Court Opinion

ID: 9470660
Source: CourtListenerOpinion
Date Created: 2023-08-05 03:12:21.457688+00
Date Added: 2024-06-11T17:42:02.207102
License: Public Domain

CELEBREZZE, Senior Circuit Judge,
concurring.
Although I believe that the district court, and thus this court, has the power to grant Mr. Kaschak the relief he seeks, the majority fails to clearly indicate the source from which this power is derived. Mr. Kaschak asserts jurisdiction based upon 28 U.S.C. Secs. 1331 and 1337,1 and thus his action may be maintained only if it “arises under” the laws of the United States. The majority, however, fails to address this jurisdictional basis. Instead, the majority states that “the RLA is quasi-contractual in nature, creating legally enforceable obligations enforceable by whatever means appropriate,” and concludes that a remedy need not be implied in this instance. Whatever the merits of this analysis, I prefer to rely on less novel principles concerning federal *914jurisdiction. In my view, implication of a remedy is the most appropriate means of establishing federal question jurisdiction when a party requests relief not expressly provided by Congress. Because I believe that the facts of this case warrant the implication of a remedy, I concur with the majority’s conclusion that the federal district court has the power to hear Mr. Kaschak’s complaint so long as he is able to establish that the union breached its duty of fair representation, that he relied on the union to process his grievance, and that such reliance was reasonable.
A question “arises under” federal law when a party asserts a federal remedy to vindicate a federal right, see, e.g., T.B. Harms Co. v. Eliscu, 339 F.2d 823, 836 (2nd Cir.), cert. denied, 381 U.S. 915, 85 S.Ct. 1534, 14 L.Ed.2d 435 (1964); the federal remedy may be either express or implied. Compare Bivens v. Six Unknown Named Agents, 403 U.S. 388, 91 S.Ct. 1999, 29 L.Ed.2d 619 (1971) (federal constitutional right and implied federal remedy), with Crane v. Cedar Rapids & I.C.R., 395 U.S. 164, 166-67, 89 S.Ct. 1706, 1708, 23 L.Ed.2d 176 (federal right and state cause of action). The Railway Labor Act imposes a duty on all carriers to “. ... exert every reasonable effort to make and maintain agreements concerning rates of pay, rules and working conditions, and to settle all disputes [which arise] out of the application of such agreements....” 45 U.S.C. Sec. 152 First. The mere existence of a statutory duty, without more, however, does not establish federal jurisdiction,2 e.g. Merrill, Lynch, Pierce, Fenner & Smith v. Curran, 456 U.S. 353, 102 S.Ct. 1825, 1837, 72 L.Ed.2d 182 (1982); Cort v. Ash, 422 U.S. 66, 95 S.Ct. 2080, 45 L.Ed.2d 26 (1975); Chicago & N.W.R.R. v. Transportation Union, 402 U.S. 570, 577, 91 S.Ct. 1731, 1735, 29 L.Ed.2d 187 (1970); the statutory duty must be enforceable through some federal remedy.
As the majority notes, the federal administrative remedy expressly provided by Congress has been frustrated. The Railway Labor Act provides a comprehensive administrative scheme for the resolution of minor disputes. First, the Act specifies a procedure whereby the parties' representatives may voluntarily resolve disputes. 45 U.S.C. Sec. 152, Second, Sixth. When a minor dispute cannot be resolved in such a fashion, the Act requires the submission of the dispute to the appropriate division of the Adjustment Board. 45 U.S.C. Sec. 153 First (i). See, e.g., Andrews v. Louisville & Nashville Railroad, 406 U.S. 320, 92 S.Ct. 1562, 32 L.Ed.2d 95 (1972). Judicial review of Adjustment Board orders is limited by Sec. 153 First (q). Kaschak alleges that he relied on the union to process his grievance and that the administrative remedy normally available was foreclosed because the union breached its duty of fair representation. Consequently, Kaschak brought his minor dispute directly to the federal district court — a remedy not expressly provided by Congress. When the sole remedy provided by Congress is frustrated by unanticipated events, a federal court must consider *915whether the implication of an auxiliary remedy is appropriate.
