Opinion ID: 419143
Heading Depth: 2
Heading Rank: 2

Heading: Judicial Review of Representation Proceedings

Text: 38 The third and final decision at issue in this case is the Regional Director's denial of the Racing Association's 1980 petition requesting the NLRB to take jurisdiction over it and conduct an investigation and certification of representatives under section 9 of the Act, 29 U.S.C. Sec. 159. The Regional Director based his denial on the Board policy, embodied in Rule 103.3, not to assert jurisdiction over any labor disputes in the horse racing industry. Section 9 sets forth the steps to be followed in processing representation petitions. An employee, a union or an employer can petition the NLRB to order an election within a bargaining unit to determine whether the employees desire union representation. Courts have long recognized that Board actions under section 9 are not subject to judicial review unless an election has been held and the Board has taken the further step of bringing an unfair labor practice proceeding under section 10, 29 U.S.C. Sec. 160, against a dissatisfied and uncooperative party to the section 9 proceedings. Boire v. Greyhound Corp., 376 U.S. 473, 476-77, 84 S.Ct. 894, 896, 11 L.Ed.2d 849 (1964); Herald Co. v. Vincent, 392 F.2d 354, 356 (2d Cir.1968); Teamsters Local 690 v. NLRB, 375 F.2d 966, 969 (9th Cir.1967); Lawrence Typographical Union v. McCulloch, 349 F.2d 704, 706 (D.C.Cir.1965); National Maritime Union v. NLRB, 267 F.Supp. 117, 119 (S.D.N.Y.1967). This delay in review is the price Congress has chosen to pay to avoid interrupting progress towards swift administrative solutions to labor problems. Boire v. Greyhound, supra, 376 U.S. at 477-78, 84 S.Ct. at 896-97; Herald Co. v. Vincent, supra, 392 F.2d at 356; McLeod v. Local 476, United Brotherhood of Industrial Workers, 288 F.2d 198, 201 (2d Cir.1961). 39 The courts have developed several exceptions to this general rule, however. Herald Co. v. Vincent, supra, 392 F.2d at 356-57; Teamsters Local 690 v. NLRB, supra, 375 F.2d at 969-72; National Maritime Union v. NLRB, supra, 267 F.Supp. at 119-20. Only one is relevant to this case: In Leedom v. Kyne, 358 U.S. 184, 79 S.Ct. 180, 3 L.Ed.2d 210 (1958), the Supreme Court held that the district court had jurisdiction to strike down an order of the Board made in excess of its delegated powers and contrary to a specific prohibition in the Act. Id. at 188, 79 S.Ct. at 183. The Court later made clear that this exception is a narrow one, not to be applied whenever it can be said that an erroneous assessment of the particular facts before the Board has led it to a conclusion which does not comport with the law. Boire v. Greyhound Corp., supra, 376 U.S. at 481, 84 S.Ct. at 898. See also Boire v. Miami Herald Publishing Co., 343 F.2d 17 (5th Cir.1965); Local 1545 v. Vincent, 286 F.2d 127, 132-33 (2d Cir.1960); National Maritime Union v. NLRB, supra, 267 F.Supp. at 120-24. 40 The district court found that sections 9(c)(1) and 14(c)(1) of the Act grant employers like the Racing Association a statutory right to representation hearings unless refusal of jurisdiction by the Board is specifically mandated by [section 14(c)(1) ]. Despite the use of the word shall in section 9(c)(1), which is reproduced in the margin, 4 the section has been interpreted by the courts to afford the Board great latitude in determining whether or not to proceed with a hearing. National Maritime Union v. NLRB, supra, 267 F.Supp. at 122. Moreover, as the discussion in Part II.A.2., supra, of the discretionary nature of section 14(c)(1) makes clear, that section, except for the proviso, mandates nothing. It is as far as it can be from the clear and mandatory requirement at issue in Leedom v. Kyne, supra, 358 U.S. at 188, 79 S.Ct. at 183. In that case, the Board conceded that it had failed to comply with the provision of section 9(b)(1) that the Board shall not determine that a unit including both professional and non-professional employees is appropriate for collective bargaining unless a majority of such professional employees vote for inclusion in such unit. See 358 U.S. at 188-89, 79 S.Ct. at 183-84. Here, by contrast, the Regional Director refused to order a representation hearing in reliance on a Board policy promulgated under a statute granting the Board almost unlimited discretion to take or decline jurisdiction. Leedom v. Kyne provides no basis for judicial review of that refusal or of the underlying policy. See National Maritime Union v. NLRB, supra, 267 F.Supp. at 121-24. 41 The District Court also relied on Office Employes v. NLRB, supra, Hotel Employees v. Leedom, supra and Hirsch v. McCulloch, supra, to establish a clear mandate violated by the Board. However, such reliance is misplaced. The last case merely held that in refusing to grant representation hearings, the Board may not rely on a policy of declining jurisdiction under section 14(c)(1) that is based on advisory opinions rather than on properly promulgated rules or decisions after a hearing. As discussed above, Rule 103.3 was promulgated according to proper rulemaking procedures, thus providing a sound basis for the Regional Director's decision. Office Employees and Hotel Employees would indeed support the district court's assertion of jurisdiction, if Congress had not overruled them by enacting section 14(c). See the discussion of legislative history, in Part II.A.2., supra. See also 105 Cong.Rec. 17,877 (1949) (remarks of Sen. Morse), reprinted in 2 Leg.Hist. at 1421. 42 The Racing Association argues that it is unjust for the district court to have no jurisdiction in this case, because then the NLRB's 1980 representation decision will never be reviewable. In the ordinary case, as already indicated, review is merely delayed until after an election has been held and an unfair labor practice proceeding initiated; here, however, this will obviously never occur, since the Board has refused to act at all. The short answer to this argument is that not every governmental action is subject to review by judges. United States ex rel. Kaloudis v. Shaughnessy, 180 F.2d 489, 491 (2d Cir.1950) (L. Hand, Ch. J.). 5 The Racing Association is in the same position as any party who seeks an election but is unsuccessful in persuading the Regional Director to order one. See, e.g., Physicians National House Staff Ass'n v. Fanning, 642 F.2d 492, 499 (D.C.Cir.1980) (in banc), cert. denied, 450 U.S. 917, 101 S.Ct. 1360, 67 L.Ed.2d 342 (1981). Cf. United Electrical Contractors Ass'n v. Ordman, 366 F.2d 776 (2d Cir.1966) (per curiam). 6