Viceroy Gold Corporation, a Delaware Corporation v. Lloyd Aubry, Director of the Department of Industrial Relations for the State of California Victoria L. Bradshaw, Labor Commissioner for the State of California, Viceroy Gold Corporation, a Delaware Corporation v. Lloyd Aubry, Director of the Department of Industrial Relations for the State of California Victoria L. Bradshaw, Labor Commissioner for the State of California

75 F.3d 482, 96 Cal. Daily Op. Serv. 456, 96 Daily Journal DAR 738, 151 L.R.R.M. (BNA) 2316, 1996 U.S. App. LEXIS 1060
CourtCourt of Appeals for the Ninth Circuit
DecidedJanuary 23, 1996
Docket94-16614
StatusPublished

This text of 75 F.3d 482 (Viceroy Gold Corporation, a Delaware Corporation v. Lloyd Aubry, Director of the Department of Industrial Relations for the State of California Victoria L. Bradshaw, Labor Commissioner for the State of California, Viceroy Gold Corporation, a Delaware Corporation v. Lloyd Aubry, Director of the Department of Industrial Relations for the State of California Victoria L. Bradshaw, Labor Commissioner for the State of California) is published on Counsel Stack Legal Research, covering Court of Appeals for the Ninth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Viceroy Gold Corporation, a Delaware Corporation v. Lloyd Aubry, Director of the Department of Industrial Relations for the State of California Victoria L. Bradshaw, Labor Commissioner for the State of California, Viceroy Gold Corporation, a Delaware Corporation v. Lloyd Aubry, Director of the Department of Industrial Relations for the State of California Victoria L. Bradshaw, Labor Commissioner for the State of California, 75 F.3d 482, 96 Cal. Daily Op. Serv. 456, 96 Daily Journal DAR 738, 151 L.R.R.M. (BNA) 2316, 1996 U.S. App. LEXIS 1060 (9th Cir. 1996).

Opinion

75 F.3d 482

151 L.R.R.M. (BNA) 2316, 131 Lab.Cas. P 58,084,
96 Cal. Daily Op. Serv. 456,
96 Daily Journal D.A.R. 738

VICEROY GOLD CORPORATION, a Delaware corporation, Plaintiff-Appellee,
v.
Lloyd AUBRY, Director of the Department of Industrial
Relations for the State of California; Victoria
L. Bradshaw, Labor Commissioner for the
State of California,
Defendants-Appellants.
VICEROY GOLD CORPORATION, a Delaware corporation, Plaintiff-Appellant,
v.
Lloyd AUBRY, Director of the Department of Industrial
Relations for the State of California; Victoria
L. Bradshaw, Labor Commissioner for the
State of California,
Defendants-Appellees.

Nos. 94-16614, 94-16672.

United States Court of Appeals,
Ninth Circuit.

Submission Deferred Nov. 8, 1995.
Submitted Nov. 28, 1995.*
Decided Jan. 23, 1996.

John M. Rea, Chief Counsel, Vanessa L. Holton, Asst. Chief Counsel, James D. Fisher, Department of Industrial Relations, San Francisco, California, for defendants-appellants-cross-appellees Lloyd W. Aubry, Jr., Director Dept. of Ind. Relations.

H. Thomas Cadell, Jr., Chief Counsel, Miles E. Locker, Staff Counsel Dept. of Ind. Relations, Div. of Labor Standards Enforcement, San Francisco, California, for defendants-appellants-cross-appellees, Victoria Bradshaw, Labor Comm'r, Div. of Labor Standards Enforcement.

Charles S. Birenbaum, Marion I. Quesenbery, Scott L. Gardner, Thelen, Marrin, Johnson & Bridges, San Francisco, California, for plaintiff-appellee-cross-appellant.

Appeal from the United States District Court for the Northern District of California.

Before: CHOY, WIGGINS, and LEAVY, Circuit Judges.

OPINION

LEAVY, Circuit Judge:

OVERVIEW

The State of California appeals the district court's grant of partial summary judgment in favor of Viceroy Gold Corporation (Viceroy) on the ground of National Labor Relations Act, 29 U.S.C. § 151 et seq. (NLRA), preemption of California Labor Code § 750.5. Viceroy cross-appeals the district court's judgment dismissing its other challenges to § 750.5 and its challenge to Cal.Lab.Code § 750. Viceroy also appeals the scope of the district court's injunction. The district court entered judgment on August 8, 1994 and the parties timely filed an appeal and cross-appeal. Subsequently, the California legislature amended both sections of the California Labor Code which are at issue in this appeal. California 1995 Legislative Service, Chapter 903 A.B. No. 739 (1995). These amendments are effective January 1, 1996. Id. The amendments moot neither the appeal nor the cross-appeal. The judgment of the district court in favor of Viceroy Gold Corporation on its NLRA preemption claim is reversed and remanded for entry of judgment in favor of the State of California on all of Viceroy's claims.

