Document: 536 U.S. 516 BE&K CONSTRUCTION CO.v.NATIONAL LABOR RELATIONS BOARD et al. No. 01-518. Supreme Court of the United States. Argued April 16, 2002. Decided June 24, CERTIORARI TO THE UNITED STATES COURT OF APPEALS FOR SIXTH CIRCUIT Petitioner, who had a contract to modernize steel mill, and mill owner filed federal lawsuit against respondent unions, claiming that unions engaged in lobbying, litigation, other concerted activities order delay project because petitioner nonunion employees. Ultimately, lost on or withdrew each its claims. In meantime, two lodged complaints with National Labor Relations Board (Board). After court proceedings ended, Board's general counsel issued an administrative complaint, alleging petitioner, by filing maintaining lawsuit, violated § 8(a)(1) Act (NLRA), which prohibits employers from restraining, coercing, interfering employees' exercise rights related self-organization, collective bargaining, activities. 29 U. S. C. §§ 157, 158(a)(1). The ruled counsel's favor, finding was unmeritorious claims were dismissed voluntarily withdrawn prejudice, it retaliate whose conduct protected under NLRA. It ordered cease desist prosecuting such suits, post notice employees acknowledging promising not pursue litigation future, pay unions' legal fees expenses incurred lawsuit. Sixth Circuit granted enforcement petition. Relying Bill Johnson's Restaurants, Inc. v. NLRB, 461 731, 747, held Judiciary already found petitioner's dismissed, evidence simple retaliatory motive sufficed adjudge committing unfair labor practice. also rejected argument Professional Real Estate Investors, Columbia Pictures Industries, Inc., 508 49, only baseless sham suits can restrict otherwise unfettered right seek resolution differences, case inapplicable immunity standard established antitrust context. Held: for imposing liability is invalid. Pp. 524-537. (a) petition one most precious liberties safeguarded Rights. This has considered when interpreting law, recognizing context, example, genuine petitioning immune liability, but not. two-part definition adopted Investors requires must be objectively no reasonable litigant could realistically expect success merits, litigant's subjective motivation conceal attempt interfere directly competitor's business relationship through use governmental process as anticompetitive weapon. S., at 60-61. suit raises same underlying issue may violate respect Recognizing connection, previously decided enjoin lawsuits analogizing holding ongoing brought motive. Here, however, declaring completed unlawful. Johnson's, addressed dicta, noting would allow declare NLRA if retaliatory. However, did consider precise scope term "retaliation." Although statements regarding intended guide further proceedings, expressly adhere prior unlawfulness stated standard. Exercising customary refusal bound turns question presented. 524-528. (b) Because objective component, Investors' protects reasonably based liability; unmotivated intent, whether argues broad necessary with, e. g., treble damages remedy privately initiated lawsuits, unnecessary law context where, adjudication cannot launched solely private action punitive remedies. At most, those arguments show poses less burden petitioning, burdens raise First Amendment concerns. If based, unsuccessful, violates NLRA, resulting illegality itself. threat reputational harm different additional any imposed penalties. Having identified this burden, examine activity affects. said they fell outside thus analogous "false statements." 