Document: 358 U.S. 283 79 S.Ct. 297 3 L.Ed.2d 312 LOCAL 24 of the INTERNATIONAL BROTHERHOOD OF TEAMSTERS, CHAUFFEURS, WAREHOUSEMEN AND HELPERS AMERICA, AFL-CIO, et al., Petitioners,v.Revel OLIVER, A.C.E. Transportation Company, Inc., and Interstate Truck Service, Inc. No. 49. Argued Dec. 10, 11, 1958. Decided Jan. 19, 1959. Mr. David Previant, Milwaukee, Wis., for petitioners. Stanley Denlinger, Akron, Ohio, respondent Revel Oliver. Charles R. Iden, respondents Transp. Co., Justice BRENNAN delivered opinion Court. 1 As result multiemployer, multistate collective bargaining with Central States Drivers Council, comprising local unions truck drivers affiliated International Brotherhood Teamsters, Chauffeurs, Warehousemen Helpers, a agreement, 'Central Area Over-the-Road Motor Freight Agreement,' effective February 1, 1955, expiring January 31, 1961, was entered into by locals motor carriers in interstate commerce who operate under authority Commerce Commission1 12 midwestern States, including Ohio.2 Article XXXII this agreement3 prescribes terms conditions which regulate minimum rental certain other lease when vehicle is leased to carrier an owner drives his carrier's service.4 The Ohio courts enjoined petitioner, Ohio's Teamsters Local its president, carriers, employers, from giving effect provisions XXXII. held that violates antitrust law, known as Valentine Act.5 question whether fact contained agreement fruit exercise rights National Labor Relations Act6 precluded applying law prohibit parties carrying out they had agreed upon bargaining. No claim made any provision federal law. 2 express applicable only lessor-driver he himself business lessee-carrier. § 1. Article, at least words, constitutes employee such times: 'The employer (the carrier) expressly reserves right control manner, means details of, which, owner-operator performs services, well ends be accomplished.' 4. His wages, hours working are then those applied carrier-owned vehicles, has 'seniority driver only.' 2. He must times 'exclusively * carrier's) service no interests.' 'agrees pay social security tax, compensation insurance, public liability property damage bridge tolls' various fees imposed on freight transportation, except 'that owner-driver shall license state title registered.' 10. compensated 'separate checks driver's wages equipment rental.' 6. wage payment amount 'the full rate supplementary allowances' payable similarly circumstanced dirve vehicles. 12(a). not less than rates' specified 'result joint determination rates represent actual cost operating (leased) equipment. have attempted negotiate profit owner-driver.' 12(b). All leases union members drive their vehicles operative date 'be dissolved or modified within thirty (30) days' conform Article. 15. declare intent clause Article) assure Union scale (a from) making plan, scheme device circumvent defeat scales provided Agreement. (and) prevent continuation formation combinations corporations so-called fleet arrangements whereby (of own vehicle) required does periodically losses sustained corporation arrangement, accept running equipment, thus, fact, reducing pay.' 16. respondent, Oliver, member union, equipment7 time negotiated, subject written agreements respondents, leases, particularly regard compensation, differ substantially XXXII.8 4 Oliver brought action 20, Court Common Pleas, Summit County, injunction restraining petitioners obtained temporary order sworn allegations. At trial joined attack defended ground State could lawfully power apply cause forfeiture product federally sanctioned collecive rights. justified necessary undermining negotiated drivers' said practice leasing returned costs operation, so received him, although nominally wage, actually reduced excess expenses over received. Pleas v. All-States Freight, 156 N.E.2d 176, Act reasonably construed permit remote indirect approach wages,' violation State's because 'there restrictions restraints articles vehicles) widely used trade commerce. preclude reasonable freedom dealing it.' On petitioners' appeal Ninth Judicial District Appeals court heard case de novo affirmed judgment adopting opinion. 190. permanent perpetually (1) 'from entering requirements will require alteration' Oliver's 'existing agreement'; (2) stipulation future, negotiation therefor, tendency determine manner charged use of' equipment; (3) force Section 32 (sic) Contract modification thereof, attempt fix equipment.9 Petitioners' Supreme dismissed want debatable constitutional question. 167 St. 299, 147 856. We granted certiorari consider important raised interaction arising regulation abridges protected statute. 356 966, 78 1007, 1073. 5 did originate 1955 agreement. disputed since 1938 hire lessor's driving services vehicle. usual single hires A representative participated all contract negotiations leading testified history. According nub union's position two decades been abuse practice, paying inadequate rentals part men's being upkeep *. They union) claimed people were breaking down structure *.' demands safeguard against alleged designed also 'secure living (for lessor) plus adequate equipment.' first appeared comparable §§ 8, 10 14 present Aticle In 1939, after lot transferring people's name avoid contract,' added provide 'certificate owner.' When dispute verge strike 1941, note 13, 15, 16, 17 18 came But 1946 controversy reached pitch where demanded abolish practice: going refuse addition individual owners, desired make owner-operators, again claiming company operators taking advantage contract.' This demand compromised 19 restricting 'who agree submit grievances pertaining owner-operators Employer-Union grievance committees each respective state'; section 'represented compromise between it should companies' contention there limitation.' 