On December 27, 1944, as World War II dragged on, President Franklin D. Roosevelt orders his secretary of war to seize properties belonging to the Montgomery Ward company because the company refused to comply with a labor agreement.
In an effort to avert strikes in critical war-support industries, Roosevelt created the National War Labor Board in 1942. The board negotiated settlements between management and workers to avoid shut-downs in production that might cripple the war effort. During the war, the well-known retailer and manufacturer Montgomery Ward had supplied the Allies with everything from tractors to auto parts to workmen’s clothing–items deemed as important to the war effort as bullets and ships. However, Montgomery Ward Chairman Sewell Avery refused to comply with the terms of three different collective bargaining agreements with the United Retail, Wholesale and Department Store Union hammered out between 1943 and 1944.