Local 86, Brothd of PaintersDownload PDFNational Labor Relations Board - Board DecisionsMar 17, 1975216 N.L.R.B. 1127 (N.L.R.B. 1975) Copy Citation LOCAL 86, BROTHD. OF PAINTERS Local 86, Brotherhood of Painters, Decorators and Paper Hangers of America, AFL-CIO and Carpet Control, Inc. Case 28-CP-123 March 17, 1975 SUPPLEMENTAL DECISION AND ORDER BY MEMBERS FANNING, KENNEDY, AND PENELLO On September 10, 1974, Administrative Law Judge James T. Barker issued the attached Supplemental Decision in this proceeding . On March 28 , 1974, the Board remanded the case to the Administrative Law Judge for further hearing (209 NLRB 891). There- after, the Respondent filed exceptions and a support- ing brief, and the Charging Party filed a brief in answer thereto. Pursuant to the provisions of Section 3(b) of the National Labor Relations Act, as amended, the National Labor Relations Board has delegated its authority in this proceeding to a three-member panel. The Board has considered the record and the attached Decision in light of the exceptions and briefs and has decided to affirm the rulings, findings, and conclusions of the Administrative Law Judge and to adopt his recommended Order. As more fully explained by the Administrative Law Judge, Respondent and the Company agreed to the terms of an 8(f) agreement with which the Respon- dent later became dissatisfied . In an effort to extricate itself from this agreement , Respondent picketed the Company, not, of course, to protest a supposed breach of their agreement as our dissenting colleague believes, but to force company acceptance of new contract terms . This was tantamount to a repudiation by Respondent of the existing 8(f) agreement and compelling renewed recognition of it by the Company under a new agreement with different terms. Respondent's picketing therefore having a recogni- tional object within the meaning of Section 8(b)(7)(C), the expedited election which Respondent lost was properly directed , and Respondent's contin- ued picketing thereafter violated Section 8(b)(7)(B) of the Act, all as found by the Administrative Law Judge. I Chicago Printing Pressmen 's Union No. 3, and Franklin Union No. 4, International Printing Pressmen & Assistants Union of North America, AFL- CIO (Moore Laminating , Inc.), 137 NLRB 729 (1962); International Typographical Union and Dayton Typographical Union No. 57 [The Greenfield Printing and Publishing Co.] v. N.LRB., 326 F.2d 634 (C.A.D.C., 1966), which includes a comprehensive summary of the relevant legislative history; Bay Counties District Council of Carpenters AFL-CIO (Wilber F. Disney, d/b/a Disney Roofing and Material Company), 154 NLRB 1598, 1605 ( 1965); 216 NLRB No. 190 ORDER 1127 Pursuant to Section 10(c) of the National Labor Relations Act, as amended, the National Labor Relations Board adopts as its Order the recommend- ed Order of the Administrative Law Judge and hereby orders that Respondent , Local 86, Brother- hood of Painters , Decorators and Paper Hangers of America , AFL-CIO, Phoenix, Arizona , its officers, agents, and representatives, shall take the action set forth in said recommended Order. MEMBER FANNING, dissenting: The majority here affirms the Administrative Law Judge who found that Respondent's preelection picketing was for a proscribed organizational or recognitional object and would have been violative of Section 8(b)(7)(C) had the picketing continued for more than 30 days without the filing of a petition under Section 9 of the Act. The Administrative Law Judge further found that Respondent violated Section 8(b)(7)(B), the subject of these proceedings, by picketing after June 28 when the Regional Director certified the results of an expedited election conducted June 20. I disagree. At the outset it is now well established that the sole congressional purpose in enacting Section 8(b)(7)(C) was to settle wherever possible, by means of an expedited election, problems resulting from initial recognition and organizational picketing.' Converse- ly, Section 8(b)(7)(C) was not intended to reach picketing by a recognized union to secure some object other than recognition or organization, such as, for example, picketing to secure compliance with an existing contract .2 As found by the Administrative Law Judge in 1973, the Company, Carpet Control, Inc., voluntarily recognized and executed a written collective-bargain- ing agreement with Respondent. The Company was of the view that the terms of its collective-bargaining agreement with Respondent were as set forth in the written contract with the exception of the terms therein set forth concerning a wage increase effective May 1, 1973, and concerning the Company's obliga- tion to make trust fund contributions on behalf of its employees. With respect to these exceptions the Company was of the view that the May 1, 1973, wage increase was not to take effect for its employees until September 1, 1973, and that it was under no obligation to make contributions to the trust fund, Building and Construction Trades Council of Santa Barbara County, AFL- CIO, et al. (Sullivan Electric Company), 146 NLRB 1086, 1087 (1964). 2 Waiters & Bartenders Local 500, Cooks & Waitresses Local 402, et al. (Mission Valley Inn), 140 NLRB 433 , 437 (1963); Building & Construction Trades Council of Santa Barbara County, AFL-CIO, et al. (Sullivan Electric Company), supra, Bay Counties District Council of Carpenters, 154 NLRB 1598, 1605 , supra. 