In 1975, the Supreme Court refined the implied remedy doctrine to provide a more efficient means of determining whether a federal statute includes a private right of action.3 Cort v. Ash, 422 U.S. 66, 95 S.Ct. 2080, 45 L.Ed.2d 26 (1975). In Cort, the Supreme Court listed four factors which it previously had recognized as relevant to the question whether Congress intended to provide a federal cause of action. First, is the individual requesting relief “one of the class for whose special benefit the statute was enacted?” Cort v. Ash, 422 U.S. 66, 78, 80, 95 S.Ct. 2080, 2087, 2089, 45 L.Ed.2d 26 (1975) (“that is, does the statute create a federal right in favor of the plaintiff?”), quoting Texas & Pacific R.R. v. Rigsby, 241 U.S. 33, 36 S.Ct. 482, 60 L.Ed. 874 (1916). See, e.g., Merrill, Lynch, Pierce, Fenner & Smith v. Curran, supra, 102 S.Ct. at 1836-37, n. 51 (1982); Chicago & N.W. R.R. v. Transportation Union, 402 U.S. 570, 578, 91 S.Ct. 1731, 1735, 29 L.Ed.2d 187 (1971). Second, has Congress expressly or implicitly indicated an intent to either provide or deny the remedy sought? Cort v. Ash, 422 U.S. 66, 78, 82, 95 S.Ct. 2080, 2087, 2089, 45 L.Ed.2d 26 (1975). See, e.g, Merrill, Lynch, Pierce, Fenner & Smith, supra, 102 S.Ct. at 1836-37, n. 51 (May 2, 1982); National Railroad Passenger Corp. v. National Assn. of Railroad Passengers, 414 U.S. 453, 458, 460, 94 S.Ct. 690, 693, 694, 38 L.Ed.2d 646 (1974); Chicago & N.W. R.R. v. Transportation Union, 402 U.S. 570, 580, 91 S.Ct. 1731, 1736, 29 L.Ed.2d 187 (1971). Third, would the implication of a remedy be consistent with the underlying purposes of the legislative scheme? Cort v. Ash, 422 U.S. 66, 78, 84, 95 S.Ct. 2080, 2087, 2090, 45 L.Ed.2d 26 (1975). See, eg., Merrill, Lynch, Pierce, Fenner & Smith v. Curran, supra, 102 S.Ct. at 1836-37, n. 51 (1982); Chicago & N.W. R.R. v. Transportation Union, 402 U.S. 570, 580, 91 S.Ct. 1731, 1736, 29 L.Ed.2d 187 (1971). And fourth, would an implication of a remedy be inappropriate because the cause of action is one traditionally relegated to state law? Cort v. Ash, 422 U.S. 66, 78, 84, 95 S.Ct. 2080, 2087, 2090, 45 L.Ed.2d 26 (1975). See, e.g., Merrill, Lynch, Pierce, Fenner & Smith v. Curran, supra, 102 S.Ct. at 1836-37, n. 51 (1982); Wheeldin v. Wheeler, 373 U.S. 647, 652, 83 S.Ct. 1441, 1445, 10 L.Ed.2d 605 (1963).
The first part of the Cort test concerns the question whether 45 U.S.C. Sec. 152 First of the Railway Labor Act was enacted for the benefit of employees.4 The Supreme Court has characterized 45 U.S.C. Sec. 152 First as the “heart of the Railway Labor Act.” Railroad Trainmen v. Terminal Co., 394 U.S. 369, 377-78, 89 S.Ct. 1109, 1114-1115, 22 L.Ed.2d 344 (1969). See, e.g., Union Pacific R.R. v. Sheehan, 439 U.S. 89, 94, 99 S.Ct. 399, 402, 58 L.Ed.2d 354 (1978). Congress enacted 45 U.S.C. Sec. 153 First (i), the administrative remedy, to enforce the obligations imposed by 45 U.S.C. Sec. 152 First. The fact that Congress created such a remedy reveals that the obligations imposed on carriers by Sec. 152 First were intended to benefit employees. Thus, this factor supports the implication of a federal court remedy.
