Int'l Assn. Of Bridge, Etc., Local 600 & Local 798

INT'L ASSN. OF BRIDGE , ETC., LOCAL 600 & LOCAL 798 1049 It is recommended that the complaint be dismissed insofar as it alleges any inde- pendent violation of Section 8(a) (1) of the Act. APPENDIX NOTICE TO ALL EMPLOYEES Pursuant to the Recommended Order of a Trial Examiner of the National Labor Relations Board, and in order to effectuate the policies of the National Labor Rela- tions Act, we hereby notify our employees that: WE WILL NOT discourage membership in or activities on behalf of Local B-57, International Alliance of Theatrical Stage Employees and Motion Picture Ma- chine Operators of the United States and Canada, or any other labor organiza- tion of our employees, by discharging or otherwise discriminating in regard to the hire and tenure of any employee's employment or any other term or condition of employment. WE WILL NOT in any other manner interfere with, restrain, or coerce our em- ployees in the exercise of their right to self-organization, to form labor organiza- tions, to join or assist the above-named labor organization or any other labor organization, to bargain collectively through representatives of their own choos- ing, and to engage in other concerted activities for the purpose of collective bargaining or other mutual aid or protection or to refrain from any or all of such activities, except to the extent that such right may be affected by an agree- ment authorized by Section 8 (a) (3) of the Act, as modified by the Labor- Management Reporting and Disclosure Act of 1959. WE WILL offer Roy Hirstius immediate and full reinstatement to his former or substantially equivalent position without prejudice to his seniority or other em- ployment rights and privileges, and make him whole for any loss of pay he may have suffered by reason of the discrimination against him. All our employees are free to become or remain, or to refrain from becoming or remaining members of the above labor organization, or any other labor organization. FILM INSPECTION SERVICE, INC., Employer. Dated------------------- By------------------------------------------- (Representative) (Title) This notice must remain posted for 60 consecutive days from the date of posting, and must not be altered, defaced, or covered by any other material. Employees may communicate directly with the Board's Regional Office, T6024 Federal Building (Loyola), 701 Loyola Avenue, New Orleans 12, Louisiana, Tele- phone No. 529-2411, if they have any question concerning this notice or compliance with its provisions. International Association of Bridge , Structural and Ornamental Iron Workers (AFL-CIO), Local 600 and Local 7981 and De- Witt Prentiss, Narvel Brewer, Archie O. Dixon, Don Prentiss, Rufus Richardson, J. C. Brewer and Bay City Erection Com- pany, Inc. Cases Nos. 15-CB-448-1,15-CE-448-2, 15-CB-448-3, 15-CB-448-4, 15-CB-If48-5, 15-CB-448-6, 15-CB-4448-7, and 15- CB-453. October 11, 1963 SUPPLEMENTAL DECISION AND ORDER On November 16, 1961, the Board issued its Decision and Order in the above-entitled cases,2 finding that Respondent, Local 600, Inter- national Association of Bridge, Structural and Ornamental Iron 1 The caption is corrected to reflect the correct names of the Unions. 2134 NLRB 301. 144 NLRB No. 101. 1050 DECISIONS OF NATIONAL LABOR RELATIONS BOARD Workers (AFL-CIO) had violated Section 8(b) (1) (A), 8(b) (2), and 8(b) (3) of the Act, and ordering that it cease and desist from its unlawful conduct and take certain affirmative action, including mak- ing whole six individuals for any losses of pay resulting from its unfair labor practices and reimbursing five others for dues, fees, and assessments unlawfully required of them. On May 9, 1962, the Charging Parties filed a "Motion To Join Successor," alleging that Local 600 had filed a petition in bankruptcy on October 2, 1961, and that Local 798 was, for various reasons set forth in the motion, "a disguised continuance, alter ego and successor" of Local 600, and requesting that the motion be consolidated with the proposed backpay proceedings.3 The Board issued a notice to show cause on May 25, 1962; and on June 25, 1962, after Local 798 had filed an answer denying that it was a successor to Local 600, the Board ordered the record reopened and remanded the proceeding to the Board's Regional Director for the Fifteenth Region for a further hearing to resolve the issues raised in the Charging Parties' motion and Local 798's answer, and authorized the Regional Director to con- solidate such hearing with any backpay proceeding which might be held. On November 2, 1962, the Regional Director issued a backpay specification and an order consolidating the hearings, and, upon ap- propriate notice duly served on all parties, such hearing was held before Trial Examiner Ivar H. Peterson. On March 26, 1963, Trial Examiner Peterson issued his Supple- mental Intermediate Report, finding that Local 798, as the disguised continuance and alter ego of Local 600, was responsible