132 NLRB 901
Milk Drivers and Dairy Employees Local 537
MILK DRIVERS AND DAIRY EMPLOYEES LOCAL 537
901
to the Agent without settlement having been made, the Agent must, before delivery,
obtain settlement according to the rules of the Company.
If any such policy is not
delivered, it may be returned to the Company within thirty days from the date of
issue, but not after that time. If the Agent retains the policy for a longer period than
thirty days, or does not make remittance within that time, he is responsible for the
premium and must immediately remit the same. If the policy is returned , the Agent
is liable for the fees and charges, according to the rules of the Company.
The Company does not issue "C.O.D." or "Approval" business and no policies will
be issued without full settlement, except extra policies.
Whenever a policy is returned as "Not Delivered" it must be accompanied by the
following:
1. A statement of the reason why delivery was not made.
II. The binding receipt must be taken up and attached to the policy.
III. The settlement must have been returned to the applicant and a statement
by the Agent that such has been done.
Whenever a policy is issued at a standard premium and is sent to the Agent for
delivery and is returned within the thirty days allowed for delivery, the Agent will be
charged with the medical examiner's fee, and the inspection fee.
If an application is written in violation of any of the rules of the Company, the
Agent will be charged with the fees, as above stated , whether the policy is issued or
not.
A policy cannot be returned as "Not Delivered," nor any credit given after
the thirty days allowed for delivery .
Under no circumstances can this rule be
violated.
32. If there has been any change in the health , habits, or occupation of the
Insured, or if the Agent has received information which leads him to believe that the
risk has become impaired or is less desirable than was represented , he must withhold
the policy and return it immediately to the Home Office with a full statement of the
conditions which made the withholding of the policy necessary.
33. The Agent must never allow a policy sent to him for delivery to go out of his
hands unless the premium required by the same has been paid during the lifetime
and good health of the Insured .
Policies cannot be left with the Insured or any one
else for examination or for any other purpose unless the premium has been paid.
This rule is absolute.
REMITTANCES
34. All settlements of premiums must be remitted as soon as received.
An Agent
is not permitted to hold settlements in any form.
INSURANCE OF WOMEN
35. The application of a married woman will not be considered unless the husband
carries an equal or greater amount of insurance on his own life, provided that he is
insurable.
International
Brotherhood of Teamsters,
Chauffeurs,
Ware-
housemen and Helpers of America, Milk Drivers and Dairy
Employees Local 537 and Jack M. Lohman, d/b/a Lohman
Sales Company.
Case No. 07-CC-47 (formerly 30-CC-47).
August 10, 1961
DECISION AND ORDER
On June 6, 1960, Trial Examiner Martin S. Bennett issued his
Intermediate Report in the above-entitled proceeding, finding that
the Respondent had engaged in and was engaging in certain unfair
labor practices and recommending that it cease and desist therefrom
and take certain affirmative action, as set forth in the Intermediate
Report attached hereto.
The Trial Examiner also found that the
Respondent did not engage in certain other unfair labor practices
132 NLRB No. 67.
902
DECISIONS OF NATIONAL LABOR RELATIONS BOARD _
and recommended that the complaint be dismissed with respect there-
to.
Thereafter, the Respondent, the General Counsel, and the Charg-
ing Party filed exceptions to the Intermediate Report and supporting
briefs.
On December 21, 1960, all parties participated in oral argu-
ment held before the Board at Washington, D.C.1
The Board has reviewed the rulings made by the Trial Examiner
at the hearing and finds that no prejudicial error was committed.
The rulings are hereby affirmed. The Board has considered the Inter-
mediate Report, the exceptions and briefs, and the entire record in
the case, and hereby adopts the findings, conclusions, and recom-
mendations of the Trial Examiner, with the additions and modifica-
tions noted below.
In furtherance of its primary dispute with Lohman Sales Com-
pany, herein called Lohman, which is engaged at Denver, Colorado,
in the wholesale distribution of cigarettes, cigars, other tobacco prod-
ucts, candy, and related products, the Respondent approached the-
individual owners of Parker Pharmacy, Hatch Drug, Staab-Sherman
Plaza Drug, and Columbine Pharmacy, all Denver customers of Loh-
man.
Each owner was informed of the primary dispute between the
Respondent and Lohman and was requested not to buy from Lohman
until the dispute was settled.
The owner of Parker was threatened
with the distribution of handbills outside his store if he did not stop
buying from Lohman, and the owner of Staab-Sherman was told,
"We'll have to do something about that," when he refused to cooper-
ate with the Respondent's request not to buy from Lohman. ` The
Respondent distributed handbills outside Hatch Drug and Staab-
Sherman.
The handbills, which are set forth in full in the Inter-
mediate Report, stated that the employees of Lohman were on strike
and that "The cigars, cigarettes, tobacco and candies on sale in this
store are distributed by Lohman Sales Co.," and urged, "DON'T'
PURCHASE ANY CIGARS, CIGARETTES, OR CANDIES IN
THIS STORE ! !" 2
Handbilling also occurred at the three Denver stores of Owl Drug
Company. Respondent approached Edwin Adler, president and co-
owner of Owl Drug, and requested him not to buy from Lohman.
Adler said he would speak to Lohman and was handed a copy of one
of the handbills.
Gladys Gioia, a cashier at one of the stores, was
given a handbill by the Respondent as she was entering the store and
was asked "not to order" merchandise from Lohman. She replied
that she took no part in the selection of suppliers, that this decision
was made by management.
Gioia orders products from suppliers
designated by Adler as they are needed.
'Chairman
McCulloch
and
Member Brown have read the transcript
of this oral'
argument
2 Some handbills substituted "TOBACCO" for "CIGARS."
MILK DRIVERS AND DAIRY EMPLOYEES LOCAL 537
903
All the above-mentioned drugstores purchased from Lohman vary-
ing amounts of the products referred to in the handbills, but they
also purchased similar products from other wholesale distributors.
Finally, Furr's, Incorporated, which operates a 59-store food chain
in 3 States, with 5 stores in Denver and 4 in Colorado Springs, Colo-
rado, was also handbilled as appears below.
Furr's purchased all of
its cigarettes from Lohman, but no other product.
Respondent ap-
proached the following Denver personnel of Furr's and asked each
of them not to buy from Lohman :
Eldon McGuire, general merchandise supervisor in charge of the
nine Colorado stores. He stated that he would discuss the matter with
Furr's five-man purchasing committee which decides upon selection
of suppliers.
John Moore, drug department manager at the Sheridan store, who
supervises two subordinates and places orders for merchandise, but
does not select the distributors.
He responded that he makes no deci-
sion as to buying.
This store was handbilled on one occasion.
Alfred Crow, manager of West 38th Street store, who orders goods
from Lohman, replied that he would check with his superiors.
He
notified the Respondent that the-handbill being distributed was in-
correct, because Furr's purchased only cigarettes from Lohman. Im-
mediately thereafter, Respondent changed the language on the hand-
bills distributed at all Furr's stores.
All references to Lohman's
products other than cigarettes were deleted.
William Thompson, while store manager at the South Broadway
store, replied that he had no authority to cease buying from Lohman
and recommended that the main office be contacted.
He was given one
of the original handbills, but no distribution was made at this store.
At a later date, corrected handbills were distributed at Furr's 77th
and Federal Street store, while Thompson was manager of that store.
In order to stop the distribution of handbills, Furr's decided to
cease making any further purchases from Lohman. Furr's five-man
buying committee, composed of Dent, a branch manager, and others
who are unidentified, made the decision to stop doing business with
Lohman.
1. The Trial Examiner found that Respondent's oral appeals to
Owl Drug employee Gioia and Furr's employees McGuire, Moore,
Crow, and Thompson not to buy or order Lohman products was in
violation of Section 8(b) (4) (i) (B) of the Act.
We agree with this
conclusion.
For it is plain that Respondent's conduct constituted
inducement of the aforementioned individuals 3 not to perform a
g The Trial Examiner's finding that Owl Drug and Purr employees involved were "in-
dividuals" within the meaning of Section 8 (b) (4) is not excepted to by the Respondent
and we adopt it pro forma.
This is not to be construed as agreement on our part with the
Trial Examiner's definition of "individual" within the meaning of Section 8(b) (4) (1).
See Local Union No. 505, International Brotherhood of Teamsters, Chauffeurs, Warehouse-
men d Helpers of America, at al., (Carolsna Lumber Company), 130 NLRB 1438.
904
DECISIONS OF NATIONAL LABOR RELATIONS BOARD
service they were hired to perform,4 and this for the purpose of forc-
ing their neutral employers to cease doing business with Lohman.
Respondent's contention that it is not responsible for the conduct
of the striking employees is rejected as having no merit. Its secre-
tary-treasurer testified that he instructed Fred Jones, a conceded
agent of Respondent, to visit customers of Lohman, inform them of
the primary dispute with Lohman, and request their cooperation by
not buying from Lohman until the strike was settled. It is admitted
that the striking employees were told that they were "free to see any-
body and talk to anybody" and to seek the support of Lohman's cus-
tomers not to buy merchandise from Lohman until the dispute was
settled.