*916A review of the legislative history of the Railway Labor Act indicates that Congress did not anticipate the frustration of the federal administrative remedy which it provided. Consequently, the analysis must focus upon the implicit intent of Congress. As a general rule of statutory construction, when Congress enacts “a comprehensive legislative scheme [which includes] an integrated system of procedures for enforcement” of statutory duties, we assume that Congress deliberately intended to omit remedies not expressly provided. Northwest Airlines, Inc. v. Transport Workers, 451 U.S. 77, 97, 101 S.Ct. 1571, 1584, 67 L.Ed.2d 750 (1981). The courts may also assume that Congress intends consequences which are consistent with the underlying purposes of the Act. Under the Railway Labor Act, Congress has provided a remedy for the enforcement of a carrier’s statutory duty to abide by the terms of a collective bargaining agreement. As the majority notes, however, if Kaschak is not permitted to proceed with this action, he would be without an adequate remedy — a result inconsistent with the underlying purposes of the Act. See, e.g., Steel v. Louisville & Nashville R.R., 323 U.S. 192, 207, 65 S.Ct. 226, 234, 89 L.Ed. 173 (1944). In light of the conflict between the general rule of the statutory construction and the policies of the Act, Congress’ intent to afford relief of this nature is unclear.
The implication of a remedy in this instance is consistent with the policies underlying the Railway Labor Act. The primary purpose of the Railway Labor Act is the protection of interstate commerce from the disruption which accompanies labor instability. E.g., Union Pacific R.R. v. Sheehan, 439 U.S. 89, 94, 99 S.Ct. 399, 402, 58 L.Ed.2d 354 (1978). The administrative scheme which Congress enacted to provide for the fair and efficient resolution of minor disputes between carriers and their employees is central to the Act’s primary purpose. See, e.g., Union Pacific R.R. v. Sheehan, 439 U.S. 89, 94, 99 S.Ct. 399, 402, 58 L.Ed.2d 354 (1978); Chicago & N.W. R.R. v. Transportation Union, 402 U.S. 570, 580, 91 S.Ct. 1731, 1736, 29 L.Ed.2d 187 (1971). Although the Supreme Court has concluded that the mandatory administrative provisions of the Railway Labor Act are evidence of Congress’ intent to keep minor disputes between carriers and their employees out of the federal courts, e.g., Union Pacific R.R. v. Sheehan, 439 U.S. 89, 94, 99 S.Ct. 399, 402, 58 L.Ed.2d 354 (1978); Trainmen v. Chicago R. & I.R. R., 353 U.S. 30, 40, 77 S.Ct. 635, 640, 1 L.Ed.2d 622 (1957), the administrative scheme established by Congress serves the underlying purposes of the Act only to the extent that it functions effectively. To deny a substitute remedy is to value the administrative scheme more than its primary purpose. Further, the implication of a remedy in the narrow circumstances outlined by the majority will not result in undue interference with the administrative scheme which Congress has enacted.5 Thus, I believe that the policies underlying the Railway Labor Act support the implication of a remedy.
Finally, we must consider whether the implication of a federal remedy would be inappropriate because a wrongful discharge claim under the Railway Labor Act is a matter traditionally left to state law. Congress has pre-empted the right of states to provide a remedy to compensate employees who are wrongfully discharged. E.g., Andrews v. Louisville & Nashville R.R., 406 U.S. 320, 323, 92 S.Ct. 1562, 1564, 32 L.Ed.2d 95 (1972). Thus, the implication of a federal court remedy does not represent an unwarranted intrusion into an area of law traditionally relegated to the states.
In summary, Kaschak asserts jurisdiction based on 28 U.S.C. Secs. 1331, 1337. A question arises under federal law when a party asserts a federal remedy to vindicate a federal right. Although 45 U.S.C. Sec. *917152 First creates a federal right in favor of Kaschak, the concomitant federal administrative remedy has been frustrated. This court may exercise jurisdiction, however, if it can imply an auxiliary federal court remedy. Because I believe that the facts of this case warrant the implication of a federal court remedy, I concur in the judgment.

