Cities Service Defense Corporation v. George Dutton, George Dutton v. Cities Service Defense Corporation

240 F.2d 113
CourtCourt of Appeals for the Eighth Circuit
DecidedFebruary 20, 1957
Docket15536_1
StatusPublished

This text of 240 F.2d 113 (Cities Service Defense Corporation v. George Dutton, George Dutton v. Cities Service Defense Corporation) is published on Counsel Stack Legal Research, covering Court of Appeals for the Eighth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Cities Service Defense Corporation v. George Dutton, George Dutton v. Cities Service Defense Corporation, 240 F.2d 113 (8th Cir. 1957).

Opinion

VAN OOSTERHOUT, Circuit Judge.

Defendant-employer appeals from judgment awarding certain employees compensation for unpaid overtime wages. Other employees have filed cross-appeal’ from judgment denying their claims for additional compensation. All' alleged services here involved were performed, before the enactment of the Portal-toPortal Act on May 14, 1947, 29 U.S.C.A. § 251 et seq. Accordingly,, the rights of the parties are governed by section 2 of the Portal-to-Portal Act, 29 U.S.C.A. § 252.

The principal issue involved in these appeals is whether section 2 of the Portal-to-Portal Act bars claims for any (all) activities except those compensable by either contract, custom, or practice. An affirmative holding upon this issue would require the denial of all of the employees’ claims unless it is shown that the activities were compensable by contract, custom, or practice.

The defendant-employer operated a chemical plant at' Maumelle, Arkansas, producing explosives during- World War II. Various employees brought suit in federal court for overtime wages which they claimed to be due them under the Fair Labor Standards Act, 29 U.S.C.A. § 201 et seq. These suits were consolidated for trial and are consolidated here. The plaintiff-employees will be generally referred to as employees.

These cases were before this court in Dutton v. Cities Service Defense Corporation, 197 F.2d 458. The employees make some contention that our decision upon the former appeal is an adjudication that they are entitled to relief. Such is not the case. We there vacated the district court’s order dismissing the action for failure to state claims upon which relief -could be granted and of which the court had jurisdiction under-section 2(d) of the Portal-to-Portal Act. This court, after finding that the pleadings raised the fact issue of whether or not the employees’ activities were compensable by custom, stated at page 460:

“* * * But upon this appeal from the order of dismissal, this Court is precluded from considering more than is alleged in the-com--, plaint, and may not speculate as to whether the evidence at a trial would negative jurisdiction because of the Portal-to-Portal Act.”

Upon remand this case was referred to a master .who heard' testimony, and filed findings of fact -and conclusions of law. The master found that the time consumed in performing the activities for which recovery was allowed constituted working time,- and that recovery was not barred by the Portal-to-Portal Act. All parties . filed. objections to the master’s findings and conclusions. The district court entered an order adopting the -master’s report, modifying it only to the extent of- awarding liquidated damages.! Judgment was entered for the employees in the amounts fixed by the master, plus 50 per cent liquidated damages.

We will outline briefly the nature of the employees’ activities here involved. The largest group of employees was the ammonium picrate operators group. The master found that for health and safety reasons it was necessary for them to change clothes and bathe, and that by *115 custom they were allowed and paid 30 minutes overtime daily for that purpose. Such finding is not disputed. The master also found that these employees were entitled to compensation for an additional 17 minutes daily for clocking in and clocking out, waiting, and traveling between the gate and the production unit. 1 The situation with reference to the acid plant operators was substantially the same except their travel within the plant consumed less time, and these employees were each allowed 12 minutes additional overtime daily.

The claimants in the two categories above are the beneficiaries of about 83 per cent of the total judgment. However, claims of numerous other types of employees were allowed. Guards were allowed 7½ minutes per day for travel time between their reporting post and the post to which they were assigned. Other employees were found entitled to extra overtime by reason of travel time within the plant, or because they commenced their duties before the regular work period began by distributing tools or clothing to other employees or by the performance of other labor.

Rejected claims involved on the cross-appeal are claims of loading dock men for time consumed in getting their trucks to the working area in the morning and away therefrom at night, claims of maintenance men and carpenters for time required to change clothes, assemble tools, and ride to their working location, and claims of machinists for changing clothes.

We have set out only some of the principal features of the numerous categories of claims here involved, since the exact nature of the activities of the various claimants has no important bearing upon the result we reach.

We are of the opinion that section 2 of the Portal-to-Portal Act bars all claims for overtime compensation for any and all activities performed prior to the date of the enactment of said Act, except such activities as were compensable under express provisions of a contract or by custom or practice. This is true as to section 2 claims even if the activities involved be considered an integral part of the employees’ principal activities. Section 2 of the Portal-to-Portal Act provides in part:

“(a) No employer shall be subject to any liability or punishment under the Fair Labor Standards Act of 1938, as amended, the WalshHealey Act, or the Bacon-Davis Act (in any action or proceeding commenced prior to or on or after May 14, 1947), on account of the failure *116 of such employer to pay an employee minimum wages, or to pay an employee overtime compensation, for or on account of any activity of an employee engaged in prior to May 14, 1947, except an activity which was compensable by either—
“(1) an express provision of a written or nonwritten contract in effect, at the time of such activity, between such employee, his agent, or collective-bargaining representative and his employer; or
“(2) a custom or practice in effect, at the time of such activity, at the establishment or other place where such employee was employed, covering such activity, not inconsistent with a written or nonwritten contract, in effect at the time of such activity, between such employee, his agent, or collective-bargaining representative and his employer.”

This court recently had occasion to consider the applicability of section 2 of the Portal-to-Portal Act in the consolidated cases of Ciemnoczolowski v. Q. O. Ordnance Corporation (Dunning v. Q. O. Ordnance Corporation), 228 F.2d 929. After the decision of the Supreme Court in Steiner v. Mitchell, 350 U.S. 247, 76 S.Ct. 330, and Mitchell v. King Packing Co., 350 U.S. 260, 76 S.Ct. 337, a rehearing was granted in the Dunning case. After hearing argument upon rehearing, the prior decision denying relief to the employees was reaffirmed. Dunning v. Q. O.

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240 F.2d 113, Counsel Stack Legal Research, https://law.counselstack.com/opinion/cities-service-defense-corporation-v-george-dutton-george-dutton-v-ca8-1957.