Clearly, therefore, Respondent must be charged with the un-
lawful conduct herein.
2. The complaint alleges, and the General Counsel excepts to the
Trial Examiner's failure to find, that the above-mentioned oral ap-
peals constitute restraint and coercion within the meaning of clause
(ii) of Section 8(b) (4) (B) and that Respondent therefore also vio-
lated that provision of the Act.
But we do not find in these oral re-
marks addressed to the individuals such a direct effect upon their sec-
ondary employers as would constitute coercion or restraint of them
under Section 8(b) (4) (ii) (B).5
Accordingly, we find no such viola-
tion as here contended for by the General Counsel.
3. The Trial Examiner found that the Respondent's distribution
of handbills to consumers in front of the several retail stores which
purchased goods from Lohman was not violative of Section 8 (b) (4)
(ii) (B) of the Act, as alleged in the complaint.
While such conduct
otherwise might constitute restraint and coercion, we agree with the
conclusion of the Trial Examiner that Respondent's handbilling in
this case was protected by the proviso to Section 8(b) (4).
The proviso to Section 8(b) (4) protects "publicity, other than
picketing, for the purpose of truthfully advising the public, including
consumers and members of labor organizations, that a product or
products are produced by an employer with whom the labor organ-
ization has a primary dispute and are distributed by another em-
ployer, as long as such publicity does not have an effect of inducing
any individual employed by any person other than the primary em-
4 See Amalgamated Meat Cutters and Butcher Workmen of North America, AFL, Local
No. 88 (Swift and Company), 113 NLRB 275, 277, enfd. 237 F. 2d 20 (CA D.C ), cert
denied 352 U S. 3015.
5As was explained by Representative Griffin, subsection (ii) "closes loophole which
permitted secondary boycott through coercion applied directly against secondary em-
ployer (instead of his employees) " 105 Congressional Record 17181 (September 9, 1959).
It is noteworthy that oral appeals made directly to a secondary employer to stop doing busi-
ness with a primary employer are protected inducement or persuasion and not unlawful
threats, restraint, or coercion under subsection (ii), for, as Senator Dirksen explained,
that subsection ". . . makes it an unfair labor practice for a union to try to coerce or
threaten an employer directly (but not to persuade or ask him) in order-to get him to
stop doing business with another firm or handling its goods." 105 Congressional Record
A8274 (September 18, 1959).
MILK DRIVERS AND DAIRY EMPLOYEES LOCAL 537
905
ployer in the course of his employment to refuse to pick up, deliver,.
or transport any goods, or not to perform any services, at the estab-
lishment of the employer engaged in such distribution." [Emphasis
supplied.]
The Charging Party contends that handbilling is tantamount to
picketing and, therefore, does not constitute "publicity, other than:
picketing," within the meaning of the foregoing proviso.
Assuming-
that handbilling is a form of "publicity" permitted by the proviso, it
further contends that the handbilling herein was not protected by the-
proviso because it did not satisfy other prerequisites specified therein..
The General Counsel concedes that handbilling is covered by the pro-
viso, but contended at the oral argument that Respondent's hand--
billing was not protected by it because the handbills were not truthful.
Apart from the language of the proviso itself, the legislative his-
tory makes it abundantly clear that mere handbilling is not picketing-
but is embraced by the term "publicity" which is protected by the-
proviso.
For example, Senator Kennedy, in explaining Joint Con-
ference changes, stated :
We are not able to persuade the House conferees to permit pick-
eting in front of that secondary shop, but we are able to persuade-
them to agree that the union shall be free to conduct informa-
tional activity short of picketing. In other words, the union can
hand out handbills at the shop, can place advertisements in news-
papers, can make announcements over the radio and can carry-
on all publicity short of having ambulatory picketing in front
of a secondary site.'
And Representative Thompson explained a major change as follows :
2. Consumer appeals : The right to publicize nonunion goods-
to customers, without causing a secondary work stoppage, is rec-
ognized in the conference agreement.
Employees will also be,
entitled to publicize, without picketing, the fact that a wholesaler
or retailer sells goods of a company involved in a labor dispute.
All appeals for a consumer boycott would have been barred by
House bill.'
Contrary to the Charging Party, therefore, we find that such-
handbilling as occurred in this case is "publicity" within the mean-
ing of the proviso.
Like the Trial Examiner, we find no merit in the General Counsel's
contention that the Respondent's handbilling activities were not pro-
tected by the proviso because the handbills were not truthful.
As-
noted above, the handbills urged consumers not to buy cigarettes;.
cigars, tobacco, and candies at the retail stores.
Even if these hand--
9105 Congressional Record 16414 ( September 3, 1959).
7 105 Congressional Record 16635 ( September 4, 1959).
'906
DECISIONS OF NATIONAL LABOR RELATIONS BOARD
'bills were susceptible of an interpretation that the store handbilled
purchased all the items listed thereon from Lohman, which was not
the case, they were substantially accurate in their representations, as
appears from the Intermediate Report.
And when Furr's notified
the Union that the handbill was not altogether accurate in its case,
.the Union promptly remedied the matter. Subsequently, a new hand-
bill was distributed by Respondent at all Furr's stores merely re-
,questing consumers not to purchase cigarettes delivered by Lohman.
We agree with the Trial Examiner that the proviso does not require
that a handbiller be an insurer that the content of the handbill is 100
percent correct, and that where, as here, there is no evidence of an
intent to deceive and there has not been a substantial departure from
-fact, the requirements of the proviso are met.
Accordingly, we find
that Respondent's handbills were "for the purpose of truthfully ad-
-vising the public" within the meaning of the proviso.
We cannot agree with our dissenting colleague that the handbilling
in this particular case is not protected by the proviso to Section
8(b) (4) because of the fortuitous circumstance that Lohman, the
primary employer, is a distributor rather than the actual manufac-
turer of the cigarettes and other commodities, which comprise its
stock in trade. It is argued that Lohman does not "produce" a prod-
uct, that this employer, with whom the Union has a primary dispute,
merely "handles" a product "produced" by others and thereby pro-
vides a middleman's service for the retailers, who, in turn, sell the
product to the ultimate consumer.'
The question involved is one of statutory construction.
It is axi-
,omatic that the words of a statute do not stand alone and must be
construed in connection with other parts or sections so as to produce
a harmonious whole .9 Where the result is not absurd, incongruous, or
in conflict with other provisions, the plain meaning of words used by
`Congress should be given that interpretation.
Here the issue revolves
around the meaning of two words, "product" and "produced."
Ap-
parently, our dissenting colleague believes that a "product" can only
be a material object and can be "produced" only by one who physically
engenders it.
The natural meaning of these two words, however, can-
not be so limited.
Webster's defines "product" as: "Anything pro-
'duced, as by generation, growth, labor or thought." 10 Similarly, the
word "production" is defined in its economic meaning as : "The crea-
tion of economic value; the making of goods available for human
wants." 11
The adjective "productive" means: "Yielding or devoted
s The specific language of the proviso permits a union to advertise to the public that
"a product or products are produced by an employer with whom the labor organization
11
has a primary dispute and are distributed by another employer. .. .
Sutherland , Statutory Construction , 3d edition, Horack, vol . 2, p. 336.
^a A Merriam Webster, Webster's New Collegiate Dictionary, 1959.
u Ibid
MILK DRIVERS AND DAIRY EMPLOYEES LOCAL 537
907
to the production of, a net return of wealth." 12
'Black's Law Dic-
tionary 13 offers a more comprehensive explanation of the term "pro-
duction" as follows :
In political economy.
The creation of objects which constitute
wealth.
The requisites of production are labor, capital, and the
materials and motive forces afforded by nature.
Of these, labor
and the raw materials of the globe are primary and indispensable.
Natural motive powers may be called in to the assistance of labor
and are a help, but not an essential, of production.
The remain-
ing requisite, capital, is itself the product of labor. Its instru-
mentality in production is therefore, in reality, that of labor in
an indirect shape.
Mill, Political Economy; Wharton.
From the foregoing it seems clear that, so far 'as human effort is con-
cerned, labor is the prime requisite of one who produces.
A whole-
saler, such as Lohman, need not be the actual manufacturer to add
his labor in the form of capital, enterprise, and service to the product
he furnishes the retailers. In this sense, therefore, Lohman, as the
other employers who "handled" the raw materials of the product be-
fore him, is one of the producers of the cigarettes distributed by his
customers . A contrary view would attach a special importance to one
form of labor over another and attempt to isolate fabricators of prod-
ucts from those who otherwise add to its value.
Excluded as non-
producers might be those companies engaged in the assembly of
machine parts; the soft drink bottling industry; communications, such
as newspapers, magazines, and TV stations, which produce products
of an abstract rather than physical nature. If our dissenting col-
league is right, vast numbers of our working population produce
nothing.