743. here, class unsuccessful lawsuits. Whether falls Petition Clause least presents difficult constitutional question, given following considerations. First, even though all are includes involving grievances genuineness does turn grievance succeeds. Second, advance some interests. Finally, analogy false extend based. confines penalties motive, significance particular limitation, fairly included within 528-533. (c) 7 covers substantial amount petitioning. For employer's stop what employer believes illegal union deter rights. But still reflects subjectively desire test conduct's legality, then affects rely antiunion animus infer Yet ill will uncommon Court, contexts, problematic regulate demonstrably expression presence will. Thus, made significantly easier limitation. final light NLRA's important goals, nevertheless purpose. While speech here than faced declared unlawful portion genuine. avoided similarly Edward J. DeBartolo Corp. Florida Gulf Coast Building & Constr. Trades Council, 485 568, 575, adopting limiting construction relevant provision. Section 158(a)(1)'s prohibition interfering, coercing facially DeBartolo, need read so broadly reach entire cases deemed nothing text indicates purpose, declines do so. And allows penalize 533-537. 246 F. 3d 619, reversed remanded. O'CONNOR, J., delivered opinion REHNQUIST, SCALIA, KENNEDY, THOMAS, JJ., joined. concurring opinion, joined, post, p. 537. BREYER, j., part judgment, STEVENS, SOUTER, GINSBURG, 538. Maurice Baskin argued cause briefs petitioner. Deputy Solicitor General Wallace respondents. With him brief Olson, Austin Schlick, Arthur Rosenfeld, John H. Ferguson, Norton Come, Emad Arbab. Sandra Rae Benson, Theodore Franklin, Jonathan P. Hiatt, James B. Coppess, Peter D. Nussbaum, Meera Trehan, Laurence Gold Unions.* JUSTICE O'CONNOR Court. 1 Petitioner sued their law. claims, Appeals affirmed. we find lacked authority assess using standard, reverse remand. 2 * industrial contractor, received California near beginning 1987. 621 (CA6 2001). According various attempted nonunion. Ibid. That September, operator District Northern California. App. Pet. Cert. 33a. basic allegations: lobbied adoption emissions despite having real concern environment. 3d, 621. handbilled picketed site — encouraged strikes among subcontractors without revealing reasons disagreement. Third, costs, state violations California's Health Safety Code. Id., 621-622. joint venture partner bargaining agreements. 622. 3 Initially, sought 303 Labor-Management Act, 1947 (LMRA), 61 Stat. 158, amended, 187, provides organizations injuries caused secondary boycotts prohibited 158(b)(4). after motion summary judgment plaintiffs' lobbying- grievance-related plaintiffs amended complaint allege Sherman 26 209, 15 1-2, prohibit certain agreements restraint trade, monopolization, attempts monopolize. realleged been decided. 622-623. claim since never parties action. 623. 4 second complaint. remaining again Ibid.; 32-33. sanctions Federal Rule Civil Procedure 11. point, prejudice. once unable formed combination nonlabor entities illegitimate appealed. 623-624. 5 States Ninth affirmed dismissal claim. erred requiring prove combined error harmless lobbying officials courts agencies, unless sham. USS-POSCO Industries Contra Costa County Bldg. Const. AFL-CIO, 31 800, 810 (CA9 1994). argue baseless, maintained "the [had] pattern automatic bodies ... regard merits petitions." (internal quotation marks omitted; emphasis added). allowed claim, proved, overcome immunity, nonetheless "fifteen twenty-nine [actions unions] have proven successful. fact more half actions out merit reconciled charge [them] willy-nilly success." 811 (footnote omitted). 6 Court's award 11 sanctions, explained precedent suggesting doing preserve them appeal. rule apply view frivolous blamed "err[ing] side caution." 812. (Board), 624, 49 452, 158(a)(1), 29a. 8 A three-member panel cross-motions favor counsel. determined 30a, 47a, 49a. examined engaging first concluded activity, id., 50a-59a, unlawfully motivated "directed conduct" "necessarily tended discourage similar activity," admitted "`to [u]nion believed unprotected,'" 59a-60a. 60a. LMRA "utter absence merit" judgment. 61a. determining retaliatory, admitting future. 65a-67a. defense suit. 65a. 9 review decision Circuit, cross-petitioned order. 747 (1983), "because judicial branch government [petitioner's] suffice[d] [petitioner] practice." 