VII. LITIGATION 91sustaining a regional director's refusal to issue a complaint. TheBoard's motion to dismiss was pending at the close of the year. 21 Twoother suits have been filed during this period to "review" or "stay"intermediate orders of the Board in unfair labor practice cases 22 andtwo attempts were made to enjoin unfair labor practice hearings.23The Board has been granted an order to restrain an employer fromprosecuting suits in a State court against employees for rental ofemployer-owned houses occupied by them after their discharge.24The injunction was issued by the circuit court in aid of its priordecree under section 10 (d) of the Act enforcing the Board's orderrequiring reinstatement of employees with back pay (110 F. (2d) 501enforcing 12 N. L. R. B. 136), and was continued until compliance bthe employer with the circuit court's enforcing decree was obtained.As a condition of the stay of decree pending application for certiorari,which was denied on May 6, 1940, the employer was required to postbond to secure back pay. A petition for adjudication of contempt isnow pending in the circuit court.25D. PRINCIPLES ESTABLISHEDAs in preceding years the procedural and substantive principlesestablished in the increasing volume of litigation arising under theAct have been so numerous that only the most important ones are setforth below.UNFAIR <strong>LAB</strong>OR PRACTICES—SECTION 8 (1)During the year the courts have passed upon a great number ofviolations of section 8 (1) of the Act, which prohibits interference,restraint or coercion with the exercise by employees of the rightsguaranteed them in section 7 of the Act. Of the multitude of issuesraised the following are the most significant :Section 8 (1) is also violated where unfair labor practices underother sections of the act are found.—It has long been the Board'sview, in accord with the Congressional intent, 25 that the prohibitionsof section 8 (1) are general and embrace all the unfair labor practicesdefined in the remaining subsections of section 8. This view has beengenerally accepted by the courts with respect to violations of section8 (2) , (3) and (4). 27 Thus, encouragement of a company-dominatedunion in violation of section 8 (2) clearly operates to discourage membershipin a competing outside union and hence interferes with the21 1n the Matter of Acme Semi-Anthracite Coal Company and Progressive Mine Workers ofAmerica, International Union, XVI–C-451, motion to dismiss granted Oct. 22, 1940.23 Ex Lax, Inc. V. N. L. R. B ., denied Feb. 28, 1940 (C. C. A. 2) ; Wilson cf Co. V. N. L.R. B., dismissed July 16, 1940 (C. C. A. 3)."Remington-Rand, Inc. v. N. L. R. B., denied Oct. 6, 1939 (C. C. A. 2) ; Sanco Piece DyeWorks Inc. v. Herrick (S. D. N. Y.), dismissed, 33 F. Supp. 80; application for stay Pendingappeal denied Apr. 17, 1940 (C. C. A. 2).N. L. R. B. v. The Good Coal Co., Apr 12, 1940 (C. C. A. 6)." See contempt proceedings, pp. 88, 120.20 Senate Rept. No. 573, 74th Cong., 1st Sess., p. 9; House Rept. No. 1147, 74th Cong., 1stSess., pp. 15, 17.2, Union Drawn Steel Co. v. N. L. R. B 109 F. (2d) 587 (C. C. A. 3) ; N. L. R. B. v.H. B. Fletcher Co., 108 F. (2d) 459 certiorari denied, 309 II. S. 678: Titan Metal Mfg. Co.v. N. L. R. B. 106 F. (2d) 254 (C. C. A. 3), certiorari denied, 308 U. S. 615; see also,N. L. R. B. V. Remington Rand, Inc.. 94 F. (2d) 862 (C. C. A. 2). certiorari denied 304U. S. 576' N. L R. B. v. Stackpole Carbon CO 105 F. (2d) 167 (C. C. A. 3), certioraridenied 308 II. S. 605; N. L. R. B. v. Willard, inc.. I 98 F. (2d) 244 (App. D. C.), decidedduring the previous fiscal years.275987-41----7
92 FIFTH ANNUAL REPORT OF <strong>NATIONAL</strong> <strong>LAB</strong>OR <strong>RELATIONS</strong> <strong>BOARD</strong>right of self-organization in violation of section 8 (1) • 28 By the sametoken, free self-organization is interfered with and restrained bydiscriminatory treatment of union members violative of section 8 (3) ,26and by a refusal to bargain with the designated representatives ofemployees in violation of section 8 (5). 30 To illustrate, a refusal tobargain is not uncommonly followed by a falling away of the union'smajority 31 and it frequently constitutes part of the means employedto establish a company-dominated union."Antiunion statements.—During the past year, several forms ofantiunion statements have been held violative of section 8 (1).Among these we may note statements suggesting or soliciting renunciationof the right to bargain collectively ; 33 expressing a preferencefor inside as against outside unions 84 or for individual bargaininginstead of collective bargaining; 35 open or veiled threats of discriminationagainst union members ; 36 and denunciations of a unionor its leaders, such as statements that the union is injurious to businessand its leaders are "reds" and racketeers. 