for remedy- ing the unfair labor practices found to have been committed by Local 600, and that the 11 claimants were entitled to payment of certain specified amounts by local 798, as the alter ego of Local 600, as set forth in the attached Supplemental Intermediate Report. There- after, International Association of Bridge, Structural and Orna- mental Iron Workers (AFL-CIO) moved for leave to intervene and submitted proposed exceptions to the Supplemental Intermediate Re- port and a supporting brief, contending that the imposition of the obligation of Local 600 on Local 798 is in violation of the Bankruptcy Act; in the alternative, it urged that the cases be remanded to permit it to present evidence establishing that Local 798 was duly chartered in accordance with the International's constitution. Local 798, in addition to filing its own exceptions, adopted the exceptions and brief filed by the International. The General Counsel filed its opposition to intervention and brief in support of Supplemental Intermediate Re- 8 The referee in bankruptcy , on May 7, 1962, had entered an order , on motion of the Board, granting the Board leave to proceed through its administrative processes to ascer- tain the amounts due as backpay or otherwise under the Board's Decision and Order. INT'L ASSN. OF BRIDGE, ETC., LOCAL 600 & LOCAL 798 1051 port. The Charging Parties filed an objection to intervention, and exceptions to the Supplemental Intermediate Report, including an exception to the Trial Examiner's failure to find that Local 798 should be ordered to comply with the nonfinancial aspects of the Board's Order. 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 entire record in these cases, including the Supplemental Intermediate Report, the International's motion and the objections thereto, the ex- ceptions, and briefs, and hereby adopts the findings, conclusions, and recommendations of the Trial Examiner with the modification noted below. We find, in agreement with the Trial Examiner, that Local 798 is the disguised continuance and alter ego of Local 600. It is therefore, as a successor, responsible for remedying the unfair labor practices found to have been committed by Local 600. We shall therefore adopt the Trial Examiner's recommendation and amend our Order pre- viously issued in this proceeding on November 16, 1961, so as to provide that Local 798 pay the financial obligations incurred by Local 600 as a result of its unfair labor practices, and to provide further for the payment to the individual employees involved of the liquidated amounts of their backpay claims as set out in the Supplemental Inter- mediate Report. The Trial Examiner in the instant proceeding did not specifically recommend that Local 798 also be ordered to comply with the nonfinancial aspects of the Board's Order against Local 600. However, we find merit in the Charging Parties' exception to this omission and shall expand our Order accordingly.4 ORDER On the basis of the foregoing Supplemental Decision and the entire record in these cases, and pursuant to Section 10(c) of the National Labor Relations Act, as amended, the National Labor Relations Board hereby orders: I. That Respondent , International Association of Bridge , Struc- tural and Ornamental Iron Workers (AFL-CIO), Local 600, its officers, agents, representatives, successors, and assigns , including its 'The record does not show whether or not Local 600 has been discharged in the bank- ruptcy proceeding . Accordingly, we do not in this proceeding purport to pass upon the effect of the petition in bankruptcy filed by Local 600 on the financial obligations herein imposed, an issue which is raised in the proposed exceptions filed by the International and adopted by Local 798 . The question whether Local 798 Is duly chartered in accord with the International 's constitution , on which the International requested remand, is immaterial to our decision on the successorship issue . In these circumstances, accord- ingly, the International 's mbtion for leave to intervene and its request , in the alternative, that the case be remanded for additional evidence , are hereby denied. 1052 DECISIONS OF NATIONAL LABOR RELATIONS BOARD successor International Association of Bridge, Structural and Orna- mental Iron Workers (AFL-CIO), Local 798, shall pay to the em- ployees involved in this proceeding the amounts set forth opposite their names in the section of the Supplemental Intermediate Report entitled "Conclusions and Recommendations." II. That the introductory paragraph of the Order previously issued in this proceeding on November 16, 1961, be, and it hereby is, amended to read : "... the National Labor Relations Board hereby orders that the Respondent, International Association of Bridge, Structural and Ornamental Iron Workers (AFL-CIO), Local 600, its officers, agents, representatives, successors, and assigns, including its successor Inter- national Association of Bridge, Structural and Ornamental Iron Workers (AFL-CIO), Local 798, shall . . . ." 