Their thought, labor, or business enterprise is not a "prod-
uct." We do not believe that the plain meaning of the words "product"
and "produced" requires the Board to draw an uncertain line between
those employers engaged essentially or only incidentally in the fabri-
cation of products; between those employers who create a new product
or embellish an old one; between products of the imagination and
those that can be seen, touched, or smelled.
Apart from the difficulties of defining, without statutory direction,
a particular classification of producer covered by the proviso, there is
no suggestion either in the statute itself or in the legislative history
that Congress intended the words "product" and "produced" to be,
words of special limitation. In this respect, it may be noted that the
provisos to Section 8 (e) specifically grant exemptions to the "con-
struction industry" and to the "apparel and clothing industry."
Had
Congress intended to limit truthful publicity, which did not affect
deliveries or services, to those employers doing business directly with'
12 Ibid.
Is Fourth edition , West Publishing Co., 1951 , pp. 374-375.
908
DECISIONS OF NATIONAL LABOR RELATIONS BOARD
-employers in the "manufacturing industry," certainly the language
used would have reflected this intent, as it does in the provisos to
Section 8(e).
While it is true that the legislative history gives the
familiar example of "one who sells nonunion goods or goods of a
manufacturer engaged in a labor dispute," 14 this is hardly an indi-
cation that no other producer is covered by the proviso.15 It is most
significant, in our opinion, that the Landrum-Griffin bill, as it was
passed by the House, did not contain the publicity proviso. It was
added by the Senate and House conferees and explained by the then
.Senator Kennedy as follows :18
... the House bill prohibited the union from carrying on any
kind of activity to disseminate informational material to sec-
ondary sites.
They could not say that there was a strike in a
primary plant.
We quite obviously are opposed to their affecting liberites in
a secondary strike or affecting employees joining, but the House
language prohibited not only secondary picketing, but even the
handing out of handbills or even taking out an advertisement in
a newspaper.
Under the language of the conference, we agreed there would
not be picketing at a secondary site.
What was permitted was the
giving out of handbills or information through the radio, and
so forth.
Reading the statute as a whole, there is not the slightest reason to
-conclude that Congress was concerned with permitting truthful pub-
-licity with respect to products derived from manufacturers, but was
-unconcerned with such publicity as it affected products from other
wholesalers, such as Lohman.
Nor, as indicated above, is there any
reason to suppose from the legislative history that an arbitrary and
purposeless distinction of this type was intended.
Accordingly, we
shall accord the words "product" and "produced" their natural and
accepted interpretation set forth above.
The Charging Party also argues against the applicability of the
proviso herein on the ground that the handbills had the effect of in-
ducing "individuals" employed by a person other than the primary
'employer to refuse to perform services in the course of their employ-
ment.
But, as conceded by the General Counsel at oral argument, the
14105 Congressional Record 15906 (August 28, 1959).
15 For example, as previously noted, Representative Thompson , in explaining the proviso
to the House , stated that employees will be entitled to publicize , without picketing, the
fact that a wholesaler or retailer sells goods of a company involved in a labor dispute.
Consistent therewith is Senator
Dirksen's report to the Senate that the conference-
approved measure bars "a union from picketing a retail store to advertise that the store
is handling the goods of a firm the union was striking , but permits other forms of such
advertising-handbills,
for example .
.
.
"
105 Congressional Record A8275 (Septem-
'ber 18, 1959, daily).
10 Id., at pp. 16254-16255 ( September 2, 1959).
MILK DRIVERS AND DAIRY EMPLOYEES LOCAL 537
909
record does not support this contention.
The only effect of the hand-
billing disclosed by the record is the decision made by the Furr's
buying committee, of which Branch Manager Dent is a member, to
cease purchasing from Lohman.
However, as it does not appear that
Dent and the other members of the buying committee are "individuals"
within the meaning of the proviso, we must reject this last ground
urged by the Charging Party for denying the protection of the proviso
to Respondent.
For the reasons given, we adopt the Trial Examiner's conclusion that
Respondent's handbilling did not violate the Act 17
ORDER
Upon the entire record in this case, and pursuant to Section 10 (c) of
the National Labor Relations Act, as amended, the National Labor Re-
lations Board hereby orders that the Respondent, International
Brotherhood of Teamsters, Chauffeurs, Warehousemen and Helpers of
America, Milk Drivers and Dairy Employees Local 537, its officers,
agents, representatives, successors, and assigns, shall :
1. Cease and desist from inducing or encouraging any individual
employed by any person engaged in commerce or in an industry affect-
ing commerce, other than Lohman Sales Company, to engage in a
strike or a refusal in the course of his employment to use, manufacture,
process, transport, or otherwise handle or work on any goods, articles,
materials, or commodities or to perform any services, where an object
thereof is to force or require said person to cease doing business with
Lohman Sales Company.
2. Take the following affirmative action which the Board finds will
effectuate the policies of the Act :
(a) Post at its office and meeting hall at Denver, Colorado, copies of
the notice attached hereto marked "Appendix." 18
Copies of said
notice, to be furnished by the Regional Director for the Twenty-
seventh Region, shall, after being signed by Respondent's representa-
tive, be posted by Respondent immediately upon receipt thereof, and be
maintained by it for 60 consecutive days thereafter, in conspicuous
places, including all places where notices to members are customarily
posted.
Reasonable steps shall be taken to insure that such notices are
not altered, defaced, or covered by any other material.
(b) Furnish to the Regional Director for the Twenty-seventh
Region signed copies of the notice attached hereto marked "Appendix,"
for posting by Lohman Sales Company, Owl Drug Company, Furr's
17 Having found that Respondent's handbilling was a protected form of activity, we also
adopt the Trial Examiner's finding that Respondent's threat to handbill was not a viola-
tion of the Act.
Is In the event that this Order is enforced by a decree of a United 'States Court of
Appeals, there shall be substituted for the words "Pursuant to a Decision and Order" the
words "Pursuant to a Decree of the United States Court of Appeals, Enforcing an Order."
910
DECISIONS OF NATIONAL LABOR RELATIONS BOARD
Incorporated, they being willing, at places where they customarily
post notices to their employees.
(c) Notify the Regional Director for the Twenty-seventh Region,
in writing, within 10 days from the date of this Order, what steps the
Respondent has taken to comply herewith.
IT Is FURTHER ORDERED that the complaint be, and it hereby is, dis-
missed, insofar as it alleges that the Respondent has violated the Act
otherwise than as found herein.
MEMBER RODGERS, dissenting in part :
The facts in this case are relatively uncomplicated and are accu-
rately summarized in my colleagues' opinion.
What is essentially in-
volved is the question whether the Respondent Union, by virtue of
certain oral appeals, threats to engage in handbilling, and the actual
conduct of an extensive handbilling calnpaign, violated Section
8 (b) (4) (i) and (ii) (B) of the Act.
My colleagues and I are in agreement as to some of the legal con-
clusions to be drawn from the factual findings. Thus, we agree that
the Respondent's various oral appeals to employees of neutral employ-
ers not to buy or order products distributed by Lohman constituted
unlawful inducement of an "individual" not to perform a service
within the meaning of Section 8(b) (4) (i) (B) of the Act.
We also
agree that these same oral appeals, which, in the particular circum-
stances of this case, at best had but an indirect effect upon the neutral
employers, are legally insufficient to constitute restraint and coercion
within the meaning of Section 8(b) (4) (ii) (B) of the Act. Finally,
we agree that Respondent's handbilling "constitutes restraint and
coercion as used in the Act" and is therefore unlawful, unless such con-
duct qualifies for the protection afforded by the second proviso to
Section 8(b) (4).19
However, it is in this latter regard, that I disagree
with my colleagues.
For I would hold, in the circumstances of this
case, that Respondent's handbilling failed to satisfy the requirements
of the proviso.
I think it is clear that Congress unmistakably limited the applica-
tion of the 8(b) (4) proviso to the presence of certain requirements or
expressed conditions; and unless all of the enumerated conditions are
met in every respect, the proviso cannot be relied upon to save what
would otherwise be unlawful.
One of the conditions specified in the
16 The second proviso in Section 8 (b) (4) states :
That for the purposes of this paragraph
( 4) only, nothing contained in such para-
graph shall be construed to prohibit publicity , other than picketing, for the purpose
of truthfully advising the public , including consumers and members of a labor organi-
zation , that a product or products are produced by an employer with whom the labor
organization has a primary dispute and are distributed by another employer, as long
as such publicity does not have an effect of inducing any individual employed by any
person other than the primary employer in the course of his employment to refuse to
pick, deliver, or transport any goods , or not to perform any services , at the establish-
ment of the employer engaged in such distribution. [Emphasis supplied.]
MILK DRIVERS AND DAIRY EMPLOYEES LOCAL 537
911-
proviso is the publicity must involve "a product or products . . . pro-
duced" by an employer with whom there is a primary dispute, and
which "are distributed by another employer."
