# Justice Manual § 9-139.300: Labor Organization Under Trusteeship (29 U.S.C. § 461 and § 463)

> Federal · Agency guidance · In force

URL: https://www.frixlaw.com/law-library/statutes/JM_S9-139.300

## Section

- **Citation:** Justice Manual § 9-139.300
- **Heading:** Labor Organization Under Trusteeship (29 U.S.C. § 461 and § 463)
- **Jurisdiction:** Federal
- **Kind:** Agency guidance
- **Status:** In force
- **Text as of:** August 14, 2026
- **Source:** Compiled text
- **Location:** DOJ Justice Manual / Title 9: Criminal / 9-139.000 - Miscellaneous Labor Statutes / Justice Manual § 9-139.300

## Text

These LMRDA statutes apply to situations in which a subordinate body of a labor organization is placed in trusteeship under the supervision of the superior organization. Section 463 provides that delegates from the organization under trusteeship (e.g., a local union) to any convention or election (e.g., by an international union) must be democratically elected by all eligible members by secret ballot. Any other method of delegate selection renders their votes a nullity and subject to prosecution under section 463(a)(1). Section 463(a)(2) provides that funds of the organization under trusteeship may not be transferred to the international or other level of the labor organization. Exceptions are that normal per capita tax and assessments payable by organizations not under trusteeship may continue to be collected by superior levels of the labor organization, and the assets of the organization under trusteeship may be distributed in accordance with that organization's constitution and bylaws upon dissolution. A willful violation of 29 U.S.C. §  463(a) may result in imprisonment for one year and/or a fine under section 463(b).

A willful failure by a labor organization or its principal officers to file reports in regard to the trusteeship of a subordinate organization with the Department of Labor, the willful failure to keep records supporting such reports, the knowing falsification of such reports, or the willful falsification or destruction of the supporting records, may also result in imprisonment for one year and/or a fine.  29 U.S.C. §§ 461(c) and 461(d).

[updated January 2020]

## Nearby sections

- [Justice Manual § 9-139.020 Investigatory and Supervisory Jurisdiction for Miscellaneous Labor Statutes](https://www.frixlaw.com/law-library/statutes/JM_S9-139.020.md)
- [Justice Manual § 9-139.100 The Railway Labor Act (RLA)—45 U.S.C. § 151, et seq.](https://www.frixlaw.com/law-library/statutes/JM_S9-139.100.md)
- [Justice Manual § 9-139.103 Railway Labor Act— Authorization for Criminal Prosecution](https://www.frixlaw.com/law-library/statutes/JM_S9-139.103.md)
- [Justice Manual § 9-139.200 Fair Labor Standards Act (29 U.S.C. § 216(a))](https://www.frixlaw.com/law-library/statutes/JM_S9-139.200.md)
- [Justice Manual § 9-139.300 Labor Organization Under Trusteeship (29 U.S.C. § 461 and § 463)](https://www.frixlaw.com/law-library/statutes/JM_S9-139.300.md)
- [Justice Manual § 9-139.400 Bonding of Officers and Employees of Labor Organizations (29 U.S.C. § 502)](https://www.frixlaw.com/law-library/statutes/JM_S9-139.400.md)
- [Justice Manual § 9-139.500 Loans to Union Officers and Payment of Fines (29 U.S.C. § 503)](https://www.frixlaw.com/law-library/statutes/JM_S9-139.500.md)
- [Justice Manual § 9-139.600 Transportation of Strikebreakers (29 U.S.C. § 1231)](https://www.frixlaw.com/law-library/statutes/JM_S9-139.600.md)
- [Justice Manual § 9-139.700 Extortionate Picketing (29 U.S.C. § 522)](https://www.frixlaw.com/law-library/statutes/JM_S9-139.700.md)
- [Justice Manual § 9-139.800 Interference with National Labor Relations Board Agent (29 U.S.C. § 162)](https://www.frixlaw.com/law-library/statutes/JM_S9-139.800.md)

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Source: Frix Law Library, https://www.frixlaw.com/law-library/statutes/JM_S9-139.300. Check the current official text before relying on it. Not legal advice.