5 MEMBER JENKINS took no part in the consideration of the above Decision and Order. 6 The notice attached to the said Order marked "Appendix" shall likewise be amended so as to be entitled: "To All Members of International Association of Bridge , Structural and Ornamental Iron Workers (AFL-CIO), Locals 600 and 798, and All Applicants for Employment," and the words "International Association of Bridge, Structural and Orna- mental Iron Workers (AFL-CIO), Local 798" shall be added to the end of the notice with appropriate lines so that its representative may become a signatory thereto. SUPPLEMENTAL INTERMEDIATE REPORT STATEMENT OF THE CASE On November 16, 1961 , the Board issued a Decision and Order in this proceeding, 134 NLRB 301, finding that International Association of Bridge , Structural and Ornamental Ironworkers, Local 600, herein called Local 600, had in certain respects violated Section 8(b)(1)(A ) and (2) of the Act.' Respondent Local 600 was di- rected, among other things, to make whole six individuals for any losses resulting from its unfair labor practices in violation of Section 8(b) (2), and to reimburse five others for dues, fees, and assessments required of them as a condition of em- ployment, in violation of Section 8(b) (1) (A ) and (2 ) of the Act. On May 9, 1962, counsel for the Charging Parties filed a "Motion To Join Suc- cessor," alleging that Local 600 had filed a petition in bankruptcy on October 2, 1961, and that Local 798, chartered on or about October 20, 1961, was, for various reasons set forth in the motion , "a disguised continuance, alter ego and successor" of Local 600. The Board issued a notice to show cause on May 25, 1962 , and, after Local 798 answered denying that it was the successor to Local 600 and requesting that a hearing be held on the "Motion To Join Successor," on June 25 , 1962, ordered the record reopened and remanded the proceeding to the Regional Director for a further hearing to resolve the issues raised in the Charging Parties' motion and Local 798's answer and authorized the Regional Director to consolidate such hear- ing with any backpay proceedings that might be held 2 The Regional Director issued a backpay specification and an order consolidating hearings on November 2, 1962. Pursuant to notice duly served on all parties, the matter was heard by Trial Examiner Ivar H. Peterson on January 14, 15, and 16, 'Local 798 of International Association of Bridge , Structural and Ornamental Iron- workers, herein called Local 798 , is made a Respondent for reasons more fully appearing below 2 The referee in bankruptcy, on May 7, 1962 , entered an order, on motion of the Board, granting the Board leave to proceed through its administrative processes to ascertain the amount due as backpay or otherwise under the Board's Decision and Order. INT'L ASSN. OF BRIDGE, ETC., LOCAL 600 & LOCAL 798 1053 1963, in Mobile, Alabama. All parties were afforded full opportunity to be heard,3 to examine and cross-examine witnesses, to introduce evidence, to present oral argu- ment, and thereafter file briefs. Briefs have been received from the General Counsel and Respondent Local 798, and have been duly considered. Upon consideration of the record in the proceedings had before me, and from my observation of the witnesses, I make the following: FINDINGS OF FACT A. The issues The issues to be determined in this proceeding are whether Local 798 is the suc- cessor of Local 600, and, if so, whether Local 798 should be held responsible for the payment of the backpay and dues reimbursement to the persons found to be en- titled thereto by the Board. B. Dissolution of Local 600 and formation of Local 798 The events attending the dissolution of Local 600 and the formation of Local 798 are substantially undisputed. In June and July of 1961 Local 600 found itself in- volved in serious financial difficulties. A judgment in the amount of $50,000 had been obtained against the Local and, in addition, its bank account and property had been seized by legal process. In consequence, as S. A. Alsup, who in July took office as financial secretary-treasurer and business agent of Local 600, testified, the Local was unable to pay salaries, rent, or other normal expenses; however, it in other respects continued to function for the next few months. During the middle or latter part of August, after an audit of the Local's books had been made, considera- tion was given by the officers and membership to surrendering the charter and filing a petition in bankruptcy. At the August 14, 1961, meeting of the Local, Business Agent Alsup, as disclosed by the minutes of the meeting, discussed the situation of the Local at length, stated that he had made every effort to cut expenses, and ex- pressed himself as being in favor of returning the charter to the International if the Local failed to obtain relief from the International. The record is not clear as to precisely when or by what procedure the decision was reached to file a