Split 9th Circ. Panel Axes Grain Co.’s RICO Suit Against Union

Bizar Male
Law360 (June 28, 2021, 9:51 PM EDT) — A split Ninth Circuit panel affirmed the dismissal of a Racketeer Influenced and Corrupt Organizations Act suit that a grain exporter brought against union employees accused of overstating their hours worked, ruling Monday that a collective bargaining agreement requires the claims to be arbitrated first.

In the 2-1, published decision, the panel majority said the lower court was right to toss the RICO suit from Columbia Export Terminal. It found that the Labor Management Relations Act requires arbitration to be exhausted before the claims can be considered by the courts, because resolution of the RICO claims depend on the analysis of…

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