1128 DECISIONS OF NATIONAL LABOR RELATIONS BOARD unless and until its employees became members of the Union. The Company's view with respect to the May I wage increase and trust fund contributions was based on the oral representations to the effect made by Respondent' s Business Manager Kleiner, both before and after the Company executed the written contract. The Respondent, on the other hand, was of the view that the terms of its collective-bargaining agreement with the Company were solely as set forth in the written contract. Thus Respondent took the position that Kleiner was mistaken in telling the Company that the May 1 wage increase need not be paid until September 1, and that the Company need not make trust fund contributions on behalf of its employees unless and until the Company's employ- ees became members of Respondent . In sum, Respondent took the position that Kleiner's oral representations were without legal effect. Based on its review of the contract, the Company declined to pay the May 1 wage increase on May 1, and declined to make contributions to the trust fund despite the Respondent's insistence that it do so. Thus, because of the parties' conflicting views as to just what their agreement was and, therefore, what the Company's obligations thereunder were with respect to these matters, the parties were confronted with a contractual dispute in the most fundamental sense ; fundamental inasmuch as the heart of the dispute concerned not, for example, differing inter- pretations of mutually recognized contractual provi- sions, but rather concerned the very basic issue of whether or not the agreement contained provisions for a wage increase effective May 1 and for employer trust fund contributions on behalf of nonunion employees. Moreover, the parties' contractual dis- pute had ramifications beyond the immediate con- cern of the parties themselves. Thus the written contract executed by the Company was the same contract executed by other floor covering employers, which contract contained inter alia a "most favored nations" clause. Accordingly, several of these other employers took the position in effect that by operation of the "most favored nations" clause, they, like the Company, were not required to pay the May I wage increase on May 1. When they effectuated this position by failing to pay the May 1 wage increase , the Respondent struck these employers. Thereafter, in an action brought by the employers a temporary restraining order was issued against the Respondent, which shortly thereafter was quashed. Relying on these ramifications with respect to the other floor covering employers, the Administrative Law Judge concluded that the object of the picketing 3 Art. V: General Regulations provides in pertinent part: "A. The Union agrees that if it grants to any employer terms or conditions which are more was not to protest any breach of contract by the Company, because its object as found by the Administrative Law Judge was "to extract itself from an untenable position vis-a-vis a disconsolate employ- er group ...." In my view, the Administrative Law Judge's finding and conclusion in this regard begs the issue and is clearly erroneous, for a finding that an object of Respondent's picketing was to extract itself from the situation it found itself in vis-a-vis the other floor covering employers not only does not establish that the picketing was not to protest a breach of contract, but rather serves to bolster the conclusion that the object of the picketing was to protest a breach of contract. Thus, the situation Respondent found itself in vis-a-vis the other floor covering employers clearly resulted from the conse- quences which flowed from the "most favored nations" 3 clause in their and the Company's con- tract. If the Respondent had, as contended by the Company, entered into an agreement with the Company whereby it, contrary to the other floor covering employers, did not have to pay the May 1 increase until September 1, then by virtue of the operations of the "most favored nations" clause the other floor covering employers could likewise delay the May 1 wage increase. But the picketing here challenged the Company's assertion that it had such an agreement with Respondent and sought to get Respondent to comply with the written terms of the contract to which the other floor covering employers were bound. Stated otherwise, if Respondent's picketing were successful and the Company thereby came around to the Respondent's view as to what constituted the agreement, the other floor covering employers would have no basis upon which they could colorably delay the May 1 wage increase. The Administrative Law Judge also found that, by picketing, Respondent repudiated its collective-bar- gaining agreement with the Company and thereafter concluded that "the only avenue of relief open to the company was capitulation, tantamount to renewed recognition of the Respondent." I would find the Administrative Law Judge's findings and conclusions in this regard erroneous. Essential to his finding that Respondent repudiated its contract with the Compa- ny is his determination that Respondent's view of what it believed to be the binding contract provisions was without legal merit, and, conversely, that the Company's view of the contract was legally correct. In the first place, in my view the issue of whether Respondent's or the Company's view of the contract was legally correct is beside the point. Whether or favorable than those contained herein, all employers party hereto shall be granted the same more favorable conditions ...." LOCAL 86, BROTHD. OF PAINTERS 1129 not the Company was in fact in breach of its contract , as Respondent believed it to be , is irrele- vant,4 for assuming