defensive lockout

A lockout that is called to prevent imminent and irreparable financial harm to the company or to protect a legal right.

• Defensive lockouts were legal, but the U.S. Supreme Court abolished the distinction between defensive and offensive lockouts in favor of a balancing test. American Ship Bldg. Co. v. NLRB, 380 U.S. 300, 85 S.Ct. 955 (1965).


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