Yesterday, the U.S. Supreme Court rejected a relaxed 2-factor standard for obtaining a preliminary injunction against a company alleged to be engaging in an unfair labor practice under the National Labor Relations Act (“NLRA”) and held that a 4-factor test was required.

In the case, the National Labor Relations Board (the “Board”) was granted an injunction by the lower court requiring Starbucks to reinstate employees it had fired allegedly for inviting local media to cover unionization efforts, only having to demonstrate that the allegations of an unfair labor practice are “substantial and not frivolous” by showing:

  1. there is “reasonable cause” supporting a belief that an unfair labor practice occurred, and
  2. that injunctive relief is “just and proper.”

The Supreme Court, in Starbucks Corp. v. McKinney, held that to obtain an injunction under Section 10(j) of the NLRA, the Board must demonstrate:

  1. a likelihood of success on the merits
  2. irreparable harm without an injunction
  3. that the balance of equities favors an injunction, and
  4. that temporary relief is in the public interest

The Supreme Court made its decision in part because it found that nowhere in the text of the NLRA does it suggest that Section 10(j) injunctions should be analyzed under a lower standard.