arguendo that the Company was not in fact in breach of its contract, the establishment of this fact would not supply affirmative evidence that picketing for what Respondent believed mistak- enly to be breach of contract was actually for a proscribed recognitional object.5 Secondly, as is readily apparent, any determination as to what constituted the legally enforceable contractual terms between the parties necessarily required considera- tion of and application of the parole evidence rule, a rule to which the Administrative Law Judge at no time makes any reference . Inasmuch, however, as the parole evidence rule is a matter of law, absent some judicial determination that the contract was as the Company viewed it to be and that therefore the Company had not breached the contract, Respon- dent was free to take a contrary view of the contract, a view which I submit was not unreasonable.6 This brings us in turn to a consideration of the Administrative Law Judge's finding to the effect that Respondent 's resort to self-help picketing in lieu of arbitration or instituting a lawsuit for breach of contract seeking money damages on specific per- formance, coupled with Respondent's failure to explain why it did not take such action, bolstered the conclusion that picketing here was not, as asserted, for breach of contract, but rather was in repudiation of the agreement of the parties and for the recogni- tional object of forcing the Company to enter into a new agreement . The Administrative Law Judge's reasoning appears to be that Respondent 's failure to institute a lawsuit warrants the inference that Respondent feared that its view of the contract would not bear up under judicial scrutiny. Further, from this inference he next apparently infers that Respondent's asserted picketing object, i.e., for breach of contract, was suspect, and finally, that the picketing, not being for the object asserted, was for a proscribed object. Quite apart from the inherent difficulties in relying upon these successive and dependent inferences to reach the conclusion reached by the Administrative Law Judge, it may be argued with equal persuasion that the Company was likewise fearful that its view of the contract would not bear up under judicial scrutiny, for, so far as can be determined from the record, nothing stood in the way of the Company bringing an action for declara- tory judgment under Section 301(a) of the Labor Management Relations Act, seeking to vindicate its view that its contract was as it purportedly saw it to be, and that, therefore it was not in breach of its contract.? Accordingly, I would not infer that Respondent's failure to institute a lawsuit was indicative of a fear that it would not prevail which in turn was indicative that it was not picketing for breach of contract, and was in turn indicative that the picketing was for recognition. Moreover, the availability to 'the Company of this declaratory judgment action belies the Administrative Law Judge's finding that the only avenue of relief open to the Company was capitulation to Respondent. And with respect to Respondent's failure to invoke arbitration, I note that the contracts appears to provide for an exception to the grievance-arbitration and no-strike provisions of the contract, where the Company is failing to comply with the wage increase or trust fund constitution provisions of the contract. Thus far I have found erroneous the findings, inferences, and conclusions of the Administrative Law Judge which led him to the determination that Respondent's preelection picketing was violative of Section 8(b)(7)(C). In my opinion however, the record affirmatively establishes that Respondent's picketing was for what it believed to be a breach of the contract by the Company, and not for recogni- tion or organization. Thus as heretofore noted, prior to Respondent's commencement of its picketing on May 29 there existed a fundamental contractual dispute. When the Company entered into a contract, whatever its specific terms with respect to the payment of a wage increase on May 1 and employer contributions to a trust fund on behalf of its employees, it, in legal effect, recognized the Respon- dent as the representative of its employees. Thus it 4 Building & Construction Trades Council of Santa Barbara County, AFL-CIO, eta!. (Sullivan Electric Company), supra at 1093. a Waiters & Bartenders Local 500, et al. (Mission Valley Inn), 140 NLRB 433 (1963). 6 See, e.g., Garment Workers, ILGWU, Local 509, Missouri-Kansas- Nebraska -Oklahoma District Council v . Annshire Garment Co , Inc., 65 LRRM 2769 (1967). r See, e.g., Black -Clawson Co., Inc., Paper Machine Division v Interna- tional Association of Machinists , Lodge 355, District 137, et al. , 313 F.2d 179 (C.A. 2, 1962), and Federal district court cases cited therein. 9 The contract provides at art. Xl: Strikes , Lock-Out and Picket Lines A. There shall be no lock-out by the Employers, no cessation of work by the Employees , except, however, the Union must take action in the following situations: 3. Where an Employer violates the pay provisions as to wage scales, as to the timely payment of wages, or by failure to pay fringe benefits herein contained. B. As to those violations described in I through 8 above, the Union may strike or picket the offending Employer and may also, or in the alternative, submit the matter to the grievance procedures herein established. 