Bricklayers & Trowel Trades International Pension Fund v. Ohio Building Maintenance Leasing, Inc.

CourtDistrict Court, District of Columbia
DecidedSeptember 11, 2024
DocketCivil Action No. 2023-1890
StatusPublished

This text of Bricklayers & Trowel Trades International Pension Fund v. Ohio Building Maintenance Leasing, Inc. (Bricklayers & Trowel Trades International Pension Fund v. Ohio Building Maintenance Leasing, Inc.) is published on Counsel Stack Legal Research, covering District Court, District of Columbia primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Bricklayers & Trowel Trades International Pension Fund v. Ohio Building Maintenance Leasing, Inc., (D.D.C. 2024).

Opinion

UNITED STATES DISTRICT COURT FOR THE DISTRICT OF COLUMBIA

BRICKLAYERS & TROWEL TRADES INTERNATIONAL PENSION FUND,

Plaintiff,

v. Civil Action No. 23-1890 (TJK)

OHIO BUILDING MAINTENANCE LEASING, INC.,

Defendant,

MEMORANDUM OPINION

Plaintiff, a multiemployer pension fund administered in the District of Columbia, sued

Defendant, an Ohio corporation employing members of the pension fund, for failing to make

certain contributions to the fund and payments to the local union, as well as for failing to provide

remittance reports required by the governing collective bargaining agreements, the fund’s

collection policy and trust agreement, and the Employee Retirement Income Security Act of 1974.

To date, Defendant has failed to answer or otherwise defend this action. Thus, Plaintiff moves for

default judgment and asks the Court to award damages for Defendant’s delinquent contributions

plus interest, liquidated damages, attorney’s fees and costs, and injunctive relief. For the following

reasons, the Court will grant the motion for default judgment and award most of the relief

requested.

I. Background

Plaintiff Bricklayers & Trowel Trades International Pension Fund is a multiemployer

employee benefit plan within the meaning of the Employee Retirement Income Security Act

(“ERISA”). ECF No. 1 (“Compl.”) ¶ 1 (citing 29 U.S.C. § 1002(37)). Plaintiff is administered by

1 its Board of Trustees, a designated fiduciary of the pension fund as defined under ERISA. Id.

(citing 29 U.S.C. § 1002(21)). Defendant Ohio Building Maintenance Leasing, Inc. is a

corporation located within the state of Ohio and is an “employer in an industry affecting

commerce” as defined by ERISA. Id. ¶ 2 (citing 29 U.S.C. § 1002(5), (11), (12)).

Defendant is a party to a collective bargaining agreement with the Northern & Southern

Ohio District Council of International Union of Bricklayers and Allied Craft Workers. See

generally ECF No. 11-3 at 21–26. This agreement requires Defendant to abide by conditions of

employment about wages, benefit contributions, and working conditions set forth by a local

agreement negotiated by the International Union of Bricklayers and Allied Craft Workers Local

Union No. 55 Ohio. See id. at 5, 22–24; Compl. ¶ 6. Under these two collective bargaining

agreements (“the CBAs”), Defendant was bound by the pension fund’s Amended and Restated

Agreement and Declaration of Trust (the “trust agreement”). See Compl. ¶¶ 1, 6–7, 9–10; see also

ECF No. 11-3 at 22–23, 30. These agreements also obligated Defendant to make certain payments

to Plaintiff and to the local union under the trust agreement’s collection policy. ECF No. 11-3 at

4. Under the CBAs and trust agreement, if Defendant fails to make such contributions, Plaintiff

may seek interest of 15% per year on untimely contributions and liquidated damages of the greater

between either a second award of interest or liquidated damages at a rate of 20%. Id. at 4, 11, 16–

17, 19; see also Compl. ¶ 15. These agreements also give Plaintiff authority to sue on behalf of

the various funds and local union, which are party to the CBAs. See Compl. ¶ 1; see also ECF No.

11-3 at 3–4, 16.