Here Lohman, the pri-
mary employer, concededly produces nothing; on the contrary, it dis-
tributes the products which are produced by others. Accordingly, by
its explicit language the proviso cannot stand as a defense, and conse-
quently Respondent's handbilling should be declared unlawful 2°
My colleagues have characterized the foregoing interpretation as
"highly literal."
They state that Congress could not have intended
"to draw such an arbitrary distinction."
Certainly, I am reading the
language of the proviso literally ; and indeed I am drawing a distinc-
tion.
But the distinction is not an arbitrary one.
Rather it is the one
that is engrafted in the statute itself.
For where, as here, there is
neither legal precedent nor conclusive legislative history 21 upon which
the Board can rely in interpreting the proviso, there is no alternative
but to resort to the specific language which the Congress has enacted
into law-and this language leaves no doubt as to what was intended.
As previously noted, the proviso expressly states that publicity, if
it is to be protected, must be "for the purpose of truthfully advising
the public . . . that a product or products are produced by an em-
ployer with whom the labor organization has a primary dispute and
are distributed by another employer...." [Emphasis supplied.]
In the face of this explicit language, it is my colleagues who draw
arbitrary lines of distinction and distort the natural meaning of the
words involved .22
It is they who read the italicized phrase as
20 As I reach the conclusion that the Respondent 's handbilling was not protected by
the proviso to Section 8(b) (4), I would also find that the Respondent 's threat to handbill
the owner of Parker Pharmacy to be violative of Section 8(b) (4) (ii ) ( B) of the Act.
Similarly, the threat to the owner of Staab-Sherman Plaza Drug following his refusal to
cooperate with the Respondent in its boycott of Lohman , and especially in view of the
subsequent handbilling of those premises ,
constitutes a further violation of Section
8(b) (4) (11) (B).
21 As in most instances where resort is made to legislative history, while statements may
be gathered which appear to support one interpretation , counterstatements can be found
which will support a different interpretation .
For example , my colleagues refer to state-
ments by Representative Thompson and Senator Dirksen as supporting a conclusion that
the proviso was not intended to distinguish between manufacturers and others who handle
goods.
But there are in fact references in the legislative history which indicate a con-
trary intention, i e., that Congress intended to permit only the publicizing of disputes
between a union and a primary manufacturer: for example 105 Congressional Record 15905,
15907 (August 28, 1959) ; 16397 ( September 3, 1959) ; 3511 (March 11, 1959) ; 14517
(August 13, 1959).
Thus Senator , now President, Kennedy stated: "There is to be no pro-
hibition on truthful appeals to customers not to patronize an establishment , or not to buy
goods, because the manufacturer is involved in a labor dispute."
( supra, p. 15906) , and
elsewhere
"workers would not be denied the traditional right to ask the public not to
patronize one who sells nonunion goods or goods of a manufacturer engaged in a labor
dispute" (supra, p. 15907) . [Emphasis supplied.]
22 My colleagues and I are in agreement that in the instant case we are involved in a
problem of statutory construction and, in an effort to reach the solution which Congress
had in mind, we should give to the words selected by that body their plain and obvious
meaning
However, in their haste to run to the dictionary to find the plain meaning of
the words "product . . . produced ," my colleagues overlooked the basic reference point
from which all research should embark-the statute itself.
Thus,
Congress expressly
stated in the proviso involved herein that a union may, to a limited extent, advertise
912
DECISIONS OF NATIONAL LABOR RELATIONS BOARD
though it said "products handled by, transported by, or made avail-
able by an employer." If the Congress actually intended such an
interpretation, I cannot believe that it would have been expressed so
inartfully.
For elsewhere in Section 8(b) (4), and indeed in the pro-
viso itself, Congress employed such terms as "services," "distribute,"
"distribution," `,transport," and "transportation"-thus carefully de-
lineating the scope of the sections coverage, and distinguishing vari-
ous phases of economic activity.
Thus, had Congress actually in-
tended to extend the protection of the proviso to labor organizations
in general, rather than reserving it solely for the benefit of those which
are engaged in disputes with employers who produce products, Con-
gress no doubt could have made this clear by employing appropriate
language.
The fact is that it did not.za
that "a product or products are produced by an employer with whom the labor organiza-
tion has a primary dispute and are distributed by another employer
.
.
.
[Emphasis
supplied ]
Neither extensive searching nor elaborate stretching can displace the plain
and compelling distinction which Congress has engrafted-a distinction which clearly
draws a line between an employer who is engaged in producing a product and some
other employer who Is engaged in distributing the product so produced .
And in the
context in which these words appear , being also a proviso which limits the extent of the
section's sweep, it is clear that publicity other than picketing may be allowed to con-
tinue against the former employer, but not against the other employer engaged in dis-
tribution .
Consequently , since Lohman , to borrow my colleagues' description , "is a dis-
tributor rather than the actual manufacturer of the cigarettes and other commodities,"
he qualifies under the proviso only as that other employer engaged in the distribution of
another's products.
Such qualification , however , is of no avail to the Respondent-not
so much because my colleagues , by an exercise in semantics , would conclude that no dis-
tinction should be drawn between a "producer " and a "distributor," but rather, because
the Congress clearly and explicitly displayed their intention by making the distinction
appear plainly on the face of the proviso.
However, for whatever influence they may have on my colleagues' thinking, the follow-
ing two definitions of the word "distribution" are offered :
1. "Distribution : Includes all of the activities involved in the passage of goods from
the
producer
to
the consumer.
In
economic theory
the term is usually employed to
connote the division of the product among the factors of production ."
[ Emphasis sup-
plied ]
The Economic Almanac, p .
569 (National Industrial Conference Board-1960).
2. "Distribution , The amount of goods and services which each worker , employer, or
economic group gets from the total produced
Distribution , in this sense, does not refer
to the physical marketing or circulation of goods, which is part of the
process of ex-
change . . .
. 11
[Emphasis supplied .]
The Columbia Encyclopedia,
p.
546 ( 1), 2d ed.
( Columbia Univ. Press-1952).
23 In this regard , I deem it highly significant that during the evolution of the 19559'
amendments a provision which would have expressly supported the conclusion reached by
my colleagues was suggested as a proviso to Section 8(b) (4). The suggestion , however,
was not adopted.
At the time the Senate and House conferees were attempting to re-
solve differences between their respective bills, the then Senator Kennedy , introduced to,
and had placed upon the calendar of, the Senate, a resolution which instructed the
Senate conferees to insist upon the inclusion of certain provisions in the conference
agreement.
Included in the provisions dealing with amendments to Section 8(b) (4)
was the following proviso :
Provided, That nothing contained in this subsection
( b) shall be construed . . . to
prohibit publicity for the purpose of truthfully advising the public
( including con-
sumers )
that an establishment is operated, or goods are produced
or distributed by
an employer engaged in a labor dispute
.
.
.
.
[ Emphasis supplied ]
105 Congressional
Record 15906 (August 28 , 1959).
Since the preceding proviso was not adopted , and Congress ultimately approved a proviso,
which includes the more limited terminology
"products
.
.
. produced," there is, in my
opinion, no doubt that Congress envisioned the proviso as affording only a restrictive
scope to secondary publicity campaigns .
Cf. the Board's reliance upon comparable reason-
MILK DRIVERS AND DAIRY EMPLOYEES LOCAL 537
913
Moreover, my colleagues' interpretation is inconsistent with one of
the major underlying purposes which the Congress sought to achieve
by the enactment of the 1959 amendments, namely, to strengthen the
proscriptive provisions of Section 8(b) (4).
Under the new Section
8(e), for example, Congress outlawed, and made unenforcible and
void, "hot cargo" agreements.
At the same time, however, Congress
amended clause (A) of Section 8 (b) (4) so as to make it a separate
unfair labor practice for a labor organization to force or require an
employer "to enter into any agreement which is prohibited by Sec-
tion 8(e)." In addition, Congress broadened the basic provisions of
Section 8 (b) (4) to include within its proscriptive reach certain "in-
dividuals" and "persons" who, because of prior Board and court inter-
pretations, had been excluded. . Thus, Congress closed the loophole
regarding inducements to "concerted" action by changing the word
"employees" to "individual" and by omitting the word "concerted."
By such revision, the inducement of a single individual was made
illegal.
And Congress further sought to curb the extent to which
pressures had hitherto been allowed against secondary employers by
enacting Section 8(b) (4) (ii), which makes unlawful any threats, re-
straint, or coercion against "any person engaged in commerce."
The foregoing is merely illustrative of the concern which Congress
expressed over matters involving Section 8(b)'(4); but it does serve
to point up the fact that Congress took great pains to insure that the
language it selected adequately reflected its basic purpose, which was
to curtail even further the permissible limits for secondary activity24
And this is exemplified by the very proviso involved in the instant
proceeding for,- by carefully articulating the conditions under which
"publicity, other than picketing" might be conducted, Congress left
no doubt that unless the activity strictly conformed. to the require-
ments set forth therein, the proviso was to be unavailing as a de-
fense 25
By giving the broadest possible reading to the phrase "prod-
ucts . . . produced," my colleagues are administratively reversing
these congressional purposes, and are, therefore, failing to give effect
to the basic aims of Section 8 (b) (4).