FACTS AND PROCEEDINGS BELOW

Viceroy Gold Corporation (Viceroy) operates the "Castle Mountain Mine," a gold processing facility in San Bernardino County, California. Viceroy does not actually mine rock from the earth; it receives already mined rock and processes it along a production line at Castle Mountain Mine. The process uses a technology developed in the 1970's called "cyanide heap leach" mining to extract gold from the rock.

Castle Mountain Mine is a non-union facility. It operates twenty-four hours a day, seven days a week, using rotating shifts. Mine employees currently work eight-hour shifts and forty-hour work weeks. Because housing at the facility is limited, most of the mine workers have a daily commute of seventy-five miles or more each way. Many of Viceroy's employees have requested a shorter work week--with fewer days at 12 hours per day--to reduce the commute and give them more free time.

Viceroy has been unable to implement the requested change in work schedules because of the restrictions in California Labor Code § 750. Section 750 in its original form was enacted in 1909. The recent amendments did not change the relevant restrictions. In its current form § 750 states, in relevant part:

(a) Except as otherwise provided in this chapter, no employee may be employed for a period that exceeds eight hours within any 24-hour period ..., for all persons who are employed or engaged in work in:

(1) Underground mines or underground workings.

(2) Smelters and plants for the reduction or refining of ores or metals.

Cal.Lab.Code § 750 (as amended by 1995 California Legislature).

In 1983, the California Legislature added § 750.5. This amendment created an exception to the eight-hour shift limitation in § 750:The provisions of Section 750 shall not prohibit a period of employment up to 12 hours within a 24-hour period when the employer and a labor organization representing employees of the employer have entered into a valid collective-bargaining agreement where the agreement expressly provides for the wages, hours of work, and working conditions of the employees. former Cal.Lab.Code § 750.5

Because Viceroy is a non-union mine it could not take advantage of the exception in § 750.5.

In November 1992 Viceroy petitioned the California Division of Labor Standards Enforcement (DLSE) for relief from § 750's eight-hour cap on the ground that the § 750.5 exception, if applicable only to union mining workers, was preempted by federal law. Viceroy asked DLSE to interpret § 750.5 to allow nonunion employees to work over eight hours if various safeguards were in place. On May 3, 1993, Viceroy also petitioned the DLSE for a ruling that § 750 was inapplicable to operations at the Castle Mountain Mine because § 750 was enacted in 1909 and intended to regulate a different type of mining facility. On June 3, 1993, the DLSE ruled that § 750 applied to the Castle Mountain Mine.

On November 18, 1993, Viceroy brought this action requesting declaratory and injunctive relief. Viceroy asserted that § 750.5 put Castle Mountain Mine at a competitive disadvantage relative to union mines and that "operational efficiency, safety and employee morale are all adversely impacted by [DLSE's] interpretation and enforcement of § 750.5." The complaint alleged six grounds for relief:

(1) as a matter of legislative intent and statutory construction, § 750 was not meant to apply to modern facilities such as Castle Mountain Mine;

(2) section 750.5 is preempted by the National Labor Relations Act (NLRA), 29 U.S.C. §§ 151, et seq., as amended, under the principle enunciated in Machinists v. Wisconsin Employment Relations Comm'n, 427 U.S. 132, 96 S.Ct. 2548, 49 L.Ed.2d 396 (1976);

(3) section 750.5 is preempted by the NLRA under the principle articulated in San Diego Bldg. Trades Council v. Garmon, 359 U.S. 236, 79 S.Ct. 773, 3 L.Ed.2d 775 (1959);

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75 F.3d 482, 96 Cal. Daily Op. Serv. 456, 96 Daily Journal DAR 738, 151 L.R.R.M. (BNA) 2316, 1996 U.S. App. LEXIS 1060, Counsel Stack Legal Research, https://law.counselstack.com/opinion/viceroy-gold-corporation-a-delaware-corporation-v-lloyd-aubry-director-ca9-1996.