Document: 372 U.S. 682 83 S.Ct. 956 10 L.Ed.2d 67 INTERNATIONAL ASSOCIATION OF MACHINISTS, AFL-CIO, et al., Petitioners,v.CENTRAL AIRLINES, INC. No. 61. Argued Feb. 19 and 20, 1963. Decided April 15, Rehearing Denied May 27, See 373 947, 1533. Charles J. Morris, Dallas, Tex., Bernard Dunau, Washington, D.C., for petitioners. Luther Hudson, Fort Worth, respondent. Mr. Justice WHITE delivered the opinion of Court. 1 The respondent airline discharged six individual petitioners in 1958 after they refused to attend disciplinary hearings without having a union representative present. petitioning employees initiated grievances over these discharges, which were not settled between parties presented system board adjustment, established by agreement according Railway Labor Act, 44 Stat. 577, as amended, 45 U.S.C. §§ 151—188. four-man adjustment deadlocked, neutral referee was appointed National Mediation Board, an award then rendered ordering reinstated loss seniority with back pay. Central comply filed this suit United States District Court Northern Texas enforcement award. 2 complaint recited certification collective bargaining agent Board pursuant election held under disclosed execution contract company, attached exhibit copy another establishing adjustment. This stated, 'In compliance Section 204, Title II there is hereby purpose adjusting deciding disputes * *.' Under express terms contract, 'decisions all cases properly referable it shall be final binding upon parties' and, when sitting board, 'a majority vote final, binding, conclusive Company Association anyone may represent interest dispute.' set out some detail action decision its attached. Alleging that had 'arises laws States, specifically Act more particularly hereinabove,' requested 'enforcement aforesaid System Award judgment entered defendant said 3 Although gist obliged reason granted Central's motion dismiss lack jurisdiction, concluding no diversity citizenship (which disputed) case did arise required 28 § 1331.1 Appeals Fifth Circuit affirmed on authority previous Metcalf v. Airlines, 271 F.2d 817, ruling disclose 'affirmatively federally-created cause action' 'this nothing than state-created construe contract.' 295 209. Certiorari consider important question whether enforce arising 1331 or law regulating commerce s 1337.2 369 802, 82 642, 7 549. We have concluded must answered affirmative has jurisdiction proceed suit. I. 4 In 1936, Congress extended cover small-but-growing air transportation industry. 49 1189, 181—188. Its general aim extend carriers their same benefits obligations available applicable railroad industry.3 But significant variation. 1936 amendments made airlines provisions excepting 3, 153, dealing Railroad Adjustment Board; but including 1, 151, containing definitions; 2, 151a, Act's statement purposes; 5, 154—155, relative functions; 7, 8 9, 157—159, relating voluntary arbitration emergency boards. 202, 182. place provided 205, 185, creation Air Transport would postponed until 'in necessary permanent national Until establishment industry, 184, formation system, group, regional boards adjustment: 5 'It duty every carrier employees, acting through representatives, selected accordance sections 181—188 title, establish exceeding lawfully exercised section 153 title.' 6 imposed create settle causal suggestion original version S. 2496, which, became law, railroads minor well major disputes.4 expanded, finally passed compulsory boards.5 unless determined placed statutory utilizing existing contracts. obligation 204 fastened cannot read isolation. true significance drawn from context part itself draws meaning history.6 Romero International Term. Co., 358 354, 360, 79 468, 473, 368. long concerned itself7 minimizing interruptions Nation's services strikes labor successive attempts effective machinery resolve only wages, hours, working conditions, so-called connected negotiation contracts alterations them, also interpretation application contracts, type involved case. 1920,8 latter category dealt providing 'may' handle however, if unresolved referred whose decisions legally enforceable.9 