In June 2023, Plaintiff sued Defendant for delinquent contribution payments and un-

submitted remittance reports in violation of the CBAs, the collection policy, and ERISA. Compl.

¶¶ 15–17, 19–21. The Complaint alleges that Defendant reported—but failed to pay—

2 contributions owed to the Fund and payments known as dues checkoffs owed to the local union

between June 2021 and October 2022, in violation of its contractual duty. Id. It also alleges that

Defendant failed to provide required remittance reports from November 2022 through January

2024. Id. ¶ 19.

Defendant did not respond to the Complaint, so Plaintiff requested an entry of default,

which the Clerk of Court entered. See ECF Nos. 6, 7. In February 2024, Plaintiff moved for

default judgment, seeking judgment for: (1) monetary damages of $23,142.40 in unpaid

contributions and dues checkoffs, $3,290.98 in interest through April 20, 2023, $4,050.72 in

liquidated damages, and $5,199.00 in attorney’s fees and costs; and (2) an injunction requiring

Defendant to submit all remittance reports owed from November 2022 through January 2024 and

to comply with its obligation to pay contributions to the pension fund for hours worked by covered

employees over that same period. ECF No. 11-1 at 12–15.

II. Legal Standard

“A court has the power to enter default judgment when a defendant fails to defend its case

appropriately or otherwise engages in dilatory tactics.” Boland v. Elite Terrazzo Flooring, Inc.,

763 F. Supp. 2d 64, 66–67 (D.D.C. 2011) (citing Keegal v. Key W. & Caribbean Trading Co., 627

F.2d 372, 375 n.5 (D.C. Cir. 1980)). But “[b]ecause courts strongly favor resolution of disputes

on their merits,” a default judgment “usually is available ‘only when the adversary process has

been halted because of an essentially unresponsive party.’” Id. at 67 (quoting Jackson v. Beech,

636 F.2d 831, 836 (D.C. Cir. 1980)).

Federal Rule of Civil Procedure 55 provides a “two-step procedure” for obtaining a default

judgment. Ventura v. L.A. Howard Constr. Co., 134 F. Supp. 3d 99, 102 (D.D.C. 2015). First,

after a defendant “has failed to plead or otherwise defend,” the plaintiff may request the Clerk of

3 Court enter default against that defendant. Fed. R. Civ. P. 55(a). Second, after default is entered,

the plaintiff may move for a default judgment. Fed. R. Civ. P. 55(b)(2). “By providing for a two-

step process, Rule 55 allows the defendant the opportunity to move the court to set aside the default

before the court enters default judgment.” Int’l Painters & Allied Trades Indus. Pension Fund v.

Zak Architectural Metal & Glass, LLC, 635 F. Supp. 2d 21, 23 n.1 (D.D.C. 2009); see also Fed.

R. Civ. P. 55(c).

An entry of default “establishes the defaulting party’s liability for the well-pleaded allega-

tions of the complaint.” Elite Terrazzo, 763 F. Supp. 2d at 67 (collecting cases). But this “does

not automatically establish liability in the amount claimed by the plaintiff.” Carazani v. Zegarra,

972 F. Supp. 2d 1, 12 (D.D.C. 2013). Rather, “the court is required to make an independent

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Related

Boland v. ELITE TERRAZZO FLOORING, INC.
763 F. Supp. 2d 64 (District of Columbia, 2011)
Mazzarino v. Prudential Insurance Co. of America
955 F. Supp. 2d 24 (District of Columbia, 2013)
Carazani v. Zegarra
972 F. Supp. 2d 1 (District of Columbia, 2013)
Ventura v. L. A. Howard Construction Company
134 F. Supp. 3d 99 (District of Columbia, 2015)
Boland v. Smith & Rogers Construction L.T.D.
201 F. Supp. 3d 144 (District of Columbia, 2016)
Lemma v. Hispanic Nat'l Bar Ass'n
318 F. Supp. 3d 21 (D.C. Circuit, 2018)
Pescatore v. Pineda
345 F. Supp. 3d 68 (D.C. Circuit, 2018)

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