Universal Camera Corp. v. NLRB
Facts
The NLRB found that Universal Camera had discharged an employee because he gave testimony under the Wagner Act and ordered reinstatement with back pay, along with a cease-and-desist order against similar discrimination. In the court of appeals, the employer challenged enforcement, arguing in part that review should account for the trial examiner's factual findings where the Board had rejected them. The Second Circuit enforced the order and viewed the scope of review as unaltered by recent legislation. The Supreme Court addressed the proper standard of judicial review and the significance of the examiner's report in that review.
Issue
After the Administrative Procedure Act and the Taft-Hartley Act, what scrutiny must courts of appeals apply when reviewing NLRB fact findings for substantial evidence? In particular, must the reviewing court consider the whole record, including evidence detracting from the Board's view and the trial examiner's report, even when the Board rejected the examiner's findings?
Rule
Under both the Administrative Procedure Act and the Taft-Hartley Act, a reviewing court must determine whether the Board's findings are supported by substantial evidence on the record considered as a whole. Substantiality must take into account whatever in the record fairly detracts from the evidence's weight, and the examiner's report is part of the record that must be given such probative force as it intrinsically commands. Although courts may not displace the Board's choice between two fairly conflicting views, they must not abdicate their conventional judicial function and must set aside Board findings when the whole record clearly precludes the Board's decision from being justified.
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