. 28 U.S.C. Sec. 1331 provides:
The district courts shall have original jurisdiction of all civil actions arising under the Constitution, laws, or treaties of the United States.
28 U.S.C. Sec. 1337(a) provides, in part:
The district courts shall have original jurisdiction of any civil action or proceeding arising under any Act of Congress regulating commerce ...
The term “arising under” has the same meaning under both statutory provisions. E.g., Michigan Sav. & Loan League v. Francis, 683 F.2d 957, 960, n. 6 (6th Cir.1982); Maritime Service Corp. v. Sweet Brokerage de Puerto Rico, Inc., 537 F.2d 560 (1st Cir.1976).

. The majority relies on Chicago & N.W. R.R. v. Transportation Union, 402 U.S. 570, 91 S.Ct. 1731, 29 L.Ed.2d 187 (1970) to support the proposition that this court is relieved from applying the implication doctrine. Chicago & N.W. R.R. involved an attempt by a carrier to enjoin a threatened union strike. First, the Supreme Court determined that 45 U.S.C. Sec. 152 First imposed legal obligations and that these obligations were mutual. Id. at 574-78, 91 S.Ct. at 1733-1735 (carriers, unions, and employees subject to the Act owed a responsibility to each other to observe the obligations imposed by Sec. 152 First). See, Note 4, infra. As the Supreme Court indicated, however, the mere existence of these mutual obligations did not establish subject-matter jurisdiction. Id. at 578, 91 S.Ct. at 1735 (“given that Sec. 2 First imposes a legal obligation on the parties, the question remains whether it is an obligation enforceable by the judiciary.”) Second, the Supreme Court considered Congress’ intent to either afford or to deny a particular remedy. Id. at 578, 91 S.Ct. at 1735 (“the legislative history is unclear.”) Third, the Court considered whether such a remedy was consistent with the purposes underlying the provisions of the Railway Labor Act. Id. (“the propriety of judicial enforcement turns upon the importance of the duty in the scheme of the Act.”) Not coincidentally, these factors are essentially the same factors listed by the Supreme Court in Cort v. Ash, 422 U.S. 66, 95 S.Ct. 2080, 45 L.Ed.2d 26 (1975) to determine if courts may imply remedies not expressly provided by Congress.

. The majority asserts that “the more exacting test for determining when a non-express remedy exists” should not apply to “older broad statutory schemes” such as the Railway Labor Act. I agree that the reason the Supreme Court refined the implied remedy doctrine in 1975 was to provide a more efficient means of interpreting increasingly complex legislation. Merrill, Lynch, Pierce, Fenner & Smith v. Curran, supra, 102 S.Ct. at 1837-39. I also agree that the complexity of the legislation is relevant to Congress’ intent to either provide or to deny a particular remedy. I can discern no reason, however, for refusing to accept the benefits which accompany a more refined means of determining legislative intent. Consequently, I apply the Cort test to determine the appropriateness of implying a remedy under the Railway Labor Act.

. The question whether a statute imposes a legal obligation and the question whether a statute is enacted for the especial benefit of a particular class of litigants are distinct. The former is the threshold question. A court must first determine whether the statute in dispute imposes a legal obligation before it entertains questions concerning the intended beneficiaries of the obligations. The first part of the Cort test concerns the second question: to whom is the obligation owed?

. In determining whether to imply a remedy, courts must consider the effect that implying a remedy will have on the existing administrative scheme. If implication will result in disturbing carefully considered legislation, then implication is not consistent with the underlying purposes of the federal statute. See Northwest Airlines, Inc. v. Transport Workers, 451 U.S. 77, 97, 101 S.Ct. 1571, 1584, 67 L.Ed.2d 750 (1981).