results highly unsatisfactory,10 1926 'Boards created agreement.'11 composed equal number employee employer representatives 'be both dispute; abide such decisions.'12 9 spite mandate automatically follow. Furthermore, provision breaking deadlocks frequent resulted myriad going unresolved. As result, see Elgin, & E.R. Co. Burley, 325 711, 725—726, 65 1282, 1291, 89 L.Ed. 1886, 1934 amended divisions hear either party 'growing agreements covering rates pay, rules, conditions.' First (i). event division, name sit appropriate division determine (l). It (m) 'the awards several stated writing dispute, except insofar contain money *' (p) Courts certain awards. While thus power make help persons where necessary, Second boards: 11 'Nothing construed prevent any carrier, group class classes chapter, mutually agreeing character specified section. dissatisfied arrangement, ninety days' notice other elect come Board.' U.S.C.A. Second. 12 designed serve purposes were, among others: 'To avoid interruption operation engaged therein' 'to provide prompt orderly settlement growing 151a. Implementing goals, First, 152 carriers, officers, agents, exert reasonable effort maintain disputes, otherwise, order commerce.' statute directed handled property usual manner, failing could take matter decide it. rail (§ Second) 204) carriers. II. 13 view clearly history, reflecting does steady congressional intent move toward reliable grievances, we believe intended hiatus scheme instead expected temporary arrangements, interim period confusion chaos meant leave Boards whim parties. Instead, command enforceable courts organized operated consistent Act. 14 duties breach redressable federal courts, bargain, gain, Virginian R. Federation, 300 515, 545, 57 592, 598, 81 789, certified members craft discrimination, Steele Louisville N.R. 323 192, 226, 173.13 similar 204; Tunstall Brotherhood Locomotive Enginemen, 210, 213, 235, 237, 187, quoting Deitrick Greaney, 309 190, 200—201, 60 480, 484—485, 84 694, 'The extent nature legal consequences' duty' though left judicial determination, are nevertheless derived policy adopted.'14 15 therefore contractual arrangements sufficient discharge purposes. valid terms. If function validity, interpretation, enforceability many fatal goals contrary enforced state struck down even furtherance scheme.15 needs subject manifestly call uniformity.16 Compare Local 174, Teamsters Chauffeurs, etc. America Lucas Flour 95, 103—104, 571, 593. 16 creations bound policy. contained enforceable, because sanction: '(T)he source *. enactment governmental takes private invoke sanction. A has, therefore, imprimatur Emp. Dept. Hanson, 351 225, 232, 76 714, 718, 100 1112. That is, like Management Relations 301 court governed courts. situation here analogous American Surety Schultz, 237 159, 35 525, 59 892, supersedeas bond appeal Appeals. When against appellant he failed pay it, appellee sued surety 'arising under' since been given requiring one appeals taken; construction company's liability questions determine.17 More specifically, those governing composition procedures employed hearing deadlocks, finality accorded awards, judged invalidated fashion scheme.18 There be, example, regard satisfy requirements quite sure requisite look favor affording degree abandoned approach completely unenforceable used 1920 supra. expressly amendments, likewise statute. discarded entire industry element essential settling contemplated depended entirely desires statutes decisions. Quite contrary, lead us conclude ordered 'intended act public agency, go-between; effect, merely advice.' Bower Eastern 214 623, 626 (C.A.3d Cir.); Washington Term Boswell, 75 U.S.App.D.C. 10, 124 244. III. 17 executed declares conclusive. claim based demands enforced. Whether whether, instead, impeachable, controlled due purpose. To imposes requirement. comply, requires compliance. 