petition in bankruptcy. It appears most likely, however, that such a determination was made sometime during the latter part of September, since the minutes for the meeting held on September 11 show that the Local then was still functioning and transacting routine business? In any event, Business Agent Alsup, pursuant to authority he testified had been granted him by the membership, on October 2, 1961, filed on behalf of Local 600 a petition in bankruptcy in the United States District Court for the Southern District of Alabama. The trustee in bank- ruptcy for Local 600 was appointed on October 19, 1961. Although Business Agent Alsup and other witnesses testified that the last meeting of Local 600 occurred on September 9, 1961, I find that they are mistaken in this regard and that the last meeting of Local 600 took place on October 9 as borne out by the relevant correspondence with the International and an analysis of the record as a whole. The Local's minutes were recorded in a bound book, with numbered pages. The minutes for the meeting of September 11 followed on suc- cessive pages those for the meeting of August 14 Both of these dates fell on the second Monday of the month, which was the regular meeting date for the Local. 3 The parties, after i'suance of the backpay specification and prior to the hearing, entered into a stipulation providing, in relevant part, that "the matters alleged in the Back Pay Specification are true and correct and may be so found without the taking of evidence," and that nothing therein is to be construed as an admission by the trustee in bankruptcy or by Local 798 "that either is responsible for the payment of any backpay or dues reimbursement to the persons found to be entitled thereto by the National Labor Relations Board pursuant to its Decision and Order issued on the 19th of No%ember 1991, herein" At the opening of the hearing the Trial Examiner ruled, in response to the motion of the General Counsel for judgment on the pleadings on the basis of the stipulation, that the allegations in the backpay specification would be deemed to be admitted to be true and correct without the taking of testimony in support thereof 4In the application to the International for a new charter, dated September 28, 1961, and discussed below, reference is made to the fact that "bankrupt pioceedings are now being prepared to file with the Court . . " 1054 DECISIONS OF NATIONAL LABOR RELATIONS BOARD The minutes which purport to report a meeting occurring on September 9 follow immediately on a page next after the close of the September 11 minutes, and clearly relate to the concluding meeting of the organization, whereas those for August 14 and September 11 report a variety of routine business as having been transacted. According to the minutes for September 9, Business Agent Alsup told the 131 mem- bers present that "this is the last meeting of Local #600," and "made a motion that we roll up the Charter and send it back to the international," which motion carried without dissent. Also as recorded in the minutes, Alsup "asked the body to be more of a brotherly origination [sic] when we get a new charter." 5 Alsup credibly testified that he returned the charter promptly after the Local had voted to do so. Under date of October 16, 1961, the general secretary of the International wrote Alsup, advising that "the General Executive Board decided to concur in the request incorporated in correspondence dated October 10, 1961, which reflects that at the regular meeeting of the membership of Local Union No. 600 held October 9, 1961, a unanimous vote was recorded to request the General Execu- tive Board . . . to revoke the charter" of Local 600. The lettter further advised Alsup that the revocation was effective immediately, and that "all members of former Local Union No. 600 should be advised of this action and instructed to trans- fer their membership into another local union affiliated with this International Association." As stated above, Local 600 regularly met on the second Monday of the month; August 14 and September 11, as well as October 9, 1961, were the second Monday in each month. There is no suggestion that the minutes for September 11 related to a meeting held on some other day, and it seems most unlikely that that meeting would have been held 2 days after the "last" meeting, if the correctness of the date September 9 appearing in the minutes of the last meeting be accepted. Moreover, if the "last" meeting occurred on September 9, it would mean that although Alsup returned the charter promptly the International failed to act thereon for a month or (as suggested in some questioning of Alsup) the letter of October 16 should have referred to September 9 and 10 rather than October 9 and 10 as the dates of the last meeting and the correspondence accompanying the return of the charter. I find that Local 600 met on October 9, 1961, and voted to return its charter, and that on October 16 the International revoked the charter effective