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Edward G. Budd Manufacturing Co. v. NLRB

Court of Appeals for the Third Circuit
138 F.2d 86 (1943)
ELI5:

Sections

Rule of Law:

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The Legal Principle

This section distills the key legal rule established or applied by the court—the one-liner you'll want to remember for exams.

Facts:

  • In 1933, after employees at the Edward G. Budd Manufacturing Co. expressed a desire to form a union, company management presented a pre-prepared plan for an 'Employee Representation Association'.
  • Budd Manufacturing organized and paid for the Association's first election, which was held on company time and property.
  • Initially, the company paid employee representatives $2 per month for attending meetings and appointed management representatives who had to approve any amendments to the Association's plan.
  • After 1934, direct financial support ceased, but the Association was funded by receiving a percentage of profits from the Employees’ Exchange, a concessionaire operating on company premises with the company's permission.
  • The company treated the Association's employee representatives with extreme leniency, allowing them to neglect their work duties without discipline while receiving full pay and periodic wage increases.
  • Walter Weigand, an employee representative with an egregious record of misconduct whom the company had repeatedly protected from being fired, joined an outside CIO-affiliated union.
  • The day after Weigand's CIO affiliation became known to management, the company discharged him.

Procedural Posture:

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How It Got Here

Understand the case's journey through the courts—who sued whom, what happened at trial, and why it ended up on appeal.

Issue:

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Legal Question at Stake

This section breaks down the central legal question the court had to answer, written in plain language so you can quickly grasp what's being decided.

Opinions:

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Majority, Concurrences & Dissents

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Analysis:

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Why This Case Matters

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Loaded: Edward G. Budd Manufacturing Co. v. NLRB (1943)

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