District 30, United Mine Workers of America v. Sovereign Coal Corporation

750 F.2d 37, 117 L.R.R.M. (BNA) 3346, 1984 U.S. App. LEXIS 16092
CourtCourt of Appeals for the Sixth Circuit
DecidedDecember 7, 1984
Docket83-5518
StatusPublished
Cited by6 cases

This text of 750 F.2d 37 (District 30, United Mine Workers of America v. Sovereign Coal Corporation) is published on Counsel Stack Legal Research, covering Court of Appeals for the Sixth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
District 30, United Mine Workers of America v. Sovereign Coal Corporation, 750 F.2d 37, 117 L.R.R.M. (BNA) 3346, 1984 U.S. App. LEXIS 16092 (6th Cir. 1984).

Opinion

PER CURIAM.

This is an appeal from a District Court order remanding an arbitrator’s decision for reconsideration in light of additional evidence.

In June 1975, Joe Zankovitch suffered an on-the-job injury while employed by defendant Sovereign Coal Company. In October 1976, the Kentucky Workmen’s Compensation Board awarded him $88.00 per week in disability payments, including payments retroactive to the date of the injury. In August of 1981, Sovereign Coal’s insurance carrier settled Zankovitch’s disability claim with a $40,000 lump sum payment. About three months later, Zankovitch tried to return to work, presenting Sovereign Coal with a doctor’s slip indicating that he could now work. Sovereign Coal, however, refused to permit him to return.

Zankovitch filed a grievance, alleging that Sovereign Coal had violated Article III, Section J(3) of the National Bituminous Coal Wage Agreement of 1981, which provides that

once employed, an Employee cannot be terminated or refused recall from a panel or recall from sick or injured status for medical reasons over his objection without the concurrence of a majority of a group composed of an Employer-approved physician, an Employee-approved physician, and a physician agreed to by the Employer and the Employee, that there has been a deterioration in physical condition which prevents the Employee from performing his regular work.

The grievance was submitted to arbitration. The arbitrator concluded that because the $40,000 settlement was a full and final settlement based on the belief that Zankovitch’s disability was permanent and total, Zankovitch had “voluntarily terminated his employment” and Sovereign Coal was justified in refusing to allow Zankovitch to return to work.

The union then filed this suit under section 301 of the Labor-Management Relations Act of 1947, 29 U.S.C. § 185, alleging the same violation of the collective bargaining agreement which Zankovitch had alleged in his grievance. Each party moved for summary judgment, agreeing that the only issue was whether the arbitrator’s decision was supported by substantial evidence. The District Court recognized that if the arbitrator’s decision was supported by substantial evidence, the court was powerless to vacate or modify it. The court found that the arbitrator’s decision was in fact supported by substantial evidence; nevertheless, the court denied each party’s motion for summary judgment and remanded the case to the arbitrator for reconsideration in light of additional evidence which the union presented to the District Court but, for some unexplained reason, had not presented to the arbitrator. Sovereign Coal appeals.

*39 The additional evidence consisted of documents which undermined the arbitrator’s finding that the $40,000 settlement was for permanent total disability. These documents indicated instead that the settlement was for permanent partial disability and that Zankovitch would return to work when his health permitted. The union proffered no reason for its failure to submit these documents for the arbitrator’s examination in the first instance. There was no claim that the documents were not available to the union at the time of the arbitration hearing or that Sovereign Coal had prevented or interfered with the union securing them for that hearing.

The District Court cited no authority for its remand order. The Court acknowledged that courts generally may not review the merits of an arbitrator’s award nor conduct a de novo proceeding. See United Steelworkers of America v. Warrior & Gulf Navigation Co., 363 U.S. 574, 80 S.Ct. 1347, 4 L.Ed.2d 1409 (1960). It is true that courts may occasionally modify, reverse or vacate an arbitrator’s decision, but such action is limited to situations where the arbitrator’s decision fails to draw its essence from the collective bargaining agreement, see United Steelworkers of America v. Enterprise Wheel & Car Corp., 363 U.S. 593, 596, 80 S.Ct. 1358, 1360, 4 L.Ed.2d 1424 (1960), or where the decision is tainted by fraud or other misconduct either of the arbitrator or of a party, see 9 U.S.C. § 10.

This Court has, on occasion, set aside arbitrators’ decisions which did not draw their essence from the collective bargaining agreement. See, e.g., General Drivers, Warehousemen and Helpers, Local Union No. 89 v. Hays & Nicoulin, Inc., 594 F.2d 1093 (6th Cir.1979) (arbitrator improperly substituted his judgment on employee’s fitness for judgment of person empowered by the collective bargaining agreement to make that decision); Magnavox Co. v. International Union of Electrical, Radio and Machine Workers, 410 F.2d 388 (6th Cir.1969) (arbitrator improperly refused to apply explicit provisions of the collective bargaining agreement); Local 342, United Automobile Aerospace & Agricultural Implement Workers of America v. T.R.W., Inc., 402 F.2d 727 (6th Cir.1968), cert. denied, 395 U.S. 910, 89 S.Ct. 1742, 23 L.Ed.2d 223 (1969) (arbitrator’s decision improperly constituted additional terms to the collective bargaining agreement); Timken Co. v. Local Union No. 1123, United Steelworkers of America, 324 F.2d 738 (6th Cir.1963) (arbitrator’s award was not rationally deducible from the collective bargaining agreement).

The court below, however, made no finding that the arbitrator’s decision impermissibly departed from or added to the terms of the collective bargaining agreement. Nor did the court find any fraud or other misconduct. Rather, the court found only that there was additional evidence, not presented to the arbitrator, which might, on reconsideration, change the arbitrator’s decision.

The union urges that the District Court’s order is supported by Electronics Corporation of America v. International Union of Electrical, Radio and Machine Workers, 492 F.2d 1255 (1st Cir.1974), which held that an arbitrator’s award cannot stand where it is clearly shown that the central fact upon which the arbitrator’s decision hinges is not true. Electronics Corporation of America, however, is inapposite. As that court put it, “our holding today is only that where the

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750 F.2d 37, 117 L.R.R.M. (BNA) 3346, 1984 U.S. App. LEXIS 16092, Counsel Stack Legal Research, https://law.counselstack.com/opinion/district-30-united-mine-workers-of-america-v-sovereign-coal-corporation-ca6-1984.