NATIONAL ASS'N OF LET. CAR. v. INDEPENDENT POST. S. OF A., INC.

• Decision Date: 15 December 1971
• Docket Number: Civ. No. 71-757.
• Citation: 336 F. Supp. 804
• Court: U.S. District Court — Western District of Oklahoma
• Parties: NATIONAL ASSOCIATION OF LETTER CARRIERS, AFL-CIO, plaintiff, v. INDEPENDENT POSTAL SYSTEM OF AMERICA, INCORPORATED, and Thomas M. Murray, Individually and as President of Independent Postal System of America, Incorporated, Oklahoma City, Oklahoma.

336 F. Supp. 804

NATIONAL ASSOCIATION OF LETTER CARRIERS, AFL-CIO, plaintiff, v. INDEPENDENT POSTAL SYSTEM OF AMERICA, INCORPORATED and Thomas M. Murray, Individually and as President of Independent Postal System of America, Incorporated, Oklahoma City, Oklahoma.

Civ. No. 71-757.

United States District Court, W. D. Oklahoma, Civil Division.

December 15, 1971.

Mozart G. Ratner, Washington, D. C., Burck Bailey, Oklahoma City, Okl., for plaintiff.

Keith McMillin, Oklahoma City, Okl., for defendants.

MEMORANDUM OPINION

DAUGHERTY, District Judge.

The Plaintiff, a National labor organization representing approximately 200,000 letter carriers, brings this suit for injunctive relief and declaratory judgment against the Defendants asserting that Defendants are violating the United States Postal Laws to the injury of the members of Plaintiff's organization. The alleged violation is that Defendants are offering to deliver addressed Christmas cards within certain cities and in this connection have printed and offered for sale and have sold their private postage stamps for use in the delivery of said addressed Christmas cards.

Upon Application of Plaintiff the Court granted a Temporary Restraining Order against these alleged activities of the Defendants, immediately set Plaintiff's Application for a Preliminary Injunction for hearing and pursuant to Rules 65(a) (2) and 57, Federal Rules of Civil Procedure, 28 U.S.C.A. ordered the trial of the action on the merits to be advanced and consolidated with the hearing on Plaintiff's Application for Preliminary Injunction. The Defendants have answered the Complaint. The United States of America has been permitted to file an amicus curiae brief herein. Such hearing has been conducted, all evidence of both sides has been received and arguments heard whereupon the Court for good cause shown and by agreement extended the Temporary Restraining Order (as modified by agreement of the parties) for an additional ten days pending the filing of this Memorandum Opinion and decision in the case on the merits.

Jurisdiction is present under 28 U.S. C.A. § 1331(a) as Plaintiff's suit arises under the Constitution and laws of the United States, under 28 U.S.C.A. § 1332(a) and (c), as Plaintiff is a National labor organization with its principal place of business in Washington, D. C., Defendant Independent Postal System of America, Incorporated is a Delaware corporation with its principal place of business in Oklahoma, Defendant Murray is a citizen of Oklahoma, and in both Statutory instances, the value of the right involved is more than $10,000. Jurisdiction is also present under 28 U. S.C.A. § 1339, which provides that the Court shall have original jurisdiction of any civil action arising under any Act of Congress relating to the Postal Service, without regard to the amount in controversy. See Straus v. Gilbert, 293 F. Supp. 214 (D.C.N.Y.1968).

Generally, the issues joined herein by the parties are:

1. Plaintiff's standing to sue,

2. Whether the United States Government has a monopoly to handle letters by the mails,

3. If such monopoly exists, whether Defendants' announced operation involving Christmas cards is in violation thereof,

4. The power of the Court to grant the requested injunctive relief,

5. The nature of any injunctive relief granted, and,

6. Whether Plaintiff is entitled to the requested declaratory judgment.

The parties are in complete disagreement regarding issues (1), (3) and (4). As to issue (2) the parties agree that the United States Government has a monopoly for the handling of letters through the mails but disagree as to whether a Christmas card handled in the manner proposed by Defendants is a letter within such monopoly. As to issue (5), after an agreed modification, this issue is left to the Court as is issue (6).

Returning to issue (1), the Court finds and concludes that the Plaintiff has standing to bring this suit. It is believed that the recent case of Association of Data Processing Service Organizations v. Camp, 397 U.S. 150, 90 S. Ct. 827, 25 L.Ed.2d 184 (1970) announces the applicable law and that the Plaintiff must meet the test announced therein. Such case provides that standing to sue exists if the challenged action has caused a plaintiff injury in fact, economic or otherwise, and if the interest sought to be protected by a plaintiff is arguably within the zone of interests to be protected or regulated by the statute or constitutional guaranty in question.

