Tyree v. Edwards

Decision Date01 August 1968
Docket NumberNo. J-18-67,J-19-67.,J-18-67
Citation287 F. Supp. 589
PartiesWilliam TYREE, Clark Ingram, James O. Green, Kenneth E. Wright, Donald E. Conner, Arlin A. DeChaney and International Union of Operating Engineers, Local 302, AFL-CIO, a labor union, Plaintiffs, and National Labor Relations Board, Plaintiff-intervenor, v. G. Kent EDWARDS, Attorney General of the State of Alaska; Thomas J. Moore, Commissioner of Labor of the State of Alaska; and Walter J. Hickel, Governor of the State of Alaska, Defendants. INTERNATIONAL UNION OF OPERATING ENGINEERS, LOCAL 302, AFL-CIO, a labor union, Plaintiff, v. The ALASKA CHAPTER OF ASSOCIATED GENERAL CONTRACTORS OF AMERICA, INC., an employer, Defendant, and State of Alaska, Defendant-intervenor.
CourtU.S. District Court — District of Alaska

R. Bocchever, Faulkner, Banfield, Boochever & Doogan, Juneau, Alaska, and J. Duane Vance (of Vance, Davies, Roberts & Bettis), Seattle, Wash., for plaintiffs.

Laurence H. Silberman, N. L. R. B., Washington, D. C., for plaintiff-intervenor.

G. Kent Edwards, Atty. Gen., for the State of Alaska, Juneau, Alaska, and Edgar Paul Boyko, Anchorage, Alaska, Special Counsel for State of Alaska, Boyko & Richey, Anchorage, Alaska, for defendants.

Before ELY, Circuit Judge, and PLUMMER and VON DER HEYDT, District Judges.

VON DER HEYDT, District Judge:

Plaintiffs seek a declaratory judgment decreeing Alaska's "Local Union Autonomy Act", as amended, to be unconstitutional, and a permanent injunction restraining enforcement thereof.

The causes have been consolidated by order of the Court for all proceedings subsequent to March 27, 1968. Prior to consolidation, an identical three judge district court, as provided by Title 28, U.S.C., Sec. 2284, had been designated by the Chief Judge of the Circuit to hear and determine the appropriate issues presented in each case.

The three judge court so designated convened to hear arguments on the merits at Juneau, Alaska, June 24, 1968, following which the Court took the cause under advisement.

The facts, briefly, are these. Plaintiffs are an international labor organization, Local 302, which is a member thereof, and individual members of the local union. The National Labor Relations Board has appeared as an Intervenor-Plaintiff. Defendants are the State of Alaska, its Governor, Attorney General, Commissioner of Labor, and the Alaska Chapter of Associated Contractors of America, Inc., the latter designated as "an employer".

Local 302 is headquartered at Seattle, Washington, and does business in Alaska and Washington. A majority of its members reside outside the State of Alaska.

It appears that Alaska's Commissioner of Labor, over a period of time, has received numerous complaints that Local 302 discriminates against its Alaska resident members in job referrals, in favor of those members residing outside the State of Alaska. After legislative passage of the original Act in early 1967, a State Senate committee was established further to investigate the problem. By its report, dated July 17, 1967, the committee concluded that Local 302 in fact did discriminate against resident Alaska workers, and particularly against those who favored a local autonomous union, by dispatching nonresidents from Seattle to jobs in Alaska. Subsequent to this report, the 1968 Legislature enacted amendments to the local autonomy statute. The entire Act, as amended, is challenged here.

The Attorney General of Alaska brought both civil and criminal proceedings in the State Courts to enforce the Act. The civil proceeding resulted in an injunction entered by the Superior Court. The Attorney General of Alaska has stipulated to withhold prosecution of all state proceedings, pending this Court's decision on the issues before it.

We confine ourselves to a determination of two questions:

1. The constitutionality of Alaska Statutes, Sections 23.40.045 to 23.40.060, the so-called "Local Autonomy Act".
2. The validity of the injunction issued March 8, 1968, by the Superior Court of the State of Alaska, Third District of Alaska, at Anchorage.