In short, my colleagues have emasculated the underlying purposes
of Section 8 (b) (4) by extending the proviso, as they do, to permit
ing in interpreting Section 8 ( b) (7), Chefs, Cooks, Pastry Cooks and Assistants, Local 89,
Hotel and Restaurant Employees Union, AFL-CIO; et
al.
( Stork Restaurant, Inc.),
130 NLRB 543
24 "In expounding a statute , we must . . . look to the provisions of the whole law, and
to its object and policy "
Mastro Plastics Corp , et at v N .L R B , 350 U S 270, 285.
25 Thus, Congress conditioned the protection of the proviso upon the existence of the
following facts • The activity must be "publicity , other than picketing" : the purpose of
such publicity being to advise the public: such publicity must be truthful ; the publicity
must be to advise the public that a product or products are produced by an employer
with whom the union has a primary dispute, and these products must be distributed by
another employer.
And even if all of these conditions are met . if an effect of the pub-
licity is to induce a secondary employee to cease picking up, delivering, or transporting
any goods , or not to perform any services, the publicity is unlawful.
'914
DECISIONS OF NATIONAL LABOR RELATIONS BOARD
the handbilling of any "employer who contributes to making a prod-
uct available to the ultimate consumer."
The net result of this inter-
pretation is to sanction the indiscriminate handbilling of virtually
any business.
The obvious legislative intent of confining the permis-
sive area of the secondary activity (handbilling) to those businesses
that handle a product produced by another, is now overridden by the
fiat of my colleagues.
By thus extending the area of the "primary
dispute," my colleagues have necessarily increased the number of
targets of permissive secondary action.
Today drugstores are hand-
billed because of a primary dispute involving a distributor of sundry
goods.
Tomorrow, under my colleagues' interpretation, these stores,
or myriad others like them may lawfully be handbilled because of a
primary dispute perhaps involving a railroad, perhaps a truckline,
or perhaps a television station.
Undoubtedly, the Board's decision in this case will continue to sim-
plify the handling of future cases involving the proviso to Section
8 (b) (4). But it is nevertheless bad law.
For the foregoing reasons, I would find that the Respondent's hand-
billing and threats to handbill are not protected by the second pro-
viso to Section 8 (b) (4), and would, accordingly, order the Respond-
ent to cease and desist from engaging in such conduct in the future.
APPENDIX
NOTICE TO ALL OUR MEMBERS
Pursuant to a Decision and Order of the National Labor Relations
Board, and in order to effectuate the policies of the National Labor
Relations Act, we hereby notify you that :
WE WILL NOT induce or encourage any individual employed
by any person engaged in commerce or in an industry affecting
commerce, other than Lohman Sales Company, to engage in a
strike or a refusal in the course of his employment to use, manu-
facture, process, transport, or otherwise handle or work on any
goods, articles, materials, or commodities or to perform any serv-
ices, where an object thereof is to force or require said person to
cease doing business with Lohman Sales Company.
INTERNATIONAL BROTHERHOOD OF TEAMSTERS,
CHAUFFEURS, WAREHOUSEMEN AND HELP-
ERS OF
AMERICA,
MILK DRIVERS AND
DAIRY EMPLOYEES LOCAL 537,
Labor Organization.
Dated----------------
By-------------------------------------
(Representative )
( Title)
This notice must remain posted for 60 days from the date hereof,
and must not be altered, defaced, or covered by any other material.
MILK DRIVERS AND DAIRY EMPLOYEES LOCAL 537
915
INTERMEDIATE REPORT AND RECOMMENDED ORDER
STATEMENT OF THE CASE
This proceeding was heard at Denver, Colorado, on March 1 and 2, 1960, on a
complaint by the General Counsel that International Brotherhood of Teamsters,
Chauffeurs, Warehousemen and Helpers of America, Milk Drivers and Dairy Em-
ployees Local 537, herein called Respondent, had engaged in unfair labor practices
within the meaning of Section 8(b) (4) (i ) (B) and Section 8(b) (4) (ii) (B) of
the Act.
Briefs have been submitted by all parties.
Upon the entire record in the case, and from my observation of the witnesses, I make
the following:
FINDINGS OF FACT
1. THE BUSINESS OF THE COMPANY
Jack H. Lohman, d/b/a Lohman Sales Company, herein called Lohman , is engaged
at Denver, Colorado, in the wholesale distribution of cigarettes , cigars, tobaccos,
candy, and sundries .
Lohman purchases 95 percent of its merchandise from outside
the State of Colorado and its out-of-State purchases of the above-named commodities
in 1959 were valued in excess of $2,000,000 .
I find that the operations of Lohman
affect commerce.
II. THE LABOR ORGANIZATION INVOLVED
International Brotherhood of Teamsters , Chauffeurs, Warehousemen and Helpers,
of America , Milk Drivers and Dairy Employees Local 537, is a labor organization
admitting to membership the employees of the Company.
III.
THE UNFAIR LABOR PRACTICES
A. Introduction; the issues
In November 1959, the Union was certified as the bargaining representative of the
drivers and warehouse employees of Lohman .
Five negotiating meetings proving
to be fruitless, a strike against Lohman for improving working conditions commenced
on December 2, 1959, and is still underway with Respondent maintaining a "picket
line," in the commonly used sense of the term, at the premises of Lohman.
Attacked herein by the complaint is certain alleged conduct at the premises of
customers of Lohman including the distribution of handbills and requests of customers
and their personnel to cease using, handling , or selling products distributed by Loh-
man. This handbilling commenced in December and is apparently still being carried
on, although the evidence herein is limited chiefly to December 1959 and January
1960.
The further contention is made that the content of the handbills was untruthful.
This is predicated on the ground that Lohman , a wholesale distributor of a full line
of cigarettes, cigars, [smoking] tobacco, and candy, was not the exclusive source of
supply in some categories of merchandise and supplied no merchandise in one or
more of these categories to its customers.
The complaint alleges violations by the Union of Section 8(b)(4)(i) and (ii) (B)
of the Act.
This section so far as pertinent herein, provides that it shall be an unfair
labor practice for a labor organization or its agents-
(4) (i) to engage in, or to induce or encourage any individual employed by any
person engaged in commerce or in an industry affecting commerce to engage in, a
strike or a refusal in the course of his employment to use, manufacture , process,
transport, or otherwise handle or work on any goods , articles, materials , or com-
modities or to perform any services; or (ii ) to threaten , coerce, or restrain any
person engaged in commerce or in an industry affecting commerce , where in
either case an object thereof is:
(B) forcing or requiring any person to cease using, selling, handling, transport-
ing, or otherwise dealing in the products of any other producer, processor, or
manufacturer, ... .
*
*
*
*
*
*
Provided further, That for the purposes of this paragraph (4) only, nothing
contained in such paragraph shall be construed to prohibit publicity , other than
picketing, for the purpose of truthfully advising the public , including consumers
and members of a labor organization , that a product or products are produced by
an employer with whom the labor organization has a primary dispute and are
614913-62-vol 132-59
916
DECISIONS OF NATIONAL LABOR RELATIONS BOARD
distributed by another employer, as long as such publicity does not have an effect
of inducing any individual employed by any person other than the primary em-
ployer in the course of his employment to refuse to pick up, deliver, or transport
any goods, or not to perform any services, at the establishment of the employer
engaged in such distribution; ... .
B. Sequence of events
It is conceded that Fred Jones, an organizer for Joint Council of Teamsters No. 54,
was an agent of Respondent during this dispute as was one Friedman, a business of
Local 547.
The testimony of Secretary-Treasurer Paul Ashcraft of Respondent is
undisputed, and I find, that he instructed Jones to visit Lohman customers, inform
them of the dispute between Respondent and Lohman, and to request their co-
operation by not buying Lohman merchandise until the strike was settled.
Ashcraft
conceded that the striking employees were told that they were "free to see anybody
and talk to anybody" and to seek the support of Lohman customers in not purchasing
merchandise until the dispute was settled.
Ashcraft in behalf of Respondent per-
sonally drafted the language of certain handbills which Respondent's agents dis-
tributed and also made the decision as to where the distribution would be made.
The General Counsel has introduced evidence of activity at the premises of seven
retailers. -
(1) Parker Pharmacy purchases approximately 90 percent of its cigarettes, less
than 1 percent of its cigars, and approximately 60 percent of its candies from Lohman.
Charles Parker, its owner, who was vague as to dates, testified that less than 6 months
before Christmas 1959, Jones appeared at his store, ascertained that Parker did busi-
ness with Lohman and asked him to cease buying merchandise from Lohman. Jones
further said that if Parker did not comply with the request "they would place a man
with handbills outside the store."
