By Michael Cork, Esq.
Opposition to the rule is widespread and intense. On Wednesday, March 30, 2016, the National Association of Manufacturers, an Arkansas labor and employment law firm, Cross Gunter Witherspoon & Galchus PC, and five other industry groups filed a seven-count complaint in the United States District Court for the Eastern District of Arkansas. The complaint names as defendants the Secretary of Labor, the Director of the Office of Labor-Management Standards, and the U.S. Department of Labor, and seeks to have the controversial “Persuader Rule” declared enjoined.
The DOL attempted to “fast-track” the rule by promulgating it on March 24, 2016, with an effective date of April 25, 2016. For a rule of this magnitude, that time period is alarming.
The complaint alleges that the Rule exceeds DOL’s statutory authority, is arbitrary and capricious, violates Plaintiffs’ and their members’ First Amendment rights of Freedom of Speech and Freedom of Association, violates the Fifth Amendment’s Due Process Clause due to vagueness, violates the National Labor Relations Act by infringing on the ability of employers to obtain advice, infringes attorney-client confidentiality, and violates regulatory impact laws and orders. Plaintiffs seek preliminary and permanent injunctive relief. We will keep you informed.
This lawsuit is the latest salvo in a long-running battle between businesses and the Obama administration over labor policy.
This article is intended for educational purposes only. By reading it, you understand there is no attorney-client relationship created between you and Michael Cork. It is not a substitute for legal advice from a licensed professional attorney in your state or jurisdiction. Please seek advice from an attorney before taking any legal action.