The Supreme Court ruled today in Starbucks Corp. v. M. Kathleen McKinney, vacating the judgment of the Sixth Circuit which had endorsed a relaxed standard for injunctions sought by the National Labor Relations Board (NLRB) to halt business activities. The National Federation of Independent Business (NFIB), alongside the U.S. Chamber of Commerce and the National Association of Manufacturers, filed an amicus brief in support of this outcome.
Beth Milito, Executive Director of NFIB’s Small Business Legal Center, remarked, “Preliminary injunctions are not a benign administrative procedure. They are a considerable intrusion on a business.” She added, “Thankfully, the Court agreed and held that the NLRB must satisfy the more demanding preliminary injunction test before inserting themselves into the livelihood of a small business owner. NFIB is pleased by today’s decision and is grateful that the NLRB will no longer hold such substantial, unchecked power to harm small businesses.”
The central issue in this case was whether requests for injunctions by the NLRB under the National Labor Relations Act (NLRA) should adhere to the traditional four-factor test for preliminary injunctions or be subject to a more lenient standard. The NFIB's brief argued that applying a watered-down standard allowed excessive deference to the NLRB, enabling significant and unchecked interference with small businesses.
The NFIB Small Business Legal Center continues to advocate for small business owners' rights in courts nationwide and remains active in over 40 cases at both federal and state levels.
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