NLRB v. Lily Transportation Corp, No. 15-2398 (1st Cir. 2017)Annotate this Case
Pumpernickel Express, Inc. carried automotive parts from warehouses in Mansfield, Massachusetts to Toyota dealerships in the region. Pumpernickel’s drivers were represented by a Union. Lily Transportation Corporation later obtained the portion of Pumpernickel’s business that involved distributing parts for Toyota. Lily hired many of Pumpernickel’s former employees, including drivers. The Union demanded that Lily recognize it as the drivers’ bargaining representative. Lily refused. Thereafter, the Union filed an unfair labor practice charge, alleging that Lily’s refusal to bargain violated the National Labor Relations Act. The administrative law judge found that, in distributing for Toyota, Lily was a “successor employer” to Pumpernickel, and therefore, Lily was required to recognize and bargain with the Union. The National Labor Relations Board affirmed and ordered Lily to recognize and bargain with the Union. The Board then asked the First Circuit to enforce its order over Lily’s objection. The First Circuit granted the Board’s application for enforcement of its bargaining order, holding that the Board did not err in relying on UGL-UNICCO Service Co.’s successor bar doctrine.