1130 DECISIONS OF NATIONAL LABOR RELATIONS BOARD cannot reasonably be said that Respondent's picket- ing was for recognition, because they already had it.9 Moreover, it is clear that the Company was insisting throughout the dispute on observance of the contract it had with Respondent. In the first hearing on this matter, the parties stipulated that "the only objective of the picketing [from its inception] was enforcing the terms and conditions of the 8(f) contract with Carpet Control in that it would require Carpet Control to make contributions to the funds on behalf of its non-union employees and that it would require the Company to institute the May 1 pay increase." Respondent's picket signs read "Breach of Contract." The Company for its part offered to prove that its position was that the contract did not require it to make contributions to the trust fund for nonunion employees. Further it appears that the Company at no time refused or withdrew recognition of Respondent. Indeed its RM petition which it filed to obtain an expedited election listed Respondent under "Recognized or Certified Bargaining Agent." 10 Accordingly, it appears clear that Respondent's picketing, stipulated to be for enforcement of the contract, cannot be considered picketing for recognition within the meaning of Section 8(7)(C) as the Company had not withdrawn recognition. In this connection, the Administrative Law Judge's reliance on R. J. Smith Construction Co., Inc., is misplaced.11 That decision held that an 8(f) contract does not itself give rise to a presumption of majority status, and that therefore the employer is free to abrogate the contract and withdraw recogni- tion if it has a reasonable basis for doubting the union's majority status, and unless the General Counsel can prove that the union in fact had majority status, no 8(a)(5) violation exists.12 It did not hold that the contract had no legal force or effect during the period the employer continued to observe its terms and conditions. Here the parties to the dispute had a dispute over the construction of their contract; the Respondent picketed to enforce its view. The Company resisted, maintaining that the contract did not require it to make the payments the Union was insisting upon. This is no different than picketing to enforce a particular view of a non-8(f) agreement insofar as determining the object of the picketing under Section 8(b)(7)(C).13 On the basis of the foregoing I conclude that Respondent's preelection picketing was not for a proscribed organizational or recognitional object and would not have been violative of Section 8(b)(7)(C) had the picketing continued for more than 30 days without the filing of a petition under Section 9 of the Act. Accordingly, since Section 8(b)(7)(B) cannot be violated without a previous valid election and since an election, such as here, which has been expedited is valid only if the picketing would have violated Section 8(b)(7)(C), I would dismiss the complaint herein in its entirety. 9 Building & Construction Trades Council of Santa Barbara County, AFL-CIO, et al (Sullivan Electric Company), supra at 1093 10 The Administrative Law Judge rejected as an exhibit a copy of the petition offered by Respondent He did so without explanation and despite the Company's statement that it had no objection to its introduction and the General Counsel's statement conceding its authenticity Though the General Counsel objected to the introduction of the exhibit on grounds of relevancy, it clearly is relevant Though the contract is not a bar to an election under Sec 9(c), such election could not be held without a hearing unless the union agreed to it, or unless conditions for an expedited election under Sec 8(b)(7)(C) were present As I find they were not, there has been no valid election, either under Sec 9(c) or Sec 8(b)(7)(C) and the predicate for the 8(b)(7XB) violation litigated herein is therefore missing ii 191 NLRB 693 (1971) (Member Fanning dissenting) 12 R J Smith was reversed on review, Operating Engineers Local 150 v. NL.RB,480F2d 1186(CA DC, 1973) 13 Compare Sullivan Electric Company, supra, which also involved a prehire contract and Mission Valley Inn, supra SUPPLEMENTAL DECISION STATEMENT OF THE CASE JAMES T. BARKER, Administrative Law Judge: This matter was initially heard before me at Phoenix, Arizona, on October 16, 1973.1 On November 23 a decision was issued by me finding that Respondent had engaged in conduct in violation of Section 8(b)(7)(B) of the National Labor Relations Act, as amended, hereinafter called the Act. Thereafter, on March 28, 1974, the National Labor Relations Board issued its Order Reopening Record and Remanding Proceeding to Regional Director.2 In its order the Board directed that a further hearing be held before me for the purpose of permitting Respondent to introduce evidence challenging the validity of the expedited election which, as fully set out in my November 23 decision, had been directed by the Regional Director of the National Labor Relations Board for Region 28 pursuant to a petition filed in Case 28-RM-301. After an evidentiary hearing at which all parties were accorded opportunity fully to participate, briefs were timely filed with me. Upon consideration of the briefs, and upon the entire record in this case, I make the following: FINDINGS OF FACT 1. THE ALLEGED UNFAIR LABOR PRACTICES A. The Issues The ultimate issue in this case is whether the Regional Director acted properly in directing an expedited election in Case 28-RM-301. This question turns on whether Respondent's preelection picketing would have violated Section 8(b)(7)(C) had it continued more than 30 days without the filing of a petition under Section 9(c) of the Act. 1 All dates refer to the