Opinion ID: 539210
Heading Depth: 2
Heading Rank: 2

Heading: Stay of the Section 301 Action5

Text: 29 The Union's principal contention is that the district court erred in refusing to hear its section 301 claims until the NLRB decided the issue in an unfair labor practice proceeding. The Union suggests that this dispute is a contract matter concerning the rights and duties of the parties under the Agreement, and that it properly belongs in the district court. 6 We do not agree that the district court abused its discretion by staying the section 301 action. 30 The NLRB and the district courts share concurrent jurisdiction over disputes involving both allegations of unfair labor practices and violations of a collective bargaining agreement. See Toyota Landscape Co., Inc. v. Building Material & Dump Truck Drivers Local 420, 726 F.2d 525, 527 (9th Cir.1984), cert. denied, 469 U.S. 825, 105 S.Ct. 104, 83 L.Ed.2d 49 (1984). Consequently, in a case such as this, the court has the discretion to review the arbitrator's award or to stay enforcement of the award pending the NLRB's decision on the unfair labor practice claims. See Central Valley Typo. Union No. 46 v. McClatchy News., 762 F.2d 741 (9th Cir.1985). 31 We consider several factors in determining which forum should exercise primary jurisdiction where such concurrent jurisdiction exists. Generally, the district court has primary jurisdiction under section 301 over labor disputes involving primarily a question of contract interpretation, IBEW Local 532 v. Brink Construction Co., 825 F.2d 207, 213-14 (9th Cir.1987). The NLRB has primary jurisdiction to construe the Act and determine what is or is not an unfair labor practice. Kaiser Steel, 455 U.S. at 83, 102 S.Ct. at 859. This division of responsibility is due primarily to the judiciary's historical deference to specialized agencies in complex policy matters under the agencies' purview. In Burke v. French Equipment Rental, Inc., 687 F.2d 307 (9th Cir.1982), we declined to hold that the district court should entertain a section 8(e) defense in a section 301 proceeding where, in a parallel proceeding, the NLRB had twice dismissed section 8(e) allegations. We reasoned: 32 The desire to protect the primary jurisdiction of the NLRB flows from the need to maintain centralized administration of the NLRA by a specialized agency. Labor law involves many difficult questions of policy best left to the agency that has the expertise needed to solve them. 33 687 F.2d at 311. 34 These factors weigh in favor of upholding the primary jurisdiction of the NLRB in this case. First, both proceedings involve the CIR award, and the issue in the Section 301 action--whether to enforce or vacate the CIR award--turns on the validity of the award under section 8(e). Therefore, the issues in the two actions are inextricably linked. Second, it is likely that the NLRB's decision in the section 8(e) action would be issue-preclusive in the section 301 action. Third, the initial investigative finding of the NLRB directly contradicts the ruling of the CIR, so there is a strong likelihood of a conflict between the ultimate NLRB ruling and the arbitral award. Finally, by restoring the Chapter's ability to provide its services to its non-union members, the injunction preserves the status quo. 35 The district court did not abuse its discretion in staying the section 301 action.