Covenant Care California, LLC; Covenant Care La Jolla, LLC d/b/a La Jolla Nursing & Rehabilitation C

National Labor Relations Board - Board Decisions

Feb 13, 2019

21-CA-090894 (N.L.R.B. Feb. 13, 2019)

UNITED STATES OF AMERICA
BEFORE THE NATIONAL LABOR RELATIONS BOARD
COVENANT CARE CALIFORNIA, LLC
and COVENANT CARE LA JOLLA, LLC
and Case 21-CA-090894
LERMA VERA
NOTICE TO SHOW CAUSE1
On December 22, 2015, the Board issued a Decision and Order finding that the
Respondent violated Section 8(a)(1) of the Act by: (1) maintaining and enforcing a mandatory
arbitration agreement that requires employees, as a condition of employment, to waive the right
to maintain class or collective actions in all forums; and (2) maintaining a rule that prohibits the
discussion of terms and conditions of employment by requiring employees to keep information
about arbitral proceedings confidential. 363 NLRB No. 80 (2015). On June 29, 2018, the
United States Court of Appeals for the Ninth Circuit denied enforcement, in light of Epic
Systems Corp. v. Lewis, 585 U.S. ___, 138 S. Ct. 1612 (2018), of the Board’s first finding. The
court also granted the General Counsel’s motion to remand to the Board the second issue -
whether the confidentiality provision violates the Act under the recently issued decision in The
Boeing Co., 365 NLRB No. 154, slip op. at 14-17 (2017), which specifically addresses employer
rules that prohibit discussion of terms and conditions of employment.
Accordingly, the Board hereby issues the following notice to show cause why this case
should not be remanded to a judge for further proceedings in light of Boeing, including, if

1 Chairman Ring is recused and did not participate in this proceeding.
2
necessary, the filing of statements, reopening the record, and issuance of a supplemental
decision.
NOTICE IS GIVEN that any party seeking to show cause why this case should not be
remanded to an administrative law judge must do so in writing, filed with the Board in
Washington, D.C., on or before February 27, 2019 (with affidavit of service on the parties to this
proceeding). Any briefs or statements in support of the motion shall be filed on the same date.
Dated, Washington, D.C., February 13, 2019.
By direction of the Board:
/s/ Roxanne Rothschild
Executive Secretary