37 A particularlycommon technique to prevent free self-organization is the use ofspecially prepared statements purporting to explain the Act, but sophrased as to make clear the employer's opposition to legitimate ornationally affiliated unions, or so as plainly to imply that the Act24 N. L. ft. B. V. Torrea Packing Co., 111 F. (26) 626 (C. C. A. 9), certiorari denied, 61S. Ct. 28. Cf. Titan Metal Mfg. Co. v. N. L. R. B., 106 F. (26) 254 (C. C. A. 3), certioraridenied, 308 U. S. 615; Continental Oil Co. V. N. L. R. B., 113 F. (2d) 478 (C. C. A. 10),certiorari granted as to another issue, 61 S. Ct. 72' N. L. R. B. v. Falk Corp., 308 U. S. 453;N. L. R. B. v. Newp ort News Shipbuilding ,C Dry Dock Co.. 308 U. S. 241.79 Continental Oil Co. v. N. L. R. B., 113 F. (2d) 473 (C. C. A. 10), certiorari granted,61 S. Ct. 72.N. L. R. B .V. Griswold Mfg. Co., 106 F. (26) 713 (C. C. A. 3) ; N. L. R. B. V. PiquaMunising Wood Products Co., 109 F. (2d) 552 (C. C. A. 6) ; Art Metal Construction Co. V.N. L. it. B. 110 F. (26) 148 (C. C. A. 2), overruling N. L. It. B. v. Remington Rand, Inc.,94 F. (26) 862 (C. C. A. 2), certiorari denied. 304 U. S. 576.• N. L. R B. v. Highland Park Mfg. Co., 110 F. (2d) 632 (C. C. A. 4) ; M. H. RitzwollerCo. V. N. L. R. B., 114 F. (26) 432 (C. C. A. 7).32 <strong>National</strong> Licorice Co. V. N. L. R. B., 309 U. S. 350; American Mfg. Co. V. N. L. R. B.,309 U. S. 629: N. L. R. B. V. Somerset Shoe 111 F. (2d) 681 (C. C. A. 1).ea N. L. R. B. V. Somerset Shoe Co., 111 F. Co. ) 681 (C. C. A. 1) ; <strong>National</strong> Licorice Co.v. N. L. R. B., 309 U. S. 350; American Mfg. Co. o V. N. L. R. B., 309 U. S. 629, affirming asmodified, 106 F. (26) 61 (C. C. A. 2).34 1b16.35 <strong>National</strong> Licorice Co. v. N. L. R. B., 309 U. S. 350; American Mfg. Co. v. N. L. R. B..309 U. S. 629 (C. C. A. 2) ; Southern Colorado Power Co. v. N. L. R. B., 111 F. (26) 539(C. C. A. 10) ; N. L. R. B. v. Sunshine Mining Co., 110 F. (2d) 780, certiorari denied January13. 1941.• Botany Worsted Mills V. N. L. R. B., 106 F. (26) 263 (C. C. A. 3); Guppies Co. ManufacturersV. N. L. R. B., 106 F. (2d) 100 (C. C. A. 8) ; N. L. R. B. v. Boss Mfg. Co., 107 F.(26) 574 (C. C. A. 7) ; N. L. R. B. v. Planters Mfg. Co., 105 F. (2d) 750 (C. C. A. 4) ;Republic Steel Corp. v. N. L. R. B., 107 F. (26) 472 (C. C. A. 3), certiorari denied. 309U. S. 684, upon rehearing Board order modified as to one issue only, 311 II. S. 7; SouthernColorado Power Co. V. N. L. R. B., 111 F. (26) 539 (C. C. A. 10) ; Titan Metal Mfg. Co. V.N. L. R. B., 106 F. (2d) 254 (C. C. A. 3), certiorari denied. 308 U. S. 615; InternationalAss'n of Machinists V. N. L. R. B., 110 F. (26) 29 (App. D. C.), affirmed 311 U. S. 72;N. L. R. B. v. Lane Cotton Mills, 111 F. (2d) 814 (C. C. A. 5), certiorari dismissed Decem-7) ; North Whittier Heights Citrus Áss'n V. N. L. R. B., 109 F. (26) (C. C. A. 9). certiorariber 9, 1940. Cf. Fort Wayne Corrugated Paper Co. V. N. L. R. B. 111 F. (2d) 869 (C. C. A.denied, 310 U. S. 632, rehearing denied, 61 S. Ct. 54.31 International Ass'n of Machinists v. N. L. R. B., 110 F. (26) 29 (App. D. C.), affirmed,311 U. S. 72; Titan Metal Mfg. Co. v. N. L. R. B. 106 F. (26) 254 (C. C. A. 3), certioraridenied, 308 U. S. 615; Montgomery Ward & CO. V. N. L. R. B., 107 F. (261 555 (C. C. A. 7) ;North Whittier Heights Citrus Ass'n V. N. L. R. B., 109 F. (26) 76 (C. C. A. 9), certioraridenied, 310 U. S. 632. rehearing denied. 61 S. Ct. 54; Republic Steel Corp. v. N. L. R. B..107 F. (26) 472 (C. C. A. 3), certiorari denied, 309 U. S. 684, upon rehearing. Board ordermodified as to one issue only, 311 U. S. 7; N. L. R. B. v. Planters Mfg. Co., 105 F. (2d) 750(C. C. A. 4) ; American Mfg. Co. V N. L. R. B., 309 U. 5 629; McNeely ct Price CO. V.N. L. R. B., 106 F. (26) 878 (C. C. A. 3) ; N. L. R. B. V. Griswold Mfg. Co., 106 F. (26)713 (C. C. A. 3) ; N. L. R. B. v. Boss Mfg. Co., 107 F. (26) 574 (C. C. A. 7) ; N. L. R. B.v. Good Coal Co., 110 F. (26) 501 (C. C. A. 6); certiorari denied, 310 U. S 630; N. L. R. B.v. Sunshine Mining Co., 110 F. (2d) 780 (C. C. A. 9), certriorari denied January 13, 1941;N. L. R. B. v. Lane Cotton Mills, 111 F. (2d) 814 (C. C. A. 5), certiorari dismissed December9, 1940; Humble Oil ,C Refining Co. V. N. L: R. B., 113 F. (26) 85 (C. C. A. 5) ; UnionDrawn Steel Co. v. N. L. R. B., 109 F. (26) 587 (C. C. A. 3).