calendar year 1973 unless otherwise specified 2 The Board's fully explicated order is reported at 209 NLRB 891. LOCAL 86, BROTHD. OF PAINTERS 1131 B. The Facts 1. The December contract discussions In December 1972, John Kleiner , Respondent's business manager and financial secretary, met in the office of Carpet Control with the Company's president, Ben Martinez, and the then vice president of Carpet Control, Jack Cook. Kleiner presented to Martinez and Cook for their consideration a copy of a union contract . During the course of the discussion which related to the agreement, it was pointed out to Kleiner by Martinez and Cook that the Company was under contract with Hallcraft Homes to provide carpet installation services at a housing project then under construction by Hallcraft. Martinez and Cook expressly noted that the contract rates were fixed through August 31, 1973. Additionally, the conferees discussed recruitment of the Company's employees into the Union and the company representatives raised the question of the disposition to be made of the funds specified by the union proposal to be paid into the trust funds, insofar as those payments would relate to employees who had not perfected membership in the Union . Kleiner informed Martinez and Cook that the Union had responsibility for recruiting the employees into membership and asserted that payments could be made directly to the employees until they had joined the Union.3 During that portion of the meeting relating to the Hallcraft service contract, the parties discussed the projected May 1, 1973 , increases in wages. Kleiner assured the Company that if an agreement was executed by the Company, payment of the increased scale could be postponed until after the August 31 expiration of the Hallcraft contract . Kleiner left the contract proposals with Martinez and Cook for their further study. 2. The contract executed Subsequently, in early 1973, Kleiner met again with Cook at Cook 's office . The terms of the proposed agreement were again discussed and Cook again received assurances from Kleiner that the projected May 1 wage increase could be deferred until after the termination of the Hallcraft service agreement , and that amounts equal to the required trust fund contributions could be made directly to the nonunion employees. After receiving those assurances, Cook affixed his signature to the agreement. Thereafter, Kleiner met separately with Martinez . In this conference, as in his conversation with Cook, Kleiner gave assurances that the wage increases could be deferred until September 1, and that no payments into the trust fund would have to be made for employees of the Company who had not signed with the Union . Kleiner again stated that the responsibility for signing employees into the Union resided with him. Thereupon, Martinez affixed his signa- ture to the agreement. 3. Subsequent dialogue concerning contributions and wages In due course , sometime in March , Martinez received reporting forms to be submitted to the trust fund. In late March, Martinez contacted Kleiner by telephone, inform- ing Kleiner that he had received the forms but noting that none of his employees had yet signed with the Union. Martinez reiterated his understanding that in the circum- stances he did not have to make contributions to the trust fund. Kleiner agreed and instructed Martinez to make an entry on the forms showing no contributions and to forward the forms. Martinez did so. Thereafter, some weeks later in April, Kletner met with Martinez at the offices of the Company. Kleiner noted that Martinez had received the forms but had not submitted any contributions to the trust fund. Kleiner asserted that he had been mistaken when he had informed Martinez that it was unnecessary for the Company to contribute to the fund for employees who had not joined the Union and that he had been informed by his attorney that it would be necessary for the Company to begin making contributions. This led to a discussion of the pending May 1 wage increase, and again on this score , Kleiner verified the validity of his earlier assurances to the effect that the increases would be deferred until September 1. In this regard Kleiner volunteered to make a notation to that effect on the pertinent copies of the wage supplement to the basic collective-bargaining agreement . On the wage supplement copy relating to the pre-May 1 wage scale, Kleiner made the following notation : "8-31-73 for Carpet Control." He affixed his signature. Similarly, on the copy of the supplemental wage scale to become effective May 1, he made the notation: "Effective 9-1-73 Expiration of contract for Carpet Control." Kleiner also affixed his signature to this notation. During the course of the meeting, Martinez asked Kleiner how he would explain to his employees that he was being required to make trust fund payments to the fund rather than directly to them . Kleiner suggested that Martinez attempt to arrange an employee meeting for the purpose of permitting Kleiner to explain the deductions and contributions. Martinez thereafter endeavored to arrange such a meeting but was unsuccessful . Martinez then contacted Kleiner by telephone informing Kleiner that he was going to challenge union counsel on the validity of his opinion that fringes must be paid on behalf of nonunion employees . Martinez attempted unsuccessful- ly to contact counsel for the Union by telephone. Following the meeting between Martinez and Kleiner, the Company submitted reporting forms in blank to the trust fund . No contributions accompanied the forms submitted. This procedure was followed for the months of April through September , inclusive. Martinez testified credibly that at no time during the April meeting did Kleiner state that he was seeking a legal opinion on the validity of any deferral of the May 1 wage increases and/or upon the validity of relieving the Company from the obligation of making trust fund 3 There is credible testimony to the effect that the Company's total compensation to its employees equaled union scale plus fringes . This was not convincingly refuted. 