628. (1993), "only `sham' serve differences." 629. Instead, reference supported inference suit, 629-631. upheld attorney's fees. 632. 10 Circuit's certiorari raised four separate questions. We rephrased question: "Did err 731 NLRB impose losing (1993)?" 534 1074 (2002). 12 now II 13 provides, part, "Congress shall make abridging people Government redress grievances." recognized Rights," Mine Workers Illinois Bar Assn., 389 217, 222 (1967), implied "[t]he very idea government, republican form," Cruikshank, 92 542, 552 (1876). 14 persons associating persuade legislature executive take produce monopoly." Eastern Railroad Presidents Conference Noerr Motor Freight, 365 127, 136 (1961). our interpretation principle "lightly impute Congress intent invade freedoms" Rights, 138. later clear "shields effort influence public regardless purpose." Pennington, 381 657, 670 (1965). These principles extended situations where groups "use advocate causes points respecting economic interests vis-á-vis competitors." Transport Co. Trucking Unlimited, 404 508, 511 (1972) (emphasis explicit extends departments Government," access aspect petition." 510. 16 Even then, emphasized "illegal reprehensible practice[s] corrupt proces[s]," 513, hearkening back earlier statement "ostensibly directed toward influencing [that] mere cover actually relationships competitor." Noerr, supra, 144. line establishes while 17 twopart litigation: first, "must sense merits"; second, "concea[l] competitor [of] opposed outcome weapon." 60-61 original). laws, both subjectively. 18 time rather Act. restaurant individuals waitress fired. 733-734. alleged picketing harassing dangerous leaflet distributed picketers libelous. 734. retaliation participation 735. Administrative Law Judge (ALJ) owner's basis his assessment credibility. 736, 744. determination withdraw defendants' expenses. 737. enforced 19 vacated federalism concerns prevented prosecution well-founded lawsuit" being "enjoined practice, commenced plaintiff's defendant exercising [NLRA]." 737, decide making credibility determinations, ALJ done, issues material exist. 745, 746-747. recognition exception reasoned "[w]e should follow course NLRA" 744 (citing Transport, supra), remanded 749. 20 today enjoining remarked dicta about situation: 21 "If goes court, shown merit, day interest State providing forum citizens vindicated, proceed adjudicate practice case. proved unmeritorious, warranted taking into account [NLRA] violation found, reimburse whom he wrongfully proper relief effectuate policies 747. 22 Under before fact. 733. To resolve issue, actual ultimately unsuccessful. Indeed, yet unlawful: uncompleted baseless. 736-737. Nor occasion See infra, 533, 23 Moreover, although stated. 749-750, n. ("[O]n remand reinstate acted adheres previous purpose" added)). "customary dicta," Bancorp Mortgage Bonner Mall Partnership, 513 18, 24 (1994), III liability. admits justified properly "balances risk chilling effect" might treble-damages distinct features litigation," high discovery costs. Brief Respondent 40-41. Board, protection because, LMRA, authorize issuance complaint; thus, 153(d); Food Commercial Workers, 484 112, 118-119 (1987). remedies, see Republic Steel 311 7, 10-12 (1940), instead limited restoring previolation status quo, 12-13; Rutter-Rex Mfg. Co., 396 258, 265 (1969). "little prehearing discovery." Robbins Tire Rubber 437 214, 236 (1978). 25 these demonstrate pose greater adjudication. mean posed determine do, isolate burdens. resulted notices, refrain challenge below injunction upon illegality, fees, albeit unsuccessfully. 