as of that date. A few days before Alsup filed the petition in bankruptcy on October 2, he and other officers and members of Local 600 initiated steps to obtain from the Inter- national a charter for a new local A petition therefor, dated September 28, was prepared by Alsup and signatures were solicited from officers and members of Local 600 by Sam Williams, president of the Local, and others. The application expressed a desire "to maintain a Local Union in the Mobile area which would give us the same jurisdiction which the former Local would have policed," and thus requested that the new charter "be issued for the City of Mobile," but if that were not possible that it "be issued for the City of Prichard, Alabama which in turn would give the same jurisdiction as exists at the present time." Prichard is a municipality contiguous to Mobile. Among the persons signing the petition were Alsup and the following other officers of Local 600: Sam Williams, president V. A. Dixon, vice president W. A Bailey, member, executive committee C. W. Dove, member, board of trustees R. L. Gartman, sergeant-at-arms The request for a new charter was granted by the International general executive board on October 16, the same date as that body acted to revoke the charter of Local 600 In a letter of that date to Sam Williams, the general secretary of the International stated that "in view of the General Executive Board action in revoking the charter of former Local Union No. 600, Mobile, Alabama, the General Executive Board unanimously decided to concur in the request" set forth in the petition dated September 28 for a charter "and issue the charter which will create Local Union No. 798-this charter to be located in the city of Prichard, Alabama." The letter pro- 5Alsup testified that the above quotation from the minutes was "not a correct word- ing" of what he said, and stated that he "said if and when the International sees fit to issue another charter, I would ask all the brothers to get together, try to support it, and not be torn apart and have personal grudges and grievances and so on, and try to be an orderly organization." INT'L ASSN. OF BRIDGE, ETC., LOCAL 6 0 0 & LOCAL 7 9 8 1055 ceeded to fix the territorial jurisdiction of Local 798 in terms which corresponded very closely to the geographical area over which Local 600 had had jurisdiction.6 In a separate communication to Williams, also dated October 16, the International's general secretary directed Williams to install the charter of Local 798 on October 20. Temporary officers were designated by the International, including Williams as president, Dixon as vice president, and Alsup as financial secretary-treasurer and business agent-the same offices they had held with Local 600. Indeed, with only minor exceptions, those who had last held office in Local 600 were appointed to the same temporary offices by the International and later in November were nominated by the charter members (consisting of themselves, primarily) and elected by the membership. Also in the letter of October 16 to Williams the International directed that, after the installation of Local 798's charter, "steps should be taken immediately to revise bargaining agreements formerly in effect between the Mobile Associated General Contractors and former Local Union No. 600 so that such agreements shall cover members of Local Union No. 798." The charter and officers of Local 798, as directed by the International, were in- stalled on October 20, 1961. The following day 14 of the 16 charter members met and adopted bylaws and two resolutions providing that journeymen dues should be $10 per month and the working assessment $3 per month, as compared to $7 and $2, respectively, in Local 600. The International approved these actions by letters dated October 24. On the same date, the International wrote Business Agent Alsup that the general executive board had determined that "former members of Local Union No. 600... be permitted to maintain their continuous good standing in the Inter- national Association with respect to their employment opportunities, welfare benefits, pension and death benefits by paying all of their arrearages directly to the Inter- national Association by making such payments to Local Union No. 798 . . and that upon making such payments to Local Union No. 798 . . . said Local Union insert all necessary stamps in such members' books retroactive to the respective date when such payments should have been made, with the same force and effect as though such payments had been made on the dates when they were due." These instructions, Alsup testified, were followed. Dues in the amount of $7 per month, owing to Local 600 for months up to and including September, were collected by Local 798 as a condition of transfer, and Local 798 stamps were furnished the members; those who had paid dues to Local 600 for any month later than September were charged the difference of $3 per month beginning with October and given credit for any $7 monthly