The Local Autonomy Act, as amended, is as follows:

Sec. 23.40.045. RECORDS. (a) A person who or labor organization which operates a hiring-hall or furnishes labor exclusively under a labor-management contract and which does not have a chartered local in this state shall maintain accurate hiring, dispatching and membership records in accordance with regulations promulgated by the commissioner.
(b) The records required under (a) of this section shall be open to inspection by the commissioner or his authorized representative.
Sec. 23.40.050. LOCAL LABOR ORGANIZATIONS. It shall be unlawful for any national or international labor organization having 100 or more members in good standing who reside or work in Alaska not to have at all times one or more duly chartered and established local organizations in this state.
Sec. 23.40.052. INTERFERENCE IN CHARTERING PROHIBITED. It shall be unlawful for an officer of any national, international labor or local labor organization, having 100 or more members in good standing who reside or work in Alaska to wilfully discourage or impede or attempt to discourage or impede, by means of coercion or other unlawful act, the chartering and establishment of a local organization in this state in accordance with sec. 50 of this chapter. However, this section does not apply to a labor organization which has a chartered local in this state.
Sec. 23.40.054. CIVIL ENFORCEMENT. In addition to the criminal penalities provided for in this chapter, the attorney general may enforce the provisions of this chapter by appropriate civil proceedings, including injunctive relief, against threatened, repeated or continuous violations of this chapter or regulations adopted under it. These proceedings may be brought against an international, national or local labor organization or an officer of an international, national or local labor organization.
Sec. 23.40.056. EXEMPTIONS. (a) The commissioner may grant an exemption from the provisions of secs. 45-60 of this chapter to a labor organization which
(1) has so few members who reside in Alaska that chartering and operating a local would work a financial hardship on these members;
(2) maintains local-hire preference provisions in all of its labor-management agreements in the state; or
(3) maintains provisions in its constitution and bylaws for the election, by and from among the members of the organization who reside in Alaska, of a business agent or other person in charge of hiring-hall in Alaska, and dispatch and grievance procedures.
(b) Exemptions granted under this section shall be applied for and issued on an annual basis in accordance with regulations adopted by the department.
Sec. 23.40.060. PENALTIES. (a) Any national or international labor organization which violates sec. 50 of this chapter, upon conviction, is punishable by a fine of not less than $1,000 or more than $10,000.
(b) An officer of any national, international or local labor organization who violates sec. 52 of this chapter is punishable, upon conviction, by a fine of not more than $1,000 or by imprisonment of not more than one year, or by both.
(c) Failure to maintain accurate records in accordance with sec. 45(a) of this chapter and the regulations promulgated under it is a misdemeanor punishable by a fine of not more than $10,000 or by imprisonment for not more than one year, or by both.
(d) Wilful failure to comply with sec. 45(b) of this chapter is a misdemeanor punishable by a fine of not more than $1,000 or by imprisonment for not more than one year, or by both.

Plaintiffs assert that the statute is unconstitutional because it:

1) conflicts with the National Labor Relations Act1 and is thus unconstitutional under the Supremacy Clause.2
2) imposes an undue restraint upon interstate commerce.
3) impairs obligations of the Union's present contract with the Associated General Contractors.
4) violates the Equal Privileges and Immunities Clause.
5) impairs plaintiffs' right of free speech and assembly.3

Defendants contend that the Local Autonomy Act is a constitutional exercise of the State's police power, that it does not conflict with the National Labor Relations Act, and that the injunction of the Superior Court is valid and proper.

With this background in mind, we turn to the issues before us. We limit ourselves to plaintiffs' first asserted point, and decide whether the Act in question operates in an area pre-empted by Congress, and is therefore unconstitutional under the Supremacy Clause of the Constitution of the United States. We do so find.

We quote first the "ground rules for preemption" noted by the United States Supreme Court:

The ground rules for preemption in labor law, emerging from our Garmon decision (359 U.S. 236, 79 S.Ct. 773, 3 L.Ed.2d 775), should first be briefly summarized: in general, a State may not regulate conduct arguably "protected by § 7, or prohibited by § 8" of the National Labor Relations Act * * *. The greatest threat against which the Garmon doctrine guards * * * is a State's prohibition of activity that the Act indicates must remain unhampered.4

Local regulation is invalid if it does or may conflict with federal legislation or policy.5

Plaintiffs assert that the statutes in question conflict with the National Labor Relations Act,6 and cite Hill v. State of Florida.7 In Hill a Florida statute which precluded a convicted felon from serving as a union business agent was declared unconstitutional. The Supreme Court held that the statute interfered with the employees' freedom of choice in selecting a collective bargaining agent, and that such a provision "stands as an obstacle to the accomplishment and execution of the full purposes and objectives of Congress."8 Moreover, since an employer could not bargain with a duly selected representative of the workers unless the union had complied with the Florida statute, it impermissibly interfered in the...

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    ...Evans v. Local Union 2127, International Brotherhood of Electrical Workers, AFL-CIO, 313 F.Supp. 1354 (N.D.Ga., 1969); Tyree v. Edwards, 287 F.Supp. 589 (D.Alaska, 1968); Teamsters Local 42 v. Superior Court, 20 Cal.App.3d 517, 97 Cal.Rptr. 765 (1971); Beriault v. Local 40, Super Cargoes & ......
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