6 First. rejected evidence conclusively established dealt matter scope 'collective bargaining' gave engage. rested judgments principally regulations principal discussion occurs Pleas. These constitute price-fixing arrangement violating evidenced 'concerted combining non-labor third party formal contract. (the) which) oppress destroy competition. 7 It seems us considering deals defined give proper significance Article's narrowly restricted application carrier, adverse effects might unregulated these times. Since presented sought very infrequent irregular occasions drove one we take courts' opinions relate validity would necessarily text illumined history, establish wise driven vehicle; observed contracting employers non-owner governed general found 8 light history purpose, cannot 'remote outside range matters requires bargain. unchallenged show objective protect possible through diminution owner's cover costs. thus but instance, somewhat similar another case, seeks lawful interests what believed, rightly wrongly, 'a utilized purpose escaping assumption commensurate standards.' Milk Wagon Drivers' Union, 753, Stablemen, Helpers America Lake Valley Farm Products, 311 91, 98—99, 61 122, 126, 85 L.Ed. 63. Looked light, be, relevance Federal Act, point obviously price fixing wages. embody wages' perceived direct frontal problem thought threaten maintenance basic inadequacy makes up clearly bears close relation labor's efforts improve vital concern employed drivers; mean progressive curtailment jobs withdrawal more service. Cf. Bakery Pastry 802 Wohl, 315 769, 771, 62 816, 817, 86 1178. set precise limits properly included mandatory bargaining, cf. Board Wooster Division Borg-Warner Corp., 342, 718, 823, hold, do, obligation 8(d) employees bargain collectively 'with respect hours, employment' understanding incorporating reached,' expression See Timken Roller Bearing 70 N.L.R.B. 500, 518, reversed grounds, Cir., 161 F.2d 949. And certainly representatives Act. 9 Second. decide may directs them Little extended applied. need ourselves today contractual discuss; duty shown. goal labor policy, expressed Wagner Taft-Hartley Acts, promotion bargaining; encourage establish, negotiation, charter ordering industrial relations, thereby minimize strife. Jones & Laughlin Steel 301 45, 57 615, 628, 81 893; American Ins. 343 395, 401—402, 72 824, 828, 96 1027. Within area required, Congress concerned substantive agreed. Terminal Railroad Ass'n Louis Trainmen, 318 6, 63 420, 423, 87 571. purposes Acts served bringing together establishing work themselves. To allow here wholly realization congressional purpose. frustrate parties' solution good faith toward solving, limitations relevant here. created collectively; system response duty, Textile Workers Lincoln Mills Alabama, 353 448, 77 923, 972; sets some (not contended exceeded here) provide, see Allen Bradley Co. 3, Electrical Workers, 325 797, 65 1533, 89 1939; United Employing Plasterers' Chicago, 347 186, 190, 74 452, 454, 98 618. believe room policy limiting solutions can problems conditions. California Taylor, 553, 566, 567, 1037, 1044, 1045, 1034. operates here, paramount, leave free, inconsistent State. Hill Florida ex rel. Watson, 538, 542—544, 1373, 1375, 1376, 1782. Automobile, Aircraft Agricultural Implement O'Brien, 339 457, 781, 782, 94 978; Amalgamated Street, Electric Railway Coach Employees America, 998 Wisconsin Employment Board, 340 383, 71 359, 95 364; Plankinton Packing 338 953, 491, 588. worked sort indicated left prohibition several States. Algoma Plywood Veneer 336 301, 307—312, 69 584, 588—590, 93 691.10 Of course, paramount remains even though empowers make, rather enactment Congress. Employes' Dept. Hanson, 351 225, 232, 76 714, 100 1112. Clearly immaterial conflict characterizes '* sufficiently exclude prohibition, relations related inclusive restraint trade.' Weber Anheuser-Busch, 348 468, 481, 75 480, 488, 99 546. health safety regulation; specifically adjust relationships world If limitation subjects, pursuant Congress, it. Reversed. 11 WHITTAKER, believing while tractor performance independent contractor, Silk, 331 704, 67 1463, 91 1757, that, such, excluded coverage Stat. 137, 29 U.S.C. 152(3), U.S.C.A. affirm Ohio. CHIEF JUSTICE, FRANKFURTER STEWART took consideration decision case. Appendix Opinion 13 Owner-Operators. 15 Owner-operators (See Note), certificated permitted covered Agreement unless compliance holding ICC certificates permits. Such exclusively interests. 16 (Note: Whenever 'owner-operator' article, only, nothing article driver.) type operator's accordance seniority only. 3. Certificate owner. cases, hired operated carrier. accomplished. 