631-632. fee i, grant specific asking address 27 As it, threshold may, addition declaration whatever consequences flow that, penalties, award. looking 28 742-743. longer present ends court." By areas assume penalizing litigation. all, historically restraints after-the-fact Alexander States, 509 544, 553-554 characterized restraint, whereas penalty suggests injunctions concerns, Likewise, enjoined tells little propriety classes nonbaseless suits. "[j]ust immunized freedom speech, (citations helpful, suggest completely unprotected: unprotected "just as" are. own sake, protect falsehood thatmatters." Gertz Robert Welch, 418 323, 341 (1974) added); 342 (noting falsehoods ensure freedoms press [receive] `breathing space' essential fruitful exercise" (quoting NAACP Button, 371 415, 433 (1963))). An example "breathing space" requirement official seeking compensatory defamation convincing knowledge reckless disregard falsity. New York Times Sullivan, 376 254, 279-280, 285 (1964). 30 consistent own. like holdings regulation room" protection, place. initial matter, dealing Amendment's proportion reflected whenever genuine, simply triumphs. See, 58-61 (protecting genuine); (shielding "concerted officials"). speak terms successful speaks 32 Like "`public airing disputed facts,'" 743 Balmer, Sham Litigation Antitrust Law, Buffalo L. Rev. 39, 60 (1980)), matters concern. They promote evolution supporting development theories gain acceptance around. ability lawfully prosecute adds legitimacy system designated alternative force. Andrews, Right Access Amendment: Defining Right, Ohio St. 557, 656 (1999) potential avoiding violence claims). 33 seen statements, kind provable statement, loses false. means plaintiff meet proving truth. contrary. 34 (2002) (granting "may baseless" IV 35 employer-filed indicated "filed rights." specifically constitutes "retaliation," defined. "brought [NLRA ]7 46 36 file practical reflect legality conduct. case, unprotected. belief reasonable, 37 47. Cf. 69 (STEVENS, judgment) ("We presume every intends adversary"). Disputes between adverse generate recourse becomes situation. disputes long purpose illegal, 38 invalidated criminal statute prohibiting Garrison Louisiana, 379 64, 73-74 (1964) ("Debate uninhibited speaker run spoke hatred"). falsity indirectly shield much concealing motives. Philadelphia Newspapers, Hepps, 475 767, 776-777 (1986); Hustler Magazine, Falwell, 46, 53 (1988) (prohibiting create realm debate figures). 39 reasons, noted earlier, 531-533, limitation fails exclude 40 whether, goals concludes above, 525-526, answered negative namely, 41 575 (1988). there 8(b)(4) 158(b)(4), limits "threaten[ing], coerc[ing], restrain[ing] person commerce industry affecting commerce" purposes. 158(b)(4)(ii). provision handbilling urged customers shop mall convince mall's proprietor tenant quit contractor. 574. statutory threats, coercion, "`nonspecific, indeed vague,' [thus] interpreted `caution' `broad sweep.'" 578 Drivers, 362 274, 290 (1960)). provisions legislative history 578-588, thereby altogether, 588. 42 8(a)(1), "interfer[ing] restrain[ing], coerc[ing] guaranteed [29 §]157." 157 part: 43 "Employees form, join, assist organizations, bargain collectively representatives choosing, engage mutual aid ...." 44 connection above DeBartolo. broadly. suggestion 158(a)(2)-(5) (generally formation administration union, discriminating employment practices membership, discharging provide testimony charges refusing employee representatives). 45 indicating 158(a)(1) decline costs process, outcome, confine itself meant 747; 527-528. validity common themselves authorized Rules merely imposition plaintiff. therefore reversed, opinion. 47 ordered. Notes: Briefs ofamici curiae urging reversal Chamber Commerce Stanley R. Strauss, Stephen A. Bokat, Robin Conrad, Joshua Ulman; Society Human Resource Management Mark Carter Daniel V. Yager. 48 THOMAS joins, concurring. scrupulously avoids deciding (which presented case), I agree BREYER implication future appropriate construe (NLRA) way construed Act: abuse process. (1993). 50 Choosing implied, disagreeing result, describes number differences complainant enjoys face latter former. Post, 541-544 (opinion judgment). Missing list, difference indeed, demands precisely opposite conclusion. entity factual Article court; thought too imperiled. determines punished agency, Board. undermines BREYER's analysis, doubt. least, agency power punish insulated de novo substantial-evidence 160(e), (f) another. makes resort risky venture, dependent findings body independence prescribed courts. extraordinary interpret silent subject intrude courts' postulants assistance punished. 