Document: 459 U.S. 344 103 S.Ct. 665 74 L.Ed.2d 523 Larry SHEPARD, Petitionerv.NATIONAL LABOR RELATIONS BOARD et al. No. 81-1627. Argued Dec. 6, 1982. Decided Jan. 18, 1983. Syllabus Respondent union entered into a collective-bargaining agreement with respondent contractors associations and their members prohibiting dealings by the nonunion dump truck operators. Petitioner, owner operator of truck, who previously had not been member union, joined under protest paid an initiation fee, dues, contribution to fringe benefit plan. Petitioner one then filed charges National Labor Relations Board, claiming that violated, inter alia, § 8(e) Act (Act), which prohibits so-called "hot cargo" contracts. An Administrative Law Judge held violated agreeing do business owner-operators trucks, recommended Board issue cease-and-desist order reimburse were compelled join for amounts as fees, contributions. The affirmed adopted except reimbursement provision, holding would effectuate remedial policies Act. Court Appeals enforced Board's in all respects. Held: acted within its authority deciding Congress has delegated power determine when those be effectuated particular remedy, could properly conclude remedy such should reserved especially egregious situations. There is nothing language or structure requires reflexively "complete relief" every unfair labor practice. Pp. 349-352. 215 U.S.App.D.C. 373, 669 F.2d 759, affirmed. Robert F. Gore, Springfield, Va., petitioner. Edwin S. Kneedler, Washington, D.C., respondents. Justice REHNQUIST delivered opinion Court. 1 This case grows out dispute construction industry San Diego County, California. whether was required provide make-whole violation (the Act), 29 U.S.C. 158(e) (1976), contracts.1 2 Shepard owns operates it area haul materials from sites. Contractors this generally hire operators through so called "brokers" on day-to-day basis. Brokers agree supply trucks operators, refer hauling jobs individual Shepard. handle owner-operators' billing perform other coordinating services. They receive commissions based amount billed. 3 Before August, 1978, any union. In 1977 Building Material Dump Truck Drivers, Teamsters Local 36 Union) new master collective bargaining Agreement) contractors' Contractors). Agreement accomplished long sought objective Union part non-union effect described language: 4 "[T]he enlisted aid insure only signatory brokers received subcontracts performed services building area." 762 (CADC 1981). 5 February 1978 contracted Terra Trucking Co., broker subscribed Agreement, brokerage Although Union, he authorized make deductions his earnings several purposes, including plan created Agreement. deducted appropriate sums worked them Union's funds. 6 wrote stating must deal seven owner-operators, informed these they have find broker. fee dues. 7 California Owners Association Association) both 8(b)(4) Act,2 158(b)(4) latter secondary boycotts. At request Regional Director charge alleging 8(e). 1979 consolidated two issued complaint against After hearing, found are independent rather than employees, therefore owner-operators. ALJ cease desist 8 ALJ's findings provision. stated: "The occasion without comment [ALJ's] containing remedy. 814, International Brotherhood Teamsters, Chauffeurs, Warehousemen Helpers America (Santini Brothers, Inc.), 208 NLRB 184, 201 (1974). present case, however, there insufficient evidence record respect alleged losses directly attributable actual coercion Respondents. Furthermore, we order, typically used "make whole" employees violations Act, overbroad inappropriate context violations. We note aggrieved engaged may pursue damage claim Sec. 303 For foregoing reasons, ordered [ALJ] See [Carpenters 60] v. N.L.R.B., 365 651 [81 875, 1] (1961)." 249 N.L.R.B. 386, n. (1980) (emphasis original). 9 On petitions review, It "the explanation decision adequate that, given our limited disturb exercise discretion matters interfere." Id., at 766. similar involving agreement, Ninth Circuit remanded reimbursement, explain why purposes Joint Council 42 671 305, 310-313 (CA9 granted certiorari --- ----, 102 2232, 72 844, now affirm judgment District Columbia Circuit. 10 10(c) 160(c) (1976): 11 If . shall person named engaging practice, requiring take affirmative action reinstatement back pay, will 12 argue case. rely reasoning 42, supra, "where money collected illegally, refund, absent some rational ground doing so." F.2d, 310. think took too restricted view designing need because conclusion reasonable. 13 "In fashioning remedies draws fund knowledge expertise own, choice special reviewing courts." Gissel Packing 395 575, 612, 32, 89 1918, 1939, 23 547 (1969). Fibreboard Paper Products Corp. 379 203, 216, 85 398, 405, 233 (1964). post notices illegal portions enforced. insists gone last mile well. 14 justified declining grant additional portion quoted above. explanatory paragraph strikes us something less model precise expository prose. Shortly after enactment remind Board: 15 administrative process best vindicated clarity exercise. Since defined procedure asserted charged federal courts duty orders (§ 10(e) (f)), avoid needless litigation effective expeditious enforcement require disclose basis order. intend enter province belongs nor so. All ask give clear indication exercised empowered it." Phelps Dodge Corporation 313 177, 197, 61 845, 853, L.Ed. 1271 (1941). 