Handbills were never distributed at the Parker
store and there have been no work stoppages or refusals by Parker personnel to
handle Lohman merchandise. It may be noted that in all of the cases described below,
there have been no failures or refusals by employees or personnel to process or
perform any services in connection with Lohman merchandise.
.(2) Hatch Drug Store purchases approximately 90 to 95 percent of its cigarettes, 15
percent of its cigars, 50 percent of its tobacco, and 10 percent of its candy from
Lohman.
On December 9, 1959, two striking Lohman delivery men entered this
store and spoke with owner Francis Hatch. They stated that they were conducting a
"strike at Lohman Sales" and asked Hatch if he would discontinue buying mer-
chandise from Lohman.
Hatch refused and the men left.
About 2 minutes later,
Hatch observed them distributing leaflets outside the store.
Leaflets were distributed
by other Lohman strikers at this location on 10 or 12 occasions, approximately every
other day, for 4 or 5 weeks.
While Hatch in his testimony referred to the distributors
of the handbills as being engaged in "picketing" it is clear, and I find, that there was
no picketing in the customary sense of the term, in that there is no evidence of
patrolling by the leaflet distributors or of the carrying of placards.
There is also no
contention made that there was any undue massing of handbill distributors in any of
these incidents so as to warrant a conclusion that they were engaged in patrolling.
Hatch testified that the handbills distributed at his premises read as follows:
Employees of LOHMAN SALES CO.
ON STRIKE
For decent wages and hours!
We cannot support our families on $1.00 per hour
.
.
. The Cigarettes, Tobacco and Candies on
sale in this
store are distributed by Lohman Sales Co.
PLEASE HELP US IN OUR STRUGGLE FOR
FAIR WAGES AND WORKING CONDITIONS
.
. DON'T PURCHASE ANY CIGARETTES,
TOBACCO OR CANDIES IN THIS STORE!!
Thank you!--------------------------------
The Employees of Lohman Sales Co.,
acting through Milk Drivers Local 537
This handbill is not directed against any
person or firm other than Lohman Sales Co.
There is evidence from Ashcraft, however, that this handbill, which is identified in
the record as General Counsel's Exhibit No. 3, was not prepared until January, 1960,
MILK DRIVERS AND DAIRY EMPLOYEES LOCAL 537
917
and that the first handbill was General Counsel's Exhibit No. 4 which is identical in
content except for the addition of one word to the designation of the merchandise,
viz, "cigars."
While it would seem that Respondent commenced with one handbill
and changed the wording as indicated, this does not affect a resolution of the issues
herein.
It is to be noted, as will appear below, that Respondent has made still other
changes in the content of the handbills.
(3) Staab Sherman Plaza Drug purchases no cigars, one-third or slightly less of its
cigarettes, and less than one-third of its candy from Lohman.
Rudolph Staab, its
proprietor, testified that Jones visited him between January 1 and 5, 1960; announced
he was representing Respondent and that Lohman's wage scales were inadequate; and
asked Staab "to cooperate with us and quit buying from Lohman." Staab replied
that he could not promise to do this and Jones then stated, "Well, well have to do
something about that."
In the following week, handbills were distributed by Lohman strikers outside
Staab's premises on one occasion and this was repeated about 1 week later. Staab was
uncertain as to which handbills he saw, originally testifying that he did not know
whether he saw General Counsel's Exhibit No. 3 or General Counsel's Exhibit No. 4.
The former, it will be recalled, refers to cigarettes, tobacco and candies, and General
Counsel's Exhibit No. 4, while otherwise identical, adds cigars and states:
The cigars, cigarettes, tobacco and candies on sale at this store are distributed
by Lohman Sales Co.
*
*
*
*
*
*
*
DON'T PURCHASE ANY CIGARS, CIGARETTES, OR
CANDIES IN THIS STORE!!
Staab also recalled seeing General Counsel's Exhibit No. 2, addressed only to
cigarettes, being distributed outside his store after the Jones visit.
And, in cross-
examination, he testified that he originally saw General Counsel's Exhibit No. 3 and
later General Counsel's Exhibit No. 2 being distributed outside his store.
As is
apparent, neither General Counsel's Exhibit No. 3 nor General Counsel's Exhibit No.
2 refers specifically to cigars, a product which Staab purchased from distributors other
than Lohman. Staab never complained to Respondent that the handbills were in-
accurate in any way.
(4) The Columbine Pharmacy, owned by William Hartman, purchases all of its
cigarettes, 40 percent of its candy, and no cigars from Lohman.
On December 2 or
3, four of the Lohman strikers, whom Hartman knew by sight, entered the store and
spoke with Hartman.
They stated that they were on strike against Lohman and that
they would appreciate it if Columbine did not purchase "any cigarettes or anything"
from Lohman until the strike was settled; Hartman made no definite commitment.
About 1 week before Christmas, one of the four, Pinkerton, entered the store;
handed a handbill to Hartman; stated that it was not intended as a threat; and left.
While this handbill referred to cigars, cigarettes, tobacco and candies, Hartman
admitted, and I find, that no handbills were ever distributed at or near his place of
business.
(5) The Owl Drug Company operates three drugstores in Denver. It purchases
cigarettes, tobacco products other than cigars, and candy from Lohman who supplies
85 -to 90 percent of this concern's total tobacco purchases.
Ten to twelve percent of
the candy purchased is supplied by Lohman.
Handbilling has occurred at all three Owl Stores, commencing in December 1959,
and primarily at its West Mississippi store.
On the first occasion, two Lohman em-
ployees, who were known to President Edwin Adler of Owl Drug, came to the com-
pany office located at the Santa Fe Drive store.
One of the two, Villa, informed
Adler that there was a strike against Lohman and asked him to stop purchasing mer-
chandise from Lohman.
Adler replied that he would speak to Lohman personally
in their behalf.
Villa then handed a copy of General Counsel's Exhibit No. 3 to
Adler and the two strikers left.
The content of the handbills has varied, with some referring to cigarettes, candy,
and tobacco, viz, General Counsel's Exhibit No. 3, and others referring to cigarettes
alone, viz, General Counsel's Exhibit No. 2.
On cross-examination, Adler repeated
that General Counsel's Exhibit No. 3 was the first handbill he observed and that he
was not certain whether or not General Counsel's Exhibit No. 2, referring only to
cigarettes, was distributed.
While Adler once pointed out to handbiller Villa that
deliveries had been made that very, day of cigarettes, tobacco, and candy by a distrib-
utor other than Lohman, he apparently has never claimed in any way that the
handbills were inaccurate.
Day Cashier Gladys Gioia, a nonsupervisory employee assigned to the West
Mississippi store, orders tobaccos, candy, cigars, and cigarettes, as needed, from
918
DECISIONS OF NATIONAL LABOR RELATIONS BOARD
suppliers previously desginated by her superior. She testified that she saw a handbill
referring to candy and cigarettes being distributed outside the store shortly prior to
Christmas.
One was also handed to her by striker Villa as Gioia entered the store,
Villa stating that they were on strike and asking that she not order merchandise from
Lohman.
Gioia replied that she played no part in the selection of suppliers, this
decision being made by management.
(6) Considerably testimony was adduced concerning Respondent's conduct with
respect to Furr's, Incorporated, a 59-store food chain operating in three States with
five stores in Denver and four in Colorado Springs, Colorado.
This chain purchased
only cigarettes from Lohman and on an exclusive basis. In the first or second week
of December 1959, striker Villa and another striker called at the office of Eldon
McGuire, who is general merchandise supervisor for Furr's in charge of the nine
Colorado stores.
They requested that he cease buying merchandise from Lohman,
in view of Respondent's strike for higher wages.
McGuire stated that he would
take this up with the five-man buying committee which decides on such matters as
the selection of suppliers; no handbills were displayed on this occasion.
On December 8, a group of six strikers called upon John Moore, who was the drug
department manager at the Sheridan store.
Moore is a supervisory employee with
two subordinates, and places orders for merchandise but does not select the distrib-
utors, that decision also being made by the five-man purchasing committee.
The
group asked Moore ,to stop purchasing cigarettes from Lohman.
Moore replied that
this decision was not for him to make and the men left. Either that day or several
days later, Moore observed General Counsel's Exhibit No. 4 being distributed in
front of the store, apparently on one occasion only.
On December 15 or 16, five or six strikers called upon Alfred Crow, the manager
of the West 38th Street store, and asked him to stop buying cigarettes from Lohman.
Crow, who placed his purchase, orders with Lohman pursuant to designation by the
five-man buying committee, replied that he would check this with his superiors.
About 1 week later, Crow noticed General Counsel's Exhibit No. 4 being distributed
on one occasion.
He proceeded to inform the handbillers that the leaflet was in error,
because the store did not purchase any candy from Lohman. Crow observed hand-
billing on one later occasion and by then the handbill had been replaced by General
Counsel's Exhibit No. 2.
It may be noted at this point that the handbill was changed to General Counsel's
Exhibit No. 2 because of the protest by Crow.