Plaintiff's evidence convinces the Court that if Defendants' announced operation is allowed to proceed or continue in the approximately forty-five cities involved, (assuming for the purpose of considering this issue that such operation would be contrary to law) that the approximately two-hundred thousand members represented by Plaintiff's organization would be injured in fact by a significant loss of work time, overtime, employment opportunities, future pension and insurance benefits and in morale. The Court is also convinced that the interest sought to be protected by the Plaintiff is arguably within the zone of interests to be protected or regulated by the Postal Laws which it is alleged Defendants are now violating or propose to violate. It is obvious that Plaintiff's interest sought to be protected is essentially the employment of its members in the United States Postal Service. It is equally obvious that the primary purpose of the Postal Laws of the United States and the system created and regulated by the same is to afford good, safe, speedy and reliable postal service for the use and convenience of all members of the public in all parts of the land. But according to Data Processing the interest sought to be protected by a Plaintiff need not be the primary purpose of the Statutes or Constitutional provisions involved. It is only necessary that such interest is arguably within the zone of interests to be protected or regulated by such Statutes or Constitutional provisions. Without question the Postal Laws regulate the employment opportunities and practices of the members of Plaintiff's organization. 39 U.S.C. §§ 1001 et seq. and 1201 et seq. It would seem that this alone is enough to satisfy this facet of the test. But, if not, the Postal Reorganization Act of 1970 establishing the United States Postal Service as an independent establishment of the Executive Branch of the Government has recognized and seeks to protect (as well as regulate) the interests and employment opportunities of the Postal employees including those represented by Plaintiff. For example, an Advisory Council has been created with employee representation thereon. 39 U.S.C. § 206. Two entire chapters of the new law deal with employment within the Postal Service and employee-management agreements. 39 U.S.C. § 1001 et seq. and 39 U.S.C. § 1201 et seq. Recognition has been granted to labor organizations and bargaining units and agreements. 39 U.S.C. §§ 1202, 1203 and 1206. Thus, the Court concludes that the test of Data Processing has been met by the evidence and applicable law and Plaintiff has standing to bring this suit.

Although whether Plaintiff is a real party in interest herein was not raised by the pleadings prior to trial it was mentioned by Defendants in oral arguments to the Court after trial on the merits and due to the exigencies of this litigation, the Court will consider the same as if properly raised. As the Court has concluded that Plaintiff has standing to sue herein, Defendants' suggestion that it is not a real party in interest is wholly without merit. See United Federation of Postal Clerks, AFL-CIO v. Watson, 133 U.S.App.D.C. 176, 409 F.2d 462 (1969), cert. den. sub nom. Blount v. United Federation of Postal Clerks, AFL-CIO, 396 U.S. 902, 90 S.Ct. 212, 24 L.Ed.2d 178 (1969).

As to issue (2) the parties have agreed in open Court that the Congress has exercised its right to create a postal monopoly as to letters. Even though Congress has not seen fit to express itself in such outright fashion by the Postal Laws it has enacted, the Legislative intent in this regard is supported not only historically but by Statute. It is appropriate to first note that Article I, Section 8, Clause 7 of the United States Constitution gives Congress the power to establish Post Offices and post Roads. Case law in interpreting postal legislation through the years has held that the business of carrying letters belongs exclusively to the National Government. Blackham v. Gresham, 16 F. 609 (C.C.S.D.N.Y.1883). And that a Governmental monopoly exists as to letters or packets of letters. Williams v. Wells Fargo & Co. Express, 177 F. 352 (Eighth Cir. 1910). Also see United States v. Easson, 18 F. 590 (S.D.N.Y. 1883).¹ The United States Postal Service monopoly with regard to letters is established and its limits defined by two Statutes. 39 U.S.C.A. § 601 and 18 U. S.C.A. § 1696. 39 U.S.C.A. § 601, a civil Statute, establishes a method by which a letter may be lawfully carried out of the mails and 18 U.S.C.A. § 1696, a criminal Statute, makes unlawful any other method of carrying letters outside the mails, specifically referring to 39 U.S.C.A. § 601. These Statutes prescribe precisely the only way by which one may legally carry letters outside the mails. Thus, 39 U.S.C.A. § 601, supported by its criminal counterpart 18 U.S.C.A. § 1696, establishes a letter monopoly in the Federal Government. In passing it is appropriate to note that Defendants are not claiming by their announced operation regarding Christmas cards to come under the exception to the letter monopoly of the Government expressed in 39 U.S.C. § 601. Thus, it is not only agreed between the parties but otherwise established by law that indeed the United States Government has legally established a monopoly in the United States Postal Service for the handling of letters subject only to the exception in 39 U.S.C. § 601 where it has seen fit to allow the private carriage of...