National Labor Relations Board v. California Horse Racing Board, and International Brotherhood of Electrical Workers, Local Union 1501

The California Horse Racing Board (CHRB) issued an administrative order requiring United Tote to negotiate a collective bargaining agreement with the International Brotherhood of Electrical Workers (Union). The National Labor Relations Board (Board) filed this action in federal district court, seeking an injunction against enforcement of the CHRB order and a declaration that the National Labor Relations Act (NLRA) preempted the CHRB jurisdiction over United Tote. The district court granted a preliminary injunction against the .CHRB order, and the Union and the CHRB appeal. We affirm.

BACKGROUND

United Tote manufactures and maintains “totalisator” systems, used to calculate and display pari-mutuel betting odds at horse and dog racing tracks. When United Tote entered into a contract to supply and service totalisator systems for an association of California horse racing fairs, the Union sought to represent its employees and negotiate a labor contract. United Tote, whose employees are not represented by any union, refused to negotiate. The Union then sought, and was granted, an order from the CHRB requiring United Tote to enter into a collective bargaining agreement with the Union,…