16 sense decided treat cases no finding "actual" differently finding. By coercion, apparently means threats, picketing, strike, form 8(b)(4). 20 Morton, 377 252, 259, 84 1253, 1258, 280 can scarcely doubted 17 choosing accord relief did, relied Carpenters 60 NLRB, 651, 81 (1961), showing before dues workers unlawful "closed shop" contract presumably concluded supported, least analogy, award reimbursement. justifiable. 18 provided judicial activity Section Management 1947,3 187 (1976). provides which, turn, proof coercion. Brief 28-37; 19, 38-42. Of course, free law, others. reasonable follow pattern where chose permit damages. 19 crux argument position made element prerequisite what call relief." 17. But very way framed suggests proponents misconceive role Board. court; even agency administration laws. While prayer might receptive ear court general jurisdiction, well settled wide differences between agencies courts. See, e.g., Federal Communications Commission Pottsville Broadcasting 309 134, 141-144, 437, 440-442, 656. said "power merely incidental primary purpose stop prevent practices. did establish scheme authorizing full compensatory damages injuries caused wrongful conduct." Automobile Workers Russell, 356 634, 642-643, 78 932, 937, 1030 (1958). complaining party regard satisfied reasons heretofore stated 21 Affirmed. 22 O'CONNOR, dissenting. I (NLRB) reasonably reimbursing petitioner necessary objectives Act). My disagreement Court's decision. offered three Each error inadequate justify conclusion. remand opportunity appropriateness light opinion. 24 * A brief review facts useful understanding inadequacy 25 over decade, availability June 1977, associations, respondents Contractors), transport "all site work workmen furnished craft [union]. ." App. 10. also obtain signed penalties failed comply. Thus ensure 26 self-employed operator. He accepted referrals subhaul Terra, number "payroll benefits Agreement." 22. When jobs, payment 27 contractors. August Terra's president, Fred ReCupido, letter "employees," Shepard, good standing Union. requested "removed [Terra's] employ rehired until cleared [the Union]." 27. ReCupido told September 5, if wished Terra. fees "under protest," advice counsel. Some time. 28 25, Shepard's counsel practice behalf (1976)—the prohibition boycotts—and 8(e), hot cargo withdrawn replaced October violation. trial, brokers. since 1965, brought economic pressure "to achieve goal unionization owner-operators," "part continuing efforts goal. 393. 30 "Shepard sent ReCupido." 391. addition specific finding, concerning another incident1 "union membership resulted provisions [Agreement]." 394. 31 ruling posted conspicuously. addition, payments 395.2 32 upheld conclusions but deleted "make-whole" footnote reads relevant part: 33 [T]here Contractors]. NLRB], (1961). 34 United States refusal rejecting contentions adequately matter law. II 35 broad compels restitution unlawfully regardless persons.3 Virginia Electric & Power Co. 319 533, 63 1214, 87 1568 (1943). Indeed, proceeding instant result union's successful coerce employer enforce agreement. 184 (1974), enf'd, 178 223, 546 989 cert. denied, 434 818, 98 56, 54 73 (1977). first reason denying "insufficient Contractors]." ample evidence, Judge, dues,4 will, effort 37 second reason, "generally violations," cannot withstand scrutiny. persons attempted reimbursed "overbroad inappropriate" Cf. 38 As third refusing "may Act." conceded, terms creates harmed violation, Ante, 351. Connell Construction Plumbers Steamfitters, 421 616, 649 9, 95 1830, 1848 44 418 (1975) (Stewart, J., dissenting). absence successfully action. 39 true "will uphold ideal agency's [reasons] discerned." Bowman Transportation, Inc. Arkansas-Best Freight System, Inc., 419 281, 286, 438, 442, 447 (1974) (citation omitted). ruled SEC Chenery Corp., 318 80, 95, 454, 462, 626 (1943), "[a]n unless grounds upon exercising powers sustained." FPC Texaco, 417 380, 397, 94 2315, 2326, 41 141 simply does support denial reimbursement.5 reverse allow consider funds Act's agreements. Food Store Employees 1, 2074, 40 612 pertinent "It organization whereby ceases refrains agrees refrain handling, using, selling, transporting otherwise dealing products employer, person, extent unenforcible [sic] void. agents—(4)(i) engage in, induce encourage employed commerce affecting strike course employment use, manufacture, process, transport, goods, articles, materials, commodities services; (ii) threaten, coerce, restrain commerce, either object thereof is— (A) forcing prohibited subsection (e) section; (B) transporting, producer, processor, manufacturer, person. .;" "(a) unlawful, section only, conduct [8(b)(4) ]. (b) Whoever injured property [of] (a) sue therefor district controversy, court, recover him sustained cost suit." November Kissinger broker, contractor, Penhaul thereafter, Kissinger's manager Penhaul's superintendent referring lost subsequently 390. omitted publication, "[j]ointly severally [to] whole assessments, contributions trust [the] [illegal] 36, America, 21-CE-197, slip op., (NLRB, Oct. 30, 1979). express could, here, acquiescence employer. Because funds, prior attributed attempts Unlike majority, believe discerned terse above barred "reimbursement situations." 350.

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