According to the uncontroverted testi-
mony of Secretary-Treasurer Ashcraft, and I so find, the handbill distributors at
Crow's store promptly reported Crow's complaint to Ashcraft who immediately
ordered a corrected handbill in the form of General Counsel's Exhibit No. 2 to be
printed.
This was substituted for General Counsel's Exhibit No. 4 at the store on
the following day.
Thereafter, this handbill alone was used at all Furr's stores being
handbilled and it may be noted that no other Lohman customer has made any com-
plaint to Respondent that the content of the handbills may be erroneous.
During the first week of January 1960, Store Manager William Thompson of the
72d and Federal Street store observed handbills being distributed on two occasions
and these were identical with General Counsel's Exhibit No. 2.
Thompson had
previously managed the store at 2190 South Broadway prior to January 2, 1960.
Four of the strikers had visited him at that location, handed him a handbill similar
to General Counsel's Exhibit No. 2 and asked that he stop purchasing cigarettes
from Lohman; there was no distribution of handbills at this store.
William Dent, branch manager for Fun's in Denver and Colorado Springs,
happened to observe the distribution of General Counsel's Exhibit No. 2 at the 72d
and North Federal location on one occasion.
He approached Union Representative
Jones who was the distributor, announced that Furr's had decided to cease purchasing
cigarettes from Lohman and asked which union representative to contact. Jones
supplied Dent with a name already familiar to Dent and later that day Dent notified
the Union that Furr's was ceasing the purchase of cigarettes from Lohman.
One
or two additional purchases were made and Furr's then ceased all purchases of
cigarettes from Lohman.
Dent uncontrovertedly testified, and I find, that the reason
for his decision was to eliminate the distribution of the handbills on Fun's parking
lots.
According to Dent, Furr's was not concerned with the content of the handbill
but was reluctant to have its customers receive them.'
1 Because of insufficient identification of the spokesman , objection was sustained to the re-
ceipt of evidence concerning a contact of the proprietor of Jack's Rexall Store by a purported
representative of Respondent.
MILK DRIVERS AND DAIRYEMPLOYEES LOCAL 537
919
C. Analysis and conclusions
The complaint alleges that Respondent engaged in conduct violative of Section
8(b) (4) (i) (B) of the Act by inducing or encouraging individuals employed by seven
customers of Lohman to cease handling, using, selling, or performing services in
connection with Lohman merchandise. It further alleges violations of Section
8(b) (4) (ii) (B) of the Act by the foregoing, by requests of the seven customers to
stop handling Lohman merchandise, by threatening to handbill these stores, by hand-
billing them, and by untruthfully hnbdbillmg them.
(1) Turning first to the alleged threat to handbill the Lohman customers and
the subsequent handbilling, it is readily apparent that this conduct is controlled by
the language of Section 8(b)(4) of the Act providing that ". . . for the purposes
of this paragraph (4) only, nothing contained in such paragraph shall be construed
to prohibit publicity, other than picketing, for the purpose of truthfully advising the
public, including consumers and members of a labor organization, that a product or
products are produced by an employer with whom the labor organization has a
primary dispute and are distributed by another employer, as long as such publicity
does not have an effect of inducing any individual employed by any person other
than the primary employer in the course of his employment to refuse to pick up,
deliver, or transport any goods, or not to perform any services, at the establishment
of the employer engaged in such distribution."
This reference to "publicity, other than picketing" would manifestly seem to em-
brace handbilling and the legislative history of the recent amendments to the Act so
discloses .
Senator Kennedy, in his explanation to the Senate of changes in the
original bill, made it clear that Congress intended that handbilling activity should fall
within this proviso to Section 8(b) (4).
He stated:
We were not able to persuade the House conferees to permit picketing in front
of that secondary shop, but we were able to persuade them to agree that the
union shall be free to conduct informational activity short of picketing. In
other words, the union can hand out handbills at the shop, can place advertise-
ments in newspapers, can make announcements over the radio, and can carry
on all publicity short of having ambulatory picketing in front of a secondary site.
(Congressional Record, September 3,1959, p. 16414 )
And Congressman Griffin, one of the House conferees on the bill, inserted in the
Congressional Record a Summary Analysis of the Conference Agreement on the
amendments to the Act wherein it is stated that the Conference Agreement had
adopted a House provision prohibiting secondary customer picketing "with the clari-
fication that other forms of publicity are not prohibited." (Congressional Record,
September 3, 1959, p. 16539.)
It follows, therefore, that there was a congressional intent to expressly protect the
dissemination of information under these circumstances, whether it be oral or in
printed form.
This, of course, is entirely consistent with a long line of cases holding
that ordinances restricting the distribution of handbills are unconstitutional as an
invasion of civil liberties.
For example, in Talley v. California, 362 U.S. 60, 63, the Supreme Court recently
struck down an ordinance prohibiting the distribution of anonymous handbills pro-
testing what were alleged to be discriminatory practices of certain manufacturers and
urging a boycott of other merchants who carried products so manufactured under
allegedly discriminatory conditions.
The Court therein cited an earlier decision hold-
ing that "one who is rightfully on a street . . . carries with him there as elsewhere
the constitutional right to express his views in an orderly fashion
. by handbills
and literature as well as by the spoken word.
Jamison v. Texas, 318 U.S. 401, 416."
Thus, the distribution of handbills at the premises of the retailers handling Lohman
products urging consumers not to purchase same would fall squarely under the pro-
tection of the cited proviso to Section 8(b)(4) of the Act.
This would include the
handbilling at the Hatch Drug 'Store, Staab Sherman Plaza Drug Store, Furr's, and
at Owl Drug Store. See Amalgamated Meat Cutters and Butcher Workmen of
North America, AFL-CIO (Peyton Packing Company, Inc.),
125 NLRB 531; and
Dallas General Drivers, Warehousemen & Helpers, Local No. 745, AFL-CIO (Asso-
ciated Wholesale Grocery of Dallas, Inc ), 118 NLRB 1251.
.(2) By the same token, this disposes of the claim that the threat to distribute
these handbills was violative of Section 8(b) (4)'(ii) (B) of the Act, as alleged, or
even of Section 8(b)(4)(i),(,B) of the Act. If the Act protects the right to dis-
tribute handbills under these circumstances, I fail to see how a threat to engage in
this protected activity can be violative of the Act.
920
DECISIONS OF NATIONAL LABOR RELATIONS BOARD
(3) This presents the contention of the General Counsel that this proviso to
Section 8(b)(4) protects only, as stated by the proviso, "truthfully advising the
public" of the nature of the dispute and his further contention that the content of
these handbills was not truthful.
A consideration of the respective situations does
disclose some disparities between the handbill content and the actual fact.
Hatch Drug Store, as set forth, purchases 90 to 95 percent of its cigarettes, 15
percent of its cigars, 50 percent of its tobacco, and 10 percent of its candy from
Lohman.
After proprietor Francis Hatch refused a request by the strikers to dis-
continue buying merchandise from Lohman, agents of Respondent engaged in peace-
ful and orderly distribution of handbills outside his store on 10 or 12 occasions over
a 4- to 5-week period.
The handbills clearly identifies the strike as an economic one by employees of
Lohman, announcing that Lohman distributed the "Cigarettes, Tobacco and Candies
on sale in this store." It further stated "Don't Purchase Any Cigarettes, Tobacco
or Candies in this store" and pointed out that there was no dispute with any concern
other than Lohman.
The thrust of the General Counsel's claim herein is that the
handbill was untruthful to the extent that other distributors supplied those percentages
of the named products to Hatch which were not provided by Lohman.
Staab Sherman Plaza Drug purchases part of its cigarettes and candy, an undis-
closed percentage of tobacco and none of its cigars from Lohman.
The handbill
distributed there was identical with that set forth above, although Proprietor
Rudolph Staab was uncertain whether it listed cigars together with cigarettes,
tobacco and candy.
While Staab's testimony does not permit a finding that the hand-
bill referred to cigars, the General Counsel does attack, as above, the fact that
Lohman was not the exclusive supplier to this retailer of cigarettes and candy.
Owl Drug Company purchases the major portion of its tobacco products, a small
percentage of candy and no cigars from Lohman. Its three stores have been hand-
billed with a handbill directed to cigarettes, tobacco, and candy.
Here, the General
Counsel also attacks the fact that Lohman was not the exclusive supplier of these
last-named products.
Fury's is a large chain operating five stores in Denver and four in Colorado
Springs, Colorado, which purchased solely cigarettes on an exclusive basis from
Lohman. The record discloses that a handbill referring to cigars, cigarettes, tobacco,
and candy was distributed on one occasion at Furr's Sheridan Store in Denver.
An
additional handbill was distributed at the West 38th Store and when the store manager
directed the attention of the handbillers to the fact that no candy was purchased from
Lohman, Respondent immediately printed and substituted a corrected handbill refer-
ring only to cigarettes.
This revised handbill was used exclusively thereafter at
all Furr's stores until Furr's decided to cease purchasing cigarettes from Lohman.