18 circumstances here, involving aspect collateral remote so blended present serious scope arising-under 1337. Smith Kansas City Trust 255 180, 41 243, 577; Gully Nat. Bank, 299 109, 96, 70; Skelly Oil Phillips Petroleum 339 667, 70 876, 94 1194; 393, n. 4, 491, 368 (dissenting concurring opinion). our case, jurisdictional purposes, substantial amount satisfied 368; Montana-Dakota Utilities Northwestern P.S. 341 246, 249, 71 692, 95 912; Well Works Layne Bowler 241 257, 260, 36 585, 586, 987.19 Reversed remanded. 1331: '(a) district civil actions wherein controversy exceeds sum value $10,000 exclusive costs, arises Constitution, laws, treaties States. '(b) Except therefor otherwise plaintiff adjudged entitled recover less $10,000, computed setoff counterclaim entitled, interests deny costs addition, impose plaintiff.' 1337: proceeding protecting trade restraints monopolies.' Petitioners' mentioned 1331, reliance subsequently 1337 well, dispute concerning existence 1331. permissible. Federation Watson, 327 582, 589—591, 66 761, 765, 90 873. Hearings 2496 before Subcommittee Senate Committee Interstate Commerce, 74th Cong., 1st Sess. 26 27. Id., at 1—2. 11. generally 789; N.O.R. Clerks, 281 548, 50 427, 74 1034; Garrison, 46 Yale L.J. 567; Note, 72 803. times reviewed history railway laws. For 1886; Slocum Delaware, L. W.R. 239, 795; Trainmen Chicago I.R. 353 30, 77 635, 622; Union Pac. Price, 360 601, 1351, 1460; Ass'n Machinists Street, 367 740, 1784, 1141. 469, 474. Pennsylvania Allied Lines 267 203, 307, 69 574. 261 72, 43 278, 536. 622. 578. (e), id., 579. absence specific conferring addition 1337, moment cases. 187; Leedom Kyne, 189—190, 210. These cases, bar, unlike Switchmen's North 320 297, 64 88 61, General Committee, M.K.T.R. 323, 146, 76, review denial impaired rights. 61; 76; Southern 338, 142, 85; Ry. Service Employees, 715, 816, 420; 789. dissenting judge below remarked, F.2d, 221 222: '* thought stability continuity interstate undulating policies legislatures (or both) 48 states anything industrial peace governmentally compelled arbitration.' points difficult conflict problems applying raise, 223: 'Not least absurdities airplane flies state. What forum? parent creature—the consenual arbitrate? beneath route routes traveled resorted to? Is traffic plaintiff's choice happen plaintiffs bring suits states? control operational activity deemed welfare precariously dependent accident citizenship?' sure, different use crafts, uniformity represents minimal burden commerce. dividing everything however spans) multiply factor aggravate problem intolerable degree. Schultz followed line bonds officers ensure faithful performance duties, aggrieved seeking collect surety. Bock Perkins, 139 628, 677, 314 (suit tort marshal committed duty); Sonnentheil Christian Moerlein 172 401, 233, 492 (same); Feibelman Packard, 109 421, 289, 27 984 (same, removal case); Howard 184 676, 22 543, 754 clerk brought ex rel. clerk's appropriation paid into court). rule applies applied, substantive rather context, rights commercial paper issued See, e.g., Metropolitan Bank 454, 383; Clearfield 318 363, 366, 63 573, 574, 87 838. Royal Indem. 313 296, 61 995, 997, 85 1361 (general local governs Government secure collection taxes); Pipe Steel Corp. Firestone 292 640, 643—644 (C.A.9th Cir.) (construction subcontract prime sub government contract); Girard 149 872 (federal lease lessee, Tucker suit); Woodward 167 774 (C.A.8th Life Insurance policy, policy). involve such, conferred recourse unnecessary, suggestive hold determinative merits claim. Also suggestive, reason, Court's language Sola Elec. Jefferson 317 173, 176, 172, 165, patent-antitrust conflicting estoppel: doctrine (Erie) inapplicable areas within dominated sweep relations affect statutes, law.' Thus applied determination validity securing irrespective basis diversity. Assn. A.L.F.—C.I.O. Northwest 304 206 Flight Engineers, 303 (C.A.5th Woolley Lines, 250 86, 90—91 Sigfred Pan World Airways, 230 625—627 Inc., Division Law Enforcement, 203 F.Supp. 324 (N.D.Cal.); Edwards Capital 346, 176 755; Crusen 141 347 (D.Colo.), aff'd, per curiam, 239 863 (C.A.10th Farris Alaska 113 907 (W.D.Wash.); Inc. Line Pilots Ass'n, 91 629 (E.D.N.Y.); Automobile Aircraft, etc., Workers Delta (N.D.Ga.). 622, (R. 47.)

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