1132 DECISIONS OF NATIONAL LABOR RELATIONS BOARD payments for nonunion employees. Martinez further testified that no written memoranda or separate written amendatory documents were prepared by the parties reflecting the meeting of the minds relating to wage deferral and/or trust fund contributions. Carpet Control did not pay a May I wage increase to its employees,4 nor did it make any contributions on their behalf directly to the trust fund. 4. The picketing commences On or about May 25, Kleiner attended a special meetmg of the Floor-Covering Labor-Management Board. The topic of discussion at the meeting was the deferral which the Union had granted to the Company on the May I wage scale. Signatory employees who were present at the meeting "literally raked [Kleiner ] over the coals" because of the concession which the Union had apparently granted to Carpet Control. In substance, Kleiner assured the employers that he would receive legal advice concerning the propriety of the deferral. At the conclusion of the lengthy meeting, Kleiner consulted with legal counsel relating to the legal ramifica- tions of the deferral of the May 1 wage increase and the legal propriety under the collective -bargaining agreement of relieving the Carpet Control from the obligation of making trust fund contributions for nonunion employees. On May 25, Respondent's counsel issued a written opinion declaring that the Union could not legally defer for the benefit of the Company the scheduled May I wage increase; nor could it waive the submission of contribu- tions by the Company to the trust fund. The written opinion was mailed to the Company on May 25. It was received by the Company in the due course of the mails. Thereafter, on the morning of May 29, picketing commenced at the jobsite of Carpet Control. Later, during the evening of May 29, Kleiner attended a regularly scheduled labor-management meeting . Martinez was pres- ent, as were many employers signatory to the floor- covering agreement with the Union .5 At the meeting, the waiver granted Carpet Control in the matter of May 1 wages and trust fund contributions again became the topic of discussion . Several employers avowed that they were not 4 The foregoing is based primarily upon the credited testimony of Ben Martinez and Jack Cook . I credit the testimony of John Klemer only to the extent it is consistent with these findings. Initially, I find the testimony of Martinez and Cook concerning the earlier contract discussions more reliable than that of Kleiner in that it comports more completely with the probabilities attendant on the discussions, and is more fully consistent with subsequent events which emerged out of the discussions. Thus, in crediting Martinez and Cook, I find that the Hallcraft Service Contract was fully considered by the parties prior to the execution of the collective-bargaining agreement, and that Martinez fully aired the economic dilemma posed by the fixed terms of the Hallcraft contract , on the one hand, and the wage provisions of the union contract , on the other. I find, contrary to Klemer , that before either Martinez or Cook affixed their signatures to the collective-bargaining agreement , he, Klemer, on behalf of the Union, agreed to a September I deferral of the May I wage increase. I am unable to accept the implication of Klemer 's testimony to the effect that Martinez would enter into an agreement to pay escalating wages at a time when the income of the Company for the very services involved were fixed by the terms of a binding contract . I reject Klemer's testimony that not until April, after the Company had executed the collective-bargaining agreement, did Martinez discuss in detail the question of deferral. going to pay the May 1 wage increase . As an outgrowth of this meeting , in the days that followed, this threat was carried out by certain of the employers. As a consequence, the Union struck five of them. The resultant picketing against these five employers lasted approximately 4 days until a temporary injunction was issued. The picketing of Carpet Control continued and was conducted at the jobsite only when employees of Carpet Control were working at the jobsite with other crafts. During those times when Carpet Control employees worked on the project outside of normal working hours, no picketing transpired. Conclusions In agreement with the General Counsel, I conclude and find that Respondent's preelection picketing was organiza- tional or recognitional in nature and violated Section 8(b)(7XC) of the Act. I further find that the expedited election conducted in Case 28-RM-301 was a valid election and that the Regional Director acted properly and within his authority in certifying the results thereof. In light of these findings, it follows that Respondent's postelection picketing, conducted in face of the certification, violated Section 8(b)(7)(B) of the Act. Board precedent establishes that an 8(f) collective- bargaining agreement does not serve as the basis for a labor organization to claim representative status among the employees