Initially, in evaluating this contention by the General Counsel, it is clear and I
find that there is no evidence in the record that this handbilling had, "an effect of
inducing any individual employed by any person other than the primary employer
in the course of his employment to refuse to pickup, deliver, or transport any goods,
or not to perform any services, at the establishment of the employer engaged in
such distribution"; this manifestly refers to an employee or an individual refusing
to perform services in behalf of the secondary employer or distributor. It does not
refer to a decision on the part of the secondary employer to cease the business rela-
tionship, as was the case with Fun's.
To adopt the position of the General Counsel herein would be tantamount to
finding that a handbiller is in the position of an insurer who warrants that the con-
tent of the handbill is 100 percent correct.
This is highlighted by the fact, that
unlike refusal to bargain cases where a labor organization as a recognized bargain-
ing representative is entitled to obtain wage and other pertinent information to
assist it in representing its constituents, here the only issue is whether a labor or-
ganization has "truthfully" advised the public of the dispute.
This is not the case
here where there is no evidence of an intent to deceive and there has not been a sub-
stantial departure from fact.
Each case, I believe, must turn on its own facts and, of course, were a labor
organization to substantially and wilfully distort facts, an adverse inference would
well be warranted.
Here, Respondent prepared handbills which did not specifically state or use words
to the effect that suppliers other than Lohman were supplying goods to some of
these stores.
Significantly, none of these retailers protested the language of the
handbill.
In all fairness, I believe that the handbill is somewhat equivocal in nature,
on the one hand lending itself to an inference that Lohman is an exclusive source
of supply and yet, on the other hand, not stating in words that all such merchandise
was distributed by Lohman.
MILK DRIVERS AND DAIRY EMPLOYEES LOCAL 537
921
What I deem to be significant herein is the effort of Respondent to tailer the
.handbill accurately and truthfully to the dispute.
Manifestly, Furr's was the largest
concern by far as to which testimony was developed and it purchased only cigarettes
and these on an exclusive basis from Lohman. If Respondent were motivated to
stretch the handbill into untruthful publicity, the incentive was great.
And yet on
being advised that the handbill was inaccurate, Respondent immediately printed a
correction and used only the corrected handbills thereafter.
To sum up, on the facts of this case, the errors were slight and unintended and
no inference is warranted that the handbills were untruthful. Indeed, several weeks
before the instant hearing Respondent devised a new handbill which even more
clearly narrowed the dispute to Lohman, this handbill asking that the consumer not
„purchase any cigarettes delivered to the store by Lohman. I find, therefore, that
the evidence developed herein does not support this aspect of the position of the
General Counsel.
(4) Turning to the allegation that Respondent threatened, restrained, or coerced
customers of Lohman with an object of achieving a cessation of business between
,them and Lohman, thereby violating Section 8(b) (4) (ii) (B) of the Act, the evidence
will not support such a finding.
Conceivably, if handbilling were to be equated
with picketing a contrary result might follow, but, as previously demonstrated, con-
stitutional questions aside, Congress did not so intend.
Moreover, there is no
evidence of any threats, restraint, or coercion directed to any areas other than the
handbilling.
(5) One troublesome aspect of the allegation of a violation of Section 8(b) (4)
(i) (B) of the Act remains.
Has Respondent induced or encouraged "any indi-
vidual" to refuse to process or work on Lohman goods with an object of forcing the
'enterprise for which he works to cease doing business with Lohman?
Initially, the term "individual" warrants consideration for it is clearly a broader
term than employee and deliberately so.
The legislative history is replete with
references to an intent to reach inducement of supervisors, contrary to the situation
under the language of the Act prior to its amendment, where only "employees" were
referred to.
On the other hand, this clearly does not extend to an entrepreneur or
a partner in a venture, because neither is "employed" by another.
And it is also
readily apparent that top management of a large corporation is well beyond the
normal supervisorial level in a shop or plant. See Swift & Company, 115 NLRB
752; and American Radiator and Standard Sanitary Corporation (Louisville Works),
119 NLRB 1715.
Although it may well be anomalous to hold, for example, that this section of the
Act extends to one who is a national sales manager for an automobile manufacturer,
assuming he is not a corporate officer, and yet does not extend to the proprietor of
a grocery or a pharmacy, one can only apply the language as written.
I am applying the term "individual" herein to any employee or supervisor, but
not to one who is an entrepreneur, partner, or corporate officer.
This is so because
a corporation acts only through its officers and they are on the plane of the entre-
preneur or partner.
And although a distinction could be made between a supervisor
and a top-level representative of management who is not a corporate officer, as
appears in one of the instances set forth below, I see no basis for such a distinction
in terms of the legislative history or from a literal reading of the Act.
Thus, the requests made upon the proprietors of Parker Pharmacy, Hatch Drug
Store, Staab Sherman Plaza Drug Store, and Columbine Pharmacy to cease the
Lohman business relationship are not deemed to have been requests to an "indi-
vidual." 2
The request of Day_ Cashier Gioia of Owl_ Drug Store is on a different
plane.
She was handed a handbill by an agent of Respondent and asked not to
order merchandise from Lohman, this being one of her normal tasks in the course
,6f ,her employment as an employee of this concern.
'Although a similar request was advanced to Edwin Adler of Owl Drug Store,
-which is apparently a corporation, Adler's testimony discloses that not only is he
president, but significantly, that he is one of the owners of the concern.
Therefore,
primarily in view of the latter consideration, no finding adverse to Respondent is
,predicated on the contact of Adler.
The record discloses a number of contacts of Fun's personnel, requesting a cessa-
tion of purchases of merchandise from Lohman.
These included McGuire, a gen-
'eral merchandise supervisor over nine stores who may possibly be of managerial
-stature under Board policy; Moore, a drug department supervisor in one store;
(Crow, a manager over one store; and Thompson, a store manager at one store.
This discussion, however, is limited to the oral requests made of these individuals
The record does not disclose whether these goncern are corporations.
922
DECISIONS OF NATIONAL LABOR RELATIONS BOARD
and not to subsequent handbilling of Furr's stores which has been treated previously.
I find, as alleged by the complaint , that Respondent has induced and encouraged
individuals employed by Owl Drug Company and Furr's to cease handling or using
Lohman products with an object of forcing those two concerns to cease using or
selling Lohman products and to cease doing business with Lohman, that Respondent
has thereby engaged in unfair labor practices within the meaning of Section 8(b)
(4) (1) (B) of the Act, and that Respondent has not otherwise engaged in unfair labor
practices.
IV. THE EFFECT OF THE UNFAIR LABOR PRACTICES UPON COMMERCE
The activities of Respondent set forth in section III, above, occurring in con-
nection with the operations of the Company described in section I, above, have a
close, intimate, and substantial relation to trade, traffic, and commerce among the
several States, and tend to lead to labor disputes burdening and obstructing com-
merce and the free flow thereof.
V. THE REMEDY
Having found that Respondent has engaged in certain unfair labor practices, I
shall recommend that it cease and desist therefrom and that it take certain affirmative
action designed to effectuate the policies of the Act.
Upon the basis of the foregoing findings of fact, and upon the entire record in
the case, I make the following:
CONCLUSIONS OF LAW
1. International
Brotherhood of Teamsters ,
Chauffeurs,
Warehousemen and
Helpers of America, Milk Drivers and Dairy Employees Local 537 , is a labor
organization within the meaning of Section 2(5) of the Act.
2. By inducing or encouraging individuals employed by persons other than Lohman
Sales Company to refuse to use or handle goods distributed by said Lohman with
an object of forcing or requiring such other persons to cease using, selling, handling,
or dealing in the products of said Lohman , Respondent has engaged in unfair labor
practices within the meaning of Section 8(b) (4) (i) (B) of the Act.
3. The aforesaid unfair labor practice is an unfair labor practice affecting com-
merce within the meaning of Section 2(6) and (7 ) of the Act.
4. Respondent has not otherwise engaged in unfair labor practices within the
meaning of Section 8 (b) (4) (i) (B) or 8 (b) (4) (ii ) (B) of the Act.
[Recommendations omitted from publication.]
U.S. Chaircraft, Inc. and Industrial Workers Federation of
Labor, Local 886, Petitioner.
Case No. 21-RC-6588.
August
10, 1961
DECISION AND ORDER
On August 5, 1960, Industrial Workers Federation of Labor, Local
886, herein called Petitioner, filed a petition in the above-entitled
case.
Thereafter, the Employer and the Petitioner entered into an
agreement for consent election.
Pursuant thereto an election was
held, as a result of which the Petitioner was certified August 22, 1960.
On February 15, 1961, Local 976, International Union, Allied In-
dustrial Workers of America, AFL-CIO, herein called Local 976,
filed a motion to vacate the election and certification, upon the ground
that the Employer and the Petitioner failed to inform the Regional
Director that Local 976 had previously demanded recognition as the
bargaining agent of the employees and was or may have been in-
terested in the case.
,132 NLRB No.,82.