Alber v. Norfolk & Western Railway Co.

489 F. Supp. 654, 105 L.R.R.M. (BNA) 3466, 1980 U.S. Dist. LEXIS 11316
CourtDistrict Court, E.D. Missouri
DecidedApril 16, 1980
DocketNo. 79-541C(A)
StatusPublished
Cited by4 cases

This text of 489 F. Supp. 654 (Alber v. Norfolk & Western Railway Co.) is published on Counsel Stack Legal Research, covering District Court, E.D. Missouri primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Alber v. Norfolk & Western Railway Co., 489 F. Supp. 654, 105 L.R.R.M. (BNA) 3466, 1980 U.S. Dist. LEXIS 11316 (E.D. Mo. 1980).

Opinion

MEMORANDUM OPINION

HARPER, District Judge.

This is an action under the Vietnam Era Veterans’ Readjustment Act of 1974 (hereinafter referred to as VEVRA or Act), 38 U.S.C. §§ 2021-2026 (1974), to obtain a lump sum separation allowance that was offered certain “protected” employees of the defendant, Norfolk & Western Railway Company (hereinafter referred to as Norfolk) under a Memorandum Agreement of May 1, 1976 (Memo 1976). Plaintiff alleges that upon his return from military service in 1968, his employer, Norfolk, improperly prevented him from “bidding” on positions which it had bulletined during his absence. Had plaintiff been permitted to bid upon a bulletin for the position of Interline Switching Clerk (hereinafter referred to as Interline Clerk or Position) he allegedly would have later become eligible for the Memo 1976 allowance.

Alber began working for Norfolk on September 21,1965, as a file clerk. The parties have stipulated that plaintiff’s position was “other than temporary” within the meaning of the Act. Two distinct agreements (or sets of agreements) governed Alber’s employment with Norfolk. A collective bargaining agreement, the Agreement Between the Wabash Railroad Company and Employees Thereon, Effective May 1, 1953 (hereinafter referred to as Contract), required under Rule 17(a) that Norfolk bulletin new positions or vacancies in accessible places so that employees could, on their own initiative, “bid” for the assignment. Contract Rule 17(b) further required that employees returning from furlough (defined as an absence greater than 30 days) be given the opportunity to bid upon all bulletins posted during their absence. The Contract also provided under Rule 15 that seniority rights were to be exercised within geographically defined seniority districts.

A second series of agreements concerned defendant’s redistribution of clerical positions throughout its rail system. A Memorandum Agreement of April 7, 1965, states that Norfolk and the Brotherhood of Railway, Airline and Steamship Clerks (hereinafter referred to as Union) are “to cooperate [in the merger of several railroad companies] by entering into an implementing agreement providing for the transfer and use of employees and the allocation or rearrangement of forces made necessary by changes for which protection is provided in said agreement.” The implementing agreement, the Memorandum Agreement of December 2, 1965 (hereinafter referred to as Memo 1965), reserved to Norfolk the discretionary right to transfer clerical employees and positions throughout its rail system so long as it awarded employees who wished not to transfer with their position a “protected” utility status. “Protection” under Memo 1965 included a minimum rate of pay no less than the position transferred and permanent protection from layoffs. Plaintiff’s status was not protected under Memo 1965 prior to military service.

On July 15, 1966, Alber was drafted into the Armed Forces and was given a leave of absence by defendant. During Alber’s service Norfolk bulletined several positions in its St. Louis seniority district for bids by employees, including the Interline Clerk position. The position was filled by Evans, an employee junior in seniority to Alber. On August 1, 1967, prior to plaintiff’s return from the service, the position was transferred to Virginia. Evans elected not to transfer to Virginia and thus became a “protected” utility employee under Memo 1965. When Alber returned to Norfolk from the service on July 23, 1968, he was offered a choice of positions from among those then available in the St. Louis seniority district. Alber was not offered the Interline Clerk position or Evans’ utility status. Plaintiff chose the highest listed position offered.

[656]*656On May 1, 1976, Memo 1976 canceled Memo 1965 and granted transfer protected employees a lump sum severance allowance if they would resign on or before May 31, 1976. Alber offered to resign on May 7, 1976, claiming transfer protection on the theory that had he been able to bid on the bulletin for Interline Switching Clerk during his military service he would have received that position and its subsequent transfer protection. Norfolk denied plaintiff’s claim and this suit followed.

Norfolk raises two defenses in this action. It asserts that Alber’s claim is barred by the doctrine of laches in that approximately eleven years elapsed between the date of plaintiff’s return from the service and the date this suit began. It further asserts that plaintiff was in fact restored to all statutory benefits upon his return from the service in 1968.

VEVRA provides that “(n)o State statute of limitations shall apply to any proceedings under this chapter.” 38 U.S.C. § 2022 (1974). The Eighth Circuit recently construed this provision to bar all reference to state statutes of limitation in applying the doctrine of laches, stating that “Congress did not consider the differing state legislative determinations regarding stale claims to be an appropriate guide for courts confronted with veteran reemployment actions.” Goodman v. McDonnell Douglas, 606 F.2d 800, 806 (8th Cir. 1979). Goodman stressed the distinction between a statute of limitation’s focus on time and laches’ emphasis on “the inequity of permitting the claim to be enforced, an inequity founded upon some change in the condition or relations of the property or the parties.” 606 F.2d at 805, quoting Galliher v. Caldwell, 145 U.S. 368, 373, 12 S.Ct. 873, 875, 36 L.Ed. 738 (1892). Therefore, this Court must determine whether plaintiff has unreasonably and inexcusably delayed in bringing this action and, if so, whether said delay has prejudiced the defendant.

This Court holds that plaintiff inexcusably delayed bringing this action, that the delay has prejudiced the defendant, and that this claim is barred by the doctrine of laches. Upon his return from the service in 1968 Alber asserted neither statutory reemployment rights nor Contract Rule 17(b) rights (to bid upon all positions posted in his absence) in spite of Union representation. The Court is not unaware that the Supreme Court’s liberal constructions of VEVRA require it to hesitate in denying veterans reemployment rights on grounds of laches, Tilton v. Missouri Pacific Railroad, 376 U.S. 169, 84 S.Ct. 595, 11 L.Ed.2d 590 (1964), and that this suit is brought primarily to recover a benefit first made available in 1976. This Court finds, however, that the lump sum severance allowance here sought is simply one of a series of compensatory rights offered employees affected by merger transfers, and that plaintiff’s interest in merger protection benefits is quite belated. There has been no claim that plaintiff, who began working for Norfolk approximately two months before merger protection became available, did not know of those special benefits when he left for the service in 1966. Plaintiff’s claim that Norfolk had a duty to inform Alber of his statutory rights does not explain why Alber did not seek contractual merger protection rights in other forms over the eleven years prior to this suit.

The Goodman court recognized two kinds of prejudice which might support a claim of laches. Goodman, 606 F.2d 800, 808, n. 17, citing Tobacco Workers International Union Local 317 v.

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489 F. Supp. 654, 105 L.R.R.M. (BNA) 3466, 1980 U.S. Dist. LEXIS 11316, Counsel Stack Legal Research, https://law.counselstack.com/opinion/alber-v-norfolk-western-railway-co-moed-1980.