Alaska Teamsters Local 959 v. Atlantic Richfield Co.

616 F. Supp. 593, 121 L.R.R.M. (BNA) 3083, 1985 U.S. Dist. LEXIS 16568
CourtDistrict Court, D. Alaska
DecidedAugust 22, 1985
DocketA83-171 CIV to A83-173 CIV and A84-322 CIV
StatusPublished
Cited by3 cases

This text of 616 F. Supp. 593 (Alaska Teamsters Local 959 v. Atlantic Richfield Co.) is published on Counsel Stack Legal Research, covering District Court, D. Alaska primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Alaska Teamsters Local 959 v. Atlantic Richfield Co., 616 F. Supp. 593, 121 L.R.R.M. (BNA) 3083, 1985 U.S. Dist. LEXIS 16568 (D. Alaska 1985).

Opinion

MEMORANDUM AND ORDER

FITZGERALD, Chief Judge.

In this group of cases, 1 now before the court on defendants’ motions to dismiss, plaintiffs Teamster unions and individual union members 2 claim that defendants 3

*595 (“the oil companies”) have violated the antitrust laws as well as the Racketeer Influenced and Corrupt Organizations Act (“RICO”). 4 Defendants use truck transportation companies to ship supplies to their oil production operations in the northern reaches of the State of Alaska (“the North Slope”). Plaintiffs allege that these statutory violations arose out of conspiracy entered into between the oil companies to manipulate and fix the rates for truck transportation to the North Slope and to boycott union-affiliated truck transportation companies. Local 959 complains that its ability to represent its members in collective bargaining has been damaged and that the union has suffered monetary loss as a result of these alleged activities. Plaintiff seeks treble damages provided under the antitrust laws and injunctive relief.

It is axiomatic that a complaint should not be dismissed unless “it appears beyond doubt that the plaintiff can prove no set of facts in support of his claim which would entitle him to relief.” 5 “This rule applies with no less force to [an antitrust] claim.” 6 Following a review of the allegations brought in case numbers 83-171 and 83-172, I am compelled to conclude, however, that under the principles set forth in the Supreme Court’s recent decision in Associated General Contractors v. Carpenters, 7 plaintiffs can prove no set of facts demonstrating they are entitled to relief under the antitrust laws, and their complaints seeking such relief must, therefore, be dismissed. A discussion setting forth the reasons why I have reached this conclusion follows.

The Supreme Court’s recent benchmark RICO decision in Sedima, S.P.R.L. v. Imrex Co., — U.S. —, 105 S.Ct. 3275, 87 L.Ed.2d 346 (1985), led this court, like many other lower courts, to stay consideration of plaintiffs’ RICO claims pending the Court’s resolution of this important case. My determination of defendants’ motions to dismiss plaintiffs’ RICO claims, brought in case numbers 83-172, 83-173 and 84-322, will follow in a separate memorandum and order.

I. THE COMPLAINTS

Alaska Teamsters Local 959 is the only plaintiff in case number 83-171. 8 According to its third amended complaint, Local 959 is the collective bargaining agent for over two thousand truckers employed throughout the State of Alaska. Its members include individual owner-operators of truck transportation concerns, as well as truckers, warehousemen, mechanics, office workers and maintenance technicians employed by truck transportation companies which have union shops in Alaska (Paragraph 19).

In paragraphs 22 to 27 of Local 959’s complaint, the union alleges the factual basis for its claim that defendant oil companies violated the antitrust laws. Para *596 graph 22 alleges generally that “[s]ince on or about January 1, 1978, and continuing to date, defendants, and each of them, have entered into a conspiracy with each other and with other non-defendant co-conspirators ... to restrain trade, to fix prices, and to enter into an illegal group boycott.” The union characterizes such non-defendant co-conspirators to include “non-union truck transportation companies and non-union-member owner-operators.” Id. The targets of these alleged activities were “Local 959, union-affiliated truck transportation companies and union-member owner-operators shipping products, supplies and equipment* to the North Slope.” (Paragraph 23).

According to paragraph 25 of the complaint, the oil companies’ alleged conspiracy had two primary objects. It is said that:

(a) Defendants conspired to attempt to manipulate and fix, and did illegally manipulate and fix the rates set for truck transportation of products, equipment and supplies to the North Slope in furtherance of their anticompetitive scheme to restrain and eliminate competition in the relevant markets; and
(b) Defendants conspired to boycott union-affiliated truck transportation companies, including union-member owner-operators, by refusing to award business to them for the transportation of products, equipment and supplies to the North Slope using truck transportation, in furtherance of their anticompetitive scheme to restrain and eliminate competition in the relevant markets.

Paragraph 27 of Local 959’s complaint sets forth a litany of illegal activities allegedly conducted by the oil companies in pursuing their claimed boycott of union-affiliated truck transportation companies and union-member owner-operators. Among other things, the union claims that:

(a) Defendants refused to award contracts to union-affiliated truck transportation companies and individual owner-operators for shipment of products, equipment and supplies to the North Slope, even though such companies and operators offered their services at competitive prices, or offered services which cost marginally more but were otherwise preferable to rate and services of non-union operations;
(b) Defendants threatened union-affiliated truck transportation companies and individual owner-operators with cancellation or withholding of contracts to ship products, equipment and supplies to the North Slope, unless such companies pledged to convert themselves into nonunion companies;
(c) Defendants aided and abetted the operations of non-union “private corporation” truck transportation operations which defendants knew or should have known were incorporated and operated in direct violation of Alaskan state law; ...
(f) Defendants awarded contracts and business to truck transportation companies which have been prominent in anti-union activities. Such conspiratorial award of contracts and business to these companies has not been based upon commercial economic considerations or sound business judgment, but has been based on Defendants’ desire to enforce their boycott of union-affiliated truck transportation companies and individual owner-operators; ...
(h) Defendants advocated, encouraged and induced, by threats and promises, non-union truck transportation companies to refuse to enter into collective bargaining agreements with Local 959; and

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Cite This Page — Counsel Stack

Bluebook (online)
616 F. Supp. 593, 121 L.R.R.M. (BNA) 3083, 1985 U.S. Dist. LEXIS 16568, Counsel Stack Legal Research, https://law.counselstack.com/opinion/alaska-teamsters-local-959-v-atlantic-richfield-co-akd-1985.