of an employer signatory to said agreement; nor does such an agreement give rise to an obligation on the part of an employer to engage in collective-bargaining.6 Moreover, picketing in the face of a preexisting collective- bargaining relationship, which picketing has as its avowed object the protesting of an alleged breach of a valid contract, will be carefully scrutinized by the Board for the purpose of determining whether or not the picketing was also for a proscribed object.? Finally, the Board has held that picketing to obtain an 8(f) agreement is violative of Section 8(bx7)(C) of the Act .8 In Noonan, in assessing the Respondent's object in picketing in the face of an existing bargaining relationship with the employer therein, the Board looked behind the union's avowed explanation of the true purposes of the picketing to examine the realities created by the picketing, in light of the then prevailing Similarly, contrary to Klemer , and in keeping with the testimony of Martinez and Cook, I find that a meeting of the minds between the company officials and Kleiner was achieved prior to the contract's execution that no direct payment of contributions need be made to the trust funds until and unless the Union successfully recruited employees of the Company. 5 Martinez was invited to the meeting on short notice. a K J Smith Construction Company, 191 NLRB 693, enforcement denied 408 F .2d 1186 ; Board decision on remand , 208 NLRB 615 (1974). 7 See Lawrence Typographical Union No. 570, affiliated with International Typographical Union (Kansas Color Press, Inc.), 158 NLRB 1332, 1337 (1966). Factually distinguishable is Building and Construction Trades Council of Santa Barbara County, AFL-CIO, et al. (Sullivan Electric Company), 146 NLRB 1086 (1954), wherein the validity of the existing contract was not placed in issue by the General Counsel . Here, contrary to Sullivan, the General Counsel avers that the agreement between Respondent and the Company was valid and binding . Cf. also Warehouse Employees Union Local 570, International Brotherhood of Teamsters, Chauffeurs, Warehousemen and Helpers ofAmerica (Whitaker Paper Company), 149 NLRB 731 (1964). 8 Local 542, International Union of Operating Engineers, AFL-CIO (R. S. Noonan, Inc.), 142 NLRB 1132 (1963). LOCAL 86, BROTHD . OF PAINTERS circumstances , including the composition of the employer's work force and the subcontracting of certain key work tasks . Proceeding from the Noonan decision, it becomes apparent that here , as in Noonan, realities must be assessed in probing the objectives of Respondent's picket line. Nothing was developed in the record in the hearing on remand to explain Respondent 's failure to resort to legal action to contest the Company's asserted breach of the agreement ; nor does the record reveal any attempt on the part of the Union to achieve specific performance of alleged contractual terms or to arbitrate the issue. Significantly , what the record does establish is that Kleiner, on behalf of Respondent, agreed to modified contractual terms with respect to the May I wage rates and payments into the trust funds, and then belatedly sought to withdraw therefrom, after a bargain had been struck and the terms integrated into the collective-bargaining agree- ment between the Respondent and Company. Finding the Company resolute in its determination to be bound only to the terms of the agreement actually adopted by the parties, and faced with an erosion of its bargaining relationship with employers with whom Respondent had contracted on a basis other than that agreed to with the Company, Respondent erected a picket line. It is clear from the record that the object of the picket line was not to protest any breach of an existing agreement by the Company. Rather, it is manifest that through resort to picketing , Respondent was seeking to extract itself from an untenable position vis- a-vis a disconsolate employer group and to compel the Company to give effect to a new 8(f) agreement containing terms different from those previously agreed to and presently viable . In the circumstances that prevailed, Respondent having, in effect, repudiated the existing 8(f) collective-bargaining agreement - as it was free to do under R J. Smith, supra - and having then undertaken through picket line action to force company acceptance of new terms , the only avenue of relief open to the Company was capitulation, tantamount to renewed recognition of the Respondent . That a bargaining relationship existed at the time in question is no defense, where as here , the picketing union was seeking to force recognition on different terms .9 In light of all the foregoing , and considering the entire record in this proceeding , I find that Respondent's preelection picketing was for a proscribed organizational or recognitional object and would have been violative of Section 8(bX7)(C) had the picketing continued for more than 30 days without the filing of a petition under Section 9 of the Act. I further find that Respondent violated Section 8(bx7)(B) of the Act by picketing after June 28 when the Regional Director certified the results of the valid election conducted on June 20. IV. THE EFFECT OF THE UNFAIR LABOR PRACTICES UPON COMMERCE The activities of Respondent set forth in section III, above , occurring in connection with the operations gf the $ See Central Arizona District Council of Carpenters, AFL-CIO (Wood Surgeons Inc.), 175 NLRB 390 (1969). 