51 reason, am able, unlike join full including carefully circumscribed "nothing themselves," ante, 537 52 GINSBURG understand focuses (1) (2) (3) "retaliatory motive," i. e., 532-533. holds (NLRA Act) permit 8(a) 158(a), circumstances say, rests motive" almost exclusively union. Ante, 522-524. leaves open "retaliation" stronger different, showing, employer, indifferent 536-537; 73-76 (1993) joined (discussing colorable purpose). brings broader aimed harming 7(a) 157. 54 concur insofar just set forth. recognize leeway gives relief, 10(c), 160; Gissel Packing 395 612, (1969); Shepard 459 344, 349 descriptions probative, seem me rest 329 N. 68 (1999), 59a-61a (finding conduct," admittedly Construction Company unprotected, involved company, unmeritorious); 629-630 suggested account" purposes suggest, seems itself, virtually alone, shows retaliation. (suggesting "would Act"). 55 Insofar language far-reaching rule, 524-533, agree. thing, believe many questions declares unanswered. 527-528, halt lacks basis, 8(a)(4) case" "unmeritorious" loses. added "employer's courts, bar, employers, alike treated discussion followed years. Petrochem Insulation, 240 26, (CADC), cert. denied, 992 (2001); Diamond Walnut Growers, 1085, 1088 1995); International Union Operating Engineers, Local 520, 677, 679 (CA7 1994); Braun Elec. 324 1, (1997); Summitville Tiles, 300 65, (1990); Machinists Lodge 91 (United Technologies), 298 325, 326 (1990), enf'd, 934 2d 1288 (CA2 1991). good reason characterize characterizing dicta. 56 another here. Estate, supra; 127 finds exempt laws. 60-61; hold enjoy exemption so, differ consequences, administration, scope, history, 57 Certain minor, worth avoid discouraging legitimate defendant's threatens considerable deterrent. 528. shift 529. Similarly, court-defense initiate typically far lower defending congressionally politically accountable acts screen meritless complaints. ibid.; 64 Ann. Rep. (showing 27,450 closed 1999, 1.4% resolved contested case). 58 Other major determinative. generally arise myriad circumstances. Anticompetitively occupy tiny corner anticompetitiveactivity universe. circumscribe boundaries limit undermine 59 contrast, historical being. Throughout 19th century, prosecutions conspiracies. Tomlins, Unions 36-45 (1985). struck down protective legislation for, shorter working hours better conditions. W. Forbath, Shaping American Movement 38, (1991) (by 1900, roughly 1920, 300). weakened organize. 61-62 (conservatively estimating 4,300 conflicts 1880 1930). reinterpreted statutes organizing unions. re Debs, 158 564 (1895) (applying Interstate 1887 activities); Loewe Lawlor, 208 274 (1908) Act); Frankfurter Greene, Injunction (1930). initially passed Clayton 12-27, 44, prevent particularly way. hoped "substitut[e] [of activities] differing judges" "prejudicial position equality workingman employer." Duplex Printing Press Deering, 254 443, 485-486 (1921) (Brandeis, Holmes Clarke, dissenting). When insufficient, Norris-LaGuardia 101, Hutcheson, 312 219, 235-236 (1941) ("The aim restore formulated frustrated, believed, unduly restrictive construction"); Marine Cooks Panama 365, 369-370, (1960) (enactment "was prompted type controversy ill-suited"). Similar objectives informed Congress' enactment took relations workingmen" granting agency. Printing, 486 dissenting); 703 (1965) (Goldberg, dissenting reversal) (describing how Justice Brandeis' dissent "carried history" NLRA). upshot occupies closer heart difference. treat give conduct, comparable evident. Perhaps why differ. Compare 55-60, 62 know reopens today. 528, 536-537. note done leave open. not, end, them. On understanding, extent describe outset, 538-540,

Category: 6