payments made for that or succeeding months. No transfer fees were required of Local 600 members transferring to Local 798. As of September 30, 1961, Local 600 had 410 members, according to its concluding financial report furnished to the International; all but approximately 100 of them transferred to Local 798. There was no transfer of assets or property from Local 600 to Local 798. Such funds as Local 600 had, as well as other property consisting of office furniture and fixtures and two automobiles, were turned over to the trustee in bankruptcy. The operation and administration of the collective-bargaining agreement to which Local 600 was a party, through the Mobile Building and Construction Trades Coun- cil, and which was applicable to contractor-members of the Associated General Contractors in the Mobile area, were not affected or interrupted by the dissolution of Local 600 and the formation of Local 798.7 Williams, the president of Local 600 and later president of Local 798, who also was assistant business agent of the locals, continued, during the period following the bankruptcy of Local 600 and the sur- render of its charter, to make job referrals to contractors and to police and enforce the working agreement. As of January 1, 1962, Local 798 became a member of the Trades Council and was officially recognized and added as a party to the Associ- ated General Contractors-Trades Council agreement, in place of Local 600. How- ever, prior to Local 798 becoming a formal party to this agreement, it is clear that the terms thereof continued to be applied with respect to ironworkers employed by contractors in the Mobile area under the jurisdiction of Local 798. Thus Wil- e The jurisdiction of Local 798 was fixed on a county basis, whereas that of Local 600 had been established on a "straight line" basis whereby the dividing line between it and a neighboring local was set at a point midway between the two. Despite this variation in drawing boundaries, it seems plain that the area covered by each was substantially the same. By letter of October 24, 1961, the International removed Harrison County, Mississippi, from Local 798's jurisdiction, but directed that current contracts of Local 798 covering work in that county were to be respected. 7 This agreement provides that it is effective from July 1, 1961, to June 30, 1963. 1056 DECISIONS OF NATIONAL LABOR RELATIONS BOARD liams testified before the referee in bankruptcy , on December 4, 1961 ,8 that at that time contractors were making payments into the welfare plan as required by the contract, and that from his regular checking of jobs with respect to contract ob- servance he knew of no provisions that were not being observed by the contractors party thereto. C. Conclusions and recommendations To summarize the facts found above, the following sequence of events are estab- lished by the record : ( 1) Local 600, finding itself in financial difficulty and handi- capped in its operations because of an outstanding judgment and the attachment of its assets, decided to file a petition in bankruptcy and return its charter. The petition was filed on October 2, 1961, and the charter returned to the International on October 10 pursuant to the action taken at the October 9 meeting of the member- ship. (2) In the meantime, a movement was underway to obtain a new charter, in which the two principal officers of Local 600, Business Agent and Financial Secretary-Treasurer Alsup and President Williams, played leading roles. (3) By action of the International on October 16, the charter of Local 600 was revoked and a new charter issued to Local 798, with territorial jurisdiction substantially the same as that of Local 600. (4 ) Except for two or possibly three offices of a minor character, officers of Local 600 were appointed to the same offices in Local 798 that they had held in Local 600, and shortly thereafter they were elected to these offices, having been nominated by themselves as the charter and only members of Local 798. (5) Approximately 75 percent of the members of Local 600 transferred to Local 798. No transfer fees were required of Local 600 members , but as a condi- tion of transfer they were required to pay any arrearages owing to Local 600. Members who had made advance dues payment to Local 600 were given credit there- for by Local 798. (6) There was no break or interruption in the continuity of collective-bargaining relationships during the brief period involved in effecting the dissolution of Local 600 and the formation of Local 798 . The contractual provisions continued to be enforced by Local 600 officers and observed by employers, and after its formation Local 798 became a party to the Associated General Contractors-Trades Council agreement in the place of Local 600. In the light of these facts , I am persuaded that Local 798 is the thinly disguised continuance and alter ego of Local 600, and I so find. What emerged from the sequence of events set forth above was not a new and distinct