10 In the event no exceptions are filed as provided by Sec. 102.46 of the Rules and Regulations of the National Labor Relations Board , the findings, 1133 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 commerce and the free flow of commerce. V. THE REMEDY Having found that Respondent has engaged in certain unfair labor practices , I shall recommend that it cease and desist therefrom and take certain affirmative action necessary to effectuate the policies of the Act. Upon the foregoing findings of fact, and upon the entire record in this case , I make the following: CONCLUSIONS OF LAW 1. Local 86, Brotherhood of Painters, Decorators and Paperhangers of America, AFL-CIO, is a labor organiza- tion within the meaning of Section 2(5) of the Act. 2. Carpet Control, Inc., is an employer engaged in commerce within the meaning of Section 2(6) and (7) of the Act. 3. Respondent's picketing on and after May 29, 1973, would have violated Section 8(b)(7)(C) of the Act'had it continued for a period in excess of 30 days without a petition having been filed under Section 9 of the Act. 4. By picketing Carpet Control, Inc., at its Tempe Gardens jobsite in Tempe, Arizona, on a continuous basis from June 28, 1973, until mid-August 1973 with an object of forcing or requiring the Company to recognize it or bargain with it as the collective-bargaining representative of employees in a unit of installers, apprentices, and sanders employed by the Company, or forcing or requiring said employees to accept or select it as their collective- bargaining representative, although it had not been currently certified as the collective-bargaining representa- tive of such employees, and a valid election under Section 9(c) of the Act had been held within the preceding 12 months, Respondent engaged in an unfair labor practice within the meaning of Section 8(b)(7XB) of the Act. 5. The aforesaid unfair labor practice is an unfair labor practice affecting commerce within the meaning of Section 2(6) and (7) of the Act. Upon the foregoing findings of fact, conclusions of law, and the entire record, and pursuant to Section 10(c) of the Act, I hereby issue the following recommended: ORDER 10 Respondent, Local 86, Brotherhood of Painters, Decora- tors and Paperhangers of America, AFL-CIO, its officers, , agents, representatives, successors, and assigns, shall: 1. Cease and desist from picketing, causing to be picketed, or threatening to picket or cause to be picketed, Carpet Control, Inc., with an object of forcing or requiring the Company to recognize and bargain with it as the representative of the employees in a unit of installers, apprentices, and sanders employed by the Company, or conclusions, and recommended Order herem shall , as provided in Sec. 102.48 of the Rules and Regulations , be adopted by the Board and become its findings , conclusions, and order, and all objections thereto shall be deemed waived for all purposes. 1134 DECISIONS OF NATIONAL LABOR RELATIONS BOARD with the object of forcing or requiring employees in said unit to accept or select it as their collective-bargaining representative, such picketing not to be engaged in where within the preceding 12 months a valid election under Section 9(c) of the Act has been conducted which Respondent did not win. 2. Take the following affirmative action which is necessary to effectuate the policies of the Act: (a) Post at its business office and meeting halls, copies of the attached notice marked "Appendix."" Copies of said notice, to be furnished by the Regional Director for Region 28, shall, after. being duly signed by an official representa- tive of Respondent, be posted by Respondent immediately upon receipt thereof, and be maintained by it for 60 consecutive days thereafter, in conspicuous places, includ- ing all places where notices to members are customarily posted. Reasonable steps shall be taken by Respondent to insure that said notices are not altered, defaced, or covered by any other material. (b) Furnish to the Regional Director of Region 28, signed copies of the aforementioned notice for posting by the Company, it willing, in places where notices to employees are customarily posted. Copies of said notice, to be furnished by the Regional Director for Region 28, shall, after being duly signed by Respondent, as indicated, be forthwith returned to the Regional Director for disposition 11 In the event that the Board 's Order is enforced by a Judgment of a United States Court of Appeals, the words in the notice reading "Posted by Order of the National Labor Relations Board" shall read "Posted pursuant to a Judgment of the United States Court of Appeals Enforcing an Order of the National Labor Relations Board " APPENDIX NOTICE To MEMBERS POSTED BY ORDER OF THE NATIONAL LABOR RELATIONS BOARD An Agency of the United States Government WE WILL NOT picket, or cause to be picketed, or threaten to picket, Carpet Control, Inc., where an object thereof is to force or require the Company to recognize or bargain collectively with us as the representative of the employees in the bargaining unit comprised of installers, apprentices, and sanders employed by the Company, or said unit employees to accept or select us as their collective-bargaining representative, where a valid election which we did not win has been conducted by the National Labor Relations Board among the employees in the bargain- ing unit within the preceding 12 months. by him. LOCAL 86, BROTHERHOOD (c) Notify the Regional Director for Region 28, in OF PAINTERS, DECORATORS writing, within 20 days from the date of this Order, what AND PAPER HANGERS OF steps have been taken to comply herewith. AMERICA, AFL-CIO Copy with citationCopy as parenthetical citation