20 5. Certificated available thirty-day bona fide arrangements, rotating board, before hiring extra 21 Separate issued rental. check miles operated. deducted revenue. turn tie monies due longer weeks, terminated cases operator days termination operation 22 7. Payment handled issuance mileage operated, tonnage percentage, advances. statement charges same time, advance. 23 8. complete purchase gasoline, oil, grease, tires, tubes, etc., repair work, place efficient satisfactory products most favorable prices. 9. There deduction reason whatsoever. 25 Employer hereby agrees road mile tolls, certificates, permits travel orders, fines penalties fees, weight tax wheel loss waiting lines, cargo insurance. understood registered. 26 how computed, paid regardless contrary. 27 taxes additional relating highways, computed named, Carrier, excepting licensing 28 11. interest handling charge earned money advanced prior regular day. 12. (a) owned file true copy covering owner-driven Joint Committees. accord herein, allowances embodied elsewhere 30 (b) be: 75% above deadheading, if ordered, provided, however, empty dispatch away home terminal; thereafter until redispatched hom based 23,000-pound load limit. 23,000 pounds, one-half (1/2) cent per 1,000 pounds fraction thereof pounds. guarantee 24,000 owner-driver. Nothing herein driver. 31 forth 13. Driver-owner include pickup delivery origin terminal destination terminal, Company. Failure submitted procedure. 33 14. reductions basis higher minimums operation. Where percentage reduces tariff, automatically adjusted suffers reduction both. 34 further heretofore either among themselves aid Employer, contrary hereof, signing event method dissolution Agreement, artitration, select arbitration selected choose board. five (5) days, appointed Committee. board final binding. 35 entire intended pay. 36 17. 'driver-owner-operator' sell directly indirectly, fair value Copies instruments sale filed objected ten (10) deemed satisfactory. value, arbitration, forth, determination. 37 18. devise put scheme, enumerated not, wherein lessened, nor cancelled depriving employment, complaint arise cancellation X. 38 19. state. promptly decided specific mind 39 protecting contract; 40 prohibiting violations indirectly owners; 41 attempts changing affect contract, generally assume responsibility policing doing everything eliminate abuses owner-drivers resulted insertion (Article XXXIII) original 1945 47 (4) operations deliveries otherwise 42 will, meeting Unions, uniform rules practices heard; 43 (6) considered deduct increases Amendments evasion period starting ending 1961. 44 hold owns three pieces having long engages holds seniority. drives, works sixty (60) time. Certificates convenience necessity common 206—208 49 551, 552, amended, 306—308, 306—308; 209, 309, 309. covers 3,000 3,500 45,000 50,000 drivers. Those consist approximately 500 6,000 Upwards 90% I.C.C. rest usually vehicle, holders permits, to, for, carriers. For XXXII, Appendix, post, page 306. governing relationship lessors Trucking Ass'ns 344 298, 73 307, 97 337. involved, Rev.Code Ann. 1331.01, provides follows: 'As sections 1331.01 1331.14, inclusive, Revised Code: '(A) 'Person' includes corporations, partnerships, associations existing authorized territory foreign country. (B) 'Trust' combination capital, skill, acts persons following purposes: '(1) create carry commerce; '(2) limit reduce production, increase merchandise commodity; '(3) competition manufacturing, making, sale, merchandise, produce, '(4) standard figure, consumer controlled established, commodity barter, use, consumption state; '(5) enter into, execute, contracts, obligations, kind bind bound sell, dispose transport commodity, trade, commerce, below figure fixed keep transportation graduated settle others, free unrestricted themselves, purchasers, consumers pool, combine, unite connected affected. 'A trust division unlawful void.' Involved amended reenacted Management 140, 157, 158, 158. 'Employees self-organization, form, join, assist organizations, choosing, engage concerted activities mutual protection, refrain extent affected requiring membership organization condition employment 8(a)(3).' 8(a)(5) 8(b)(3) organizations collectively. 8(d), pertinent part, provides: 'For section, meet confer thereunder, execution requested unusual fleet, six trucks four trailers, respondents. occasionally, 'every month every eight months Interstate,' occasions. Accordingly, Art. steps modify both agreements. Service term, five-day clause. term waybills manifests particular hauls. September 30, 1957, are: '(a) That defendants-appellees, defendants-appellants, them, agents, successors persons, acting, by, concert other, restrained effects, alteration, plaintiff-appellee's (Revel Oliver's) hereafter renewed renegotiated '(b) Kenneth Burke, President Business Agent successor acting defendants-appellees appellants combination, plaintiff's plaintiff-appellee '(c) defendants-appellee, fully Court's finding, alteration import, return capital investment Algoma, allowed restrict exhaustive examination legislative special legality clauses 8(3) 452. Questions nature open. U.S., 312, 590.

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