles-metropolitan-transit-authority-cal-1961.