Olms interpretative Manual

325- -

DISTRIBUTIONOFASSETS

325.001LMRDA, SECTION303(a)(2)

. . . Provided, that nothing herein contained shall prevent the distribution of the assets of alabororganizationinaccordancewithitsconstitutionandbylaws uponthebonafidedissolutionthereof.

(TechnicalRevisions: Jan. 2001)

326- - REPORTINGOBLIGATION

SeeManualEntrieson Trusteeship Reports:230 ff.

REMEDYOFABUSESDURINGTRUSTEESHIP

See Manual Entry 323.200.(TechnicalRevisions:Jan.2001)

TERMINATIONOFTRUSTEESHIPINGENERAL

1. 
   LMRDA,SECTION304
   

1. 
   Upon the written complaint of any member or subordinate body of a labor organizationalleging that such organization has violated the provisions of this title (except section 301)the Secretary shall investigate the complaint and if the Secretary finds probable cause tobelieve that such violation has occurred and has not been remedied he shall, withoutdisclosing the identity of the complainant, bring a civil action in any district court of theUnited States having jurisdiction of the labor organization for such relief (includinginjunctions) as may be appropriate.Any member or subordinate body of a labororganization affected by any violation of this title (except 301) may bring a civil action inanydistrictcourtof theUnitedStates having jurisdictionof the labororganization forsuchrelief(including injunctions) as may be appropriate.
   
2. 
   For the purpose of actions under this section, district courts of the United States shall bedeemedtohavejurisdictionof alabororganization(1)inthedistrictinwhichthe principaloffice of such labor organization is located, or (2) in any district in which its dulyauthorizedofficersor agentsare engagedin conductingthe affairsof thetrusteeship.
   

350.005ALTERNATIVE REMEDIES

Section304(a) ofthe Act providesadual methodof enforcement.A memberor

subordinate body of a union may either institute a civil action in a district court of the UnitedStatesorlodge acomplaintwith theSecretaryofLabor.The enforcementof TitleIIIthrough acomplaint to the Secretary of Labor can be initiated only by a written complaint allegingviolationsofanyprovisions ofTitle IIIexceptthereporting requirementsin section301.

The Secretary is directed to investigate any such complaint.If he finds probable cause tobelieve that a violation has occurred and has not been remedied, he may bring civil action forappropriate relief, including injunctions, in any district court of the United States havingjurisdictionover the labor organization.

350.006

Action was brought by members of the suspended executive board of a local undersections 302, 303, and 501 of the LMRDA to terminate trusteeship and for an accounting.Defendant union moved to dismiss on the ground that the Secretary has exclusive jurisdiction inbringing suit to remove a trusteeship improperly imposed.Flahertyv. McDonald, 178 F.Supp.544(S.D. Cal.1959), reh’g, 183F. Supp.300 (S.D. Cal.1960);Rizzov.Ammond, 182F.Supp.
456,472 (D.N.J.1960).Held: motion todismiss denied.

The court rejected the holding in the Flahertyand Rizzocases and held that the tworemedies set out by section 304(a) were truly alternative remedies, and the filing of a complaintwiththeSecretarywasnot aprerequisitetoindividual suit.ExecutiveBoard,LocalUnion No.28,

I.B.E.W.v. International Brotherhood of Electrical Workers, 184 F.Supp. 649, 655-56 (D. Md.1960)

(TechnicalRevisions:Dec. 2016)