Nu Image, Inc. v. International Alliance of Theatrical Stage Employees

The Ninth Circuit affirmed the district court's dismissal for lack of subject matter jurisdiction an action brought under the Labor Management Relations Act (LMRA), alleging that a union engaged in intentional and negligent misrepresentation to induce it to enter into a collective bargaining agreement. The panel held that section 301(a) of the LMRA grants jurisdiction only for suits that claim a violation of a collective bargaining agreement (CBA), which the employer in this case, Nu Image, did not do. The panel concluded that the holding in Rozay's Transfer v. Local Freight Drivers, Local 208, Int'l Bhd. of Teamsters, Chauffeurs, Warehousemen & Helpers of Am., 850 F.2d 1321 (9th Cir. 1988), that an employer can sue under section 301(a) for declaratory relief to void a provision of a CBA without alleging a contract violation, could not stand following Textron Lycoming Reciprocating Engine Div., Avco Corp. v. United Auto., Aerospace, & Agric. Implement Workers of Am., 523 U.S. 653 (1998). View "Nu Image, Inc. v. International Alliance of Theatrical Stage Employees" on Justia Law