organization, un- related to the old , but the same entity with a different name or number. No implication is intended that Local 600 was placed in bankruptcy, its charter surrendered, and Local 798 established , in an attempt to evade any obligations under the Act. At the time of the events under consideration the question of whether Local 600 had violated the Act was pending before the Board on exceptions to the Intermediate Report of the Trial Examiner, who had recommended that the complaint against Local 600 be dismissed in its entirety . It was not until Novem- ber 16, 1961 , about a month after Local 798 was chartered, that the Board, reversing the Trial Examiner, found that Local 600 had violated the Act and ordered it and its "successors and assigns" to remedy the unfair labor practices found. While it is of course possible that there may have existed on the part of Local 600 or some of its officers a purpose to evade or avoid any future Board Order against the Local, there is no evidence to warrant such a finding. It seems more reasonable to infer that the motivating considerations in effecting the changes that were made were to obtain relief from the outstanding judgment and to continue operating as a local of the International, in the same general geographical area, free of the past financial obligations and unfettered by related proceedings handicapping day-to-day operations. Whatever the purpose sought to be accomplished, the result is that Local 798 is essentially the same entity as Local 600 , whether it be termed a disguised continuance or an alter ego. Since Local 798 is but the alter ego or slightly reorganized continuation of Local 600, it necessarily follows that Local 798 is responsible for remedying the unfair labor practices found to have been committed . See Venetian Blind Workers' Union Local 2565 (Ambassador Venetian Blind Company), 110 NLRB 780; A. Custen, Inc., 122 NLRB 1242. Here the basic identity between Local 600 and Local 798 has not been destroyed and, therefore, cases holding that under certain circumstances bona fide successors or purchasers are not responsible for remedying the unfair labor practices committed by their predecessors (e.g., N.L.R.B. v. Birdsall-Stockdale Motor Co., 208 F. 2d 234 (C.A. 10) and Symns Grocer Co., 109 NLRB 346) are inapplicable. s Excerpts from Williams ' testimony before the referee were received in evidence as an exhibit herein , pursuant to stipulation. ONTARIO FOODS, INC. 1057 Accordingly, I find that Local 798 is properly chargeable with remedying the unfair labor practices here involved. As stated above (footnote 3, supra) the parties stipulated to the correctness of the matters set forth in the backpay specification . Pursuant thereto, I find that the indi- viduals named below are entitled, in accordance with the terms of the Board's Decision and Order of November 16, 1961, to the amounts set opposite their names and that it is the obligation of Local 798 , ,as the alter ego of Local 600, to reimburse these individuals in the amounts indicated. Name : Amount Rufus Richardson--------------------------------------- $783.75 Archie O. Dixon--- ------------------------------------ 881.14 Narvel Brewer----------------------------------------- 1,041.75 J. C. Brewer------------------------------------------- 1,041.75 Don Prentiss------------------------------------------- 1,512.69 DeWitt Prentiss----------------------------------------- 1,390.35 Jessie Lovelace----------------------------------------- 146.25 George C. West---------------------------------------- 83.25 Morris Lovelace ---------------------------------------- 48.00 V. Lee Perry------------------------------------------- 60.25 Edward M . Elliot--------------- ------------------------ 9 83.25 It is recommended that the Board adopt the foregoing findings and conclusions and order the Respondent, Local 798, to pay the individuals listed above the amounts set opposite their names. g The summary in the backpay specification shows $83.29 as due Elliot ; however, the correct total is as shown above. Ontario Foods, Inc. and Amalgamated Meatcutters and Butcher Workmen of North America, AFL-CIO, Local No. 7. Case No. 9-CA-92770. October 14, 1963 DECISION AND ORDER On July 15, 1963, Trial Examiner Thomas A. Ricci issued his Intermediate Report in the above-entitled proceeding, finding that 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 attached Intermediate Report. He further found that the Respondent had not engaged in certain other unfair labor practices alleged in the complaint and recommended dismissal as to them. Thereafter, the General Counsel and the Respondent filed exceptions to the Intermediate Report and supporting briefs. Pursuant to the provisions of Section 3 (b) of the National Labor Relations Act, the Board has delegated its powers in connection with this case to a three-member panel [Chairman McCulloch and Members Leedom and Brown]. 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 144 NLRB No. 102.