On January 15, 2026, the National Labor Relations Board (“NLRB” or the “Board”) issued its first published decision with a new quorum. In Satellite Healthcare, 374 N.L.R.B. No. 25, the Board held that Regional Directors (“RDs”) retain their delegated authority even when the Board lacks a quorum, and that the U.S. Supreme Court’s decision in Loper Bright—overruling Chevron deference—does not alter that conclusion.

Background

During the Board’s loss of quorum over the past year, employers argued that RDs could not process charges, conduct union elections, or take other administrative action without a seated Board. 

Satellite Healthcare advanced those arguments after a union election, asserting that the RD lacked authority to (i) certify the election results; and (ii) rule on  election objections.   Satellite Healthcare argued that Loper Bright undercut precedent recognizing RDs’ authority during a lapse in quorum.

NLRB Decision

The Board denied Satellite Healthcare’s Request for Review and reaffirmed that Section 3(b) of the National Labor Relations Act (“NLRA” or the “Act”) permits RDs to exercise delegated authority notwithstanding an absence of quorum.  The Board also noted that its Rules and Regulations direct that representation cases should continue to be processed, and election certifications should be issued, despite the Board’s inability to act on that request without a quorum.

Effect of Loper Bright

The Board concluded that Loper Bright does not disturb this interpretation of Section 3(b). The overruling of Chevron does not affect statutory stare decisis, and the Board reaffirmed that Congress’s delegation framework in Section 3(b) reflects a policy choice to ensure the continuity of core regional functions during periods when the Board cannot act.

Takeaways

Satellite Healthcare aligns with longstanding precedent but is significant as the first decision of the newly-constituted NLRB quorum. It signals the Board’s readiness to reengage with existing doctrine while confirming that Regional Offices will continue to function irrespective of Board vacancies. The practical impact may be felt most acutely in future quorum gaps; the expiration of Member Prouty’s term in August 2026 could bring the issue back to the forefront sooner than anticipated.

We will continue to track relevant decisions and developments at the Board.

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Photo of Joshua Fox Joshua Fox

Joshua S. Fox is a partner in the Labor & Employment Law Department and a member of the Sports, Labor-Management Relations, Class and Collective Actions and Wage and Hour Groups.

As a member of the Sports Law Group, Josh has represented a number…

Joshua S. Fox is a partner in the Labor & Employment Law Department and a member of the Sports, Labor-Management Relations, Class and Collective Actions and Wage and Hour Groups.

As a member of the Sports Law Group, Josh has represented a number of Major League Baseball Clubs in all aspects of the salary arbitration process.  Josh also has extensive experience representing professional sports leagues and teams in grievance-arbitration proceedings, and has played a key role in representing professional sports leagues in all aspects of their collective bargaining negotiations with players and officials, including the Major League Baseball, National Hockey League, the National Football League, Major League Soccer, the Professional Referee Organization, and the National Basketball Association.  Josh has also represented teams and arenas in all aspects of labor relations involving labor unions representing arena staff.

In addition, Josh has extensive experience representing clients in the performing arts industry, including the New York City Ballet, New York City Opera, Big Apple Circus, among many others, in collective bargaining negotiations with performers and musicians, the administration of their collective bargaining agreements, and in grievance arbitrations.

Josh also represents a diverse range of clients, including real estate developers and contractors, pipe line contractors, hospitals, hotels, manufacturers and public employers, in collective bargaining, counseling on general employment matters and proceedings before the National Labor Relations Board, New York State Public Employment Relations Board and arbitrators.

Josh also serves as an adjunct professor at Cornell University’s School of Industrial Labor Relations for several years, teaching a course regarding Major League Baseball salary arbitration.

Prior to joining Proskauer, Josh worked for a year and a half at the National Hockey League, where he was involved in all labor and employment matters, including preparations for collective bargaining, grievance arbitration, contract drafting and reviewing and employment counseling. Josh also interned in the labor relations department of Major League Baseball and at Region 2 of the National Labor Relations Board. He was a member of the Brooklyn Law Review and the Appellate Moot Court Honor Society and served as president of the Brooklyn Entertainment and Sports Law Society.

Photo of Daniel H. Dorson Daniel H. Dorson

Daniel Dorson is an associate in the Labor & Employment Law Department and a member of the Labor-Management Relation Group. Daniel represents unionized and non-unionized employers in all stages of labor-management relations including union organizing campaigns, collective bargaining negotiations, contract administration, grievance arbitrations…

Daniel Dorson is an associate in the Labor & Employment Law Department and a member of the Labor-Management Relation Group. Daniel represents unionized and non-unionized employers in all stages of labor-management relations including union organizing campaigns, collective bargaining negotiations, contract administration, grievance arbitrations, work stoppages, and day-to-day labor relations issues. Daniel also represents employers in proceedings before the National Labor Relations Board including representation petitions, unfair labor practice charges, and compliance matters.

Daniel also has experience representing employers in federal court and before state and federal administrative agencies. He has defended employers against single plaintiff claims and class and collective actions alleging discrimination, harassment, and wage and hour violations.

While in law school, Daniel interned for the National Football League and the Arizona Coyotes. Prior to beginning his legal career, Daniel worked in football operations and administration for the Arizona Cardinals, Detroit Lions, Miami Dolphins, and Indianapolis Colts.

Photo of Michael Kratochvil Michael Kratochvil

Michael Kratochvil is an associate in the Labor & Employment Law Department and a member of the Labor-Management Relations & Sports Groups. Michael represents unionized and non-unionized employers in all stages of labor-management relations and in proceedings before the National Labor Relations Board.…

Michael Kratochvil is an associate in the Labor & Employment Law Department and a member of the Labor-Management Relations & Sports Groups. Michael represents unionized and non-unionized employers in all stages of labor-management relations and in proceedings before the National Labor Relations Board.

Michael’s labor-management relations experience spans a variety of industries including healthcare, entertainment, production and manufacturing, higher education, and various service industries. His work involves bargaining units of all sizes represented by labor organizations such as SEIU, Teamsters, UAW, IUOE, UFCW, CWA and many others.

While in law school, Michael interned for Magistrate Judge Katharine H. Parker in the Southern District of New York and was a student volunteer field examiner at Region 2 of the National Labor Relations Board.