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5th Circuit Rules NLRB Likely Unconstitutional, Sides With SpaceX and Others
SpaceX and two other companies can keep their court orders freezing unfair labor practice cases as they litigate their constitutional challenges to the National Labor Relations Board, a federal appeals court ruled in a case with regional implications for the agency.
The US Court of Appeals for the Fifth Circuit said Tuesday that being subjected to an unconstitutional administrative proceeding was an irreparable harm that justified preliminary injunctions halting NLRB cases.
The appeals court rejected the NLRB’s challenge to injunctions won by the Elon Musk-run SpaceX, an Energy Transfer LP subsidiary, and public benefits corporation Findhelp.
Trump-appointed district judges in Texas granted those orders based on Fifth Circuit precedent finding that Securities and Exchange Commission administrative law judges have unconstitutional removal protections to the companies’ claims against NLRB ALJs.
The US Court of Appeals for the Fifth Circuit said Tuesday that being subjected to an unconstitutional administrative proceeding was an irreparable harm that justified preliminary injunctions halting NLRB cases.
The appeals court rejected the NLRB’s challenge to injunctions won by the Elon Musk-run SpaceX, an Energy Transfer LP subsidiary, and public benefits corporation Findhelp.
Trump-appointed district judges in Texas granted those orders based on Fifth Circuit precedent finding that Securities and Exchange Commission administrative law judges have unconstitutional removal protections to the companies’ claims against NLRB ALJs.
https://news.bloomberglaw.com/daily-labor-report/spacex-keeps-labor-board-case-frozen-with-fifth-circuit-victory
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