EARLE ASPHALT CO. v. COUNTY OF ATLANTIC

CourtDistrict Court, D. New Jersey
DecidedJuly 20, 2022
Docket1:21-cv-18355
StatusUnknown

This text of EARLE ASPHALT CO. v. COUNTY OF ATLANTIC (EARLE ASPHALT CO. v. COUNTY OF ATLANTIC) is published on Counsel Stack Legal Research, covering District Court, D. New Jersey primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
EARLE ASPHALT CO. v. COUNTY OF ATLANTIC, (D.N.J. 2022).

Opinion

IN THE UNITED STATES DISTRICT COURT FOR THE DISTRICT OF NEW JERSEY CAMDEN VICINAGE __________________________________ : Earle Asphalt Co., et al., : : Plaintiffs, : : Civil No. 21-18355 (RBK/AMD) v. : : OPINION County of Atlantic, et al., : : Defendants. : __________________________________ :

KUGLER, United States District Judge: This matter comes before the Court upon Defendant County of Atlantic’s Motion to Dismiss, (ECF No. 11), and Defendant South Jersey Building and Construction Trades Council, AFL-CIO’s Motion to Dismiss, (ECF No. 18). For the reasons set forth below, Defendants’ Motions to Dismiss are GRANTED. I. BACKGROUND A. Factual Background Plaintiffs Earle Asphalt Co., Luis Silverio, and Associated Builders and Contractors New Jersey Chapter (collectively “Plaintiffs”) have filed suit against the County of Atlantic and South Jersey Building and Construction Trades Council, AFL-CIO (collectively “Defendants”), challenging the terms of a project labor agreement (“PLA”) negotiated and entered into by Defendants as part of a project to renovate Lake Lenape Park East. See (ECF No. 1, “Compl.” ¶¶ 12, 13). Plaintiffs seek declaratory and injunctive relief, as well as damages. (Id. ¶ 47). i. Companion Case The Complaint here is nearly identical to the Plaintiffs’ Complaint in Earle Asphalt Co. v. Cnty. of Camden, 2022 U.S. Dist. LEXIS 111277 (D.N.J. 2022). The following is a brief summary of that case. Plaintiffs were, same as here, Earle Asphalt Co., Luis Silverio, and Associated Builders

and Contractors New Jersey Chapter (“ABC NJ”).1 On May 13, 2021, they filed suit against three defendants: Camden County Improvement Authority (“CCIA”), Camden County, and United Building Trades Council of Southern New Jersey, AFL-CIO. Id. at *2-4. Plaintiffs filed suit to challenge a project labor agreement (“PLA”) entered into by Defendants to renovate Whitman Park in Camden. Id. at *3. The PLA had similar terms to the PLA at issue here. Id. at *3-4. On May 20, 2021, Defendants revised the original PLA to no longer require contracting employees be union members for the length of their time on the Project or follow union security measures. Id. at *4. On August 16, 2021, Plaintiffs filed an Amended Complaint to challenge the original and the revised PLAs and add ABC NJ as a Plaintiff. Id. at *5. On September 7, 2021,

Defendants filed two motions to dismiss for lack of jurisdiction with Camden County and CCIA filing together, and the Trades Council filing separately. Id. at *6. There, like here, Plaintiffs failed to allege that they would have applied to work for the project at issue but for the applicable PLA. Id. at *15-16. This Court granted the Defendants’ motions to dismiss for lack of standing using nearly identical reasoning as to that which is used below in this case. Id. at *6-26.

1 ABC NJ was not a Plaintiff in the initial complaint but was later added in an Amended Complaint on August 16, 2021. Earle Asphalt Co. v. Cnty. of Camden, Civ. No. 21-11162, 2022 U.S. Dist. LEXIS 111277, at *5 (D.N.J. June 23, 2022). ii. The Parties Plaintiff Earle Asphalt Co. (“Earle”) is a non-union contractor. (Compl. ¶ 4). Plaintiff Luis Silverio is a non-union tradesman and an employee of Earle. (Id. ¶ 5). Plaintiff Associated Builders and Contractors New Jersey Chapter (“ABC NJ”) is the New Jersey chapter of a national association that represents 21,000 merit-shop construction and related firms. (Id. ¶6).

ABC NJ is asserting associational standing on behalf of its members. (Id. ¶ 25). Defendant Atlantic County (“County” or “Atlantic”) is a municipal corporation in New Jersey. (Compl. ¶ 7). Defendant South Jersey Building and Construction Trades Council, AFL- CIO (“Trades Council”) is an organization of labor unions. (Id. ¶ 8). Defendant Atlantic County entered into the PLA at issue here with Defendant Trades Council as part of a construction project. (Id. ¶¶ 12, 13). iii. The PLAs On June 17, 2021, Atlantic County issued an invitation to bid on a project to renovate Lake Lenape Park in Hamilton Township, New Jersey (“the Project”). (County Mot. at 3). A

PLA was included in that initial bid package. (Id. ¶ 2). The PLA required, inter alia, that local signatory unions be recognized as the “sole and exclusive bargaining representatives of all craft employees who are performing on-site Project work….” (Compl., Ex. 1, Art. 4 § 1). The PLA also required contractors on the Project to hire through the job-referral systems, or hiring halls, of the signatory union(s). (Compl., Ex. 1, Art. 4 § 2). Only those contractors and subcontractors who agreed to these terms were eligible to work on projects subject to the PLA at the time that the Complaint was filed in this case. (Id. ¶ 15). Plaintiffs allege that Atlantic County had been imposing PLAs “similar” to the PLAs on other bid invitations “for many years” up until Plaintiffs filed the instant suit. (Id. ¶ 14). On October 10, 2021, Plaintiffs filed suit against Defendants to enjoin enforcement of the PLAs and for damages. (ECF No. 1, “Compl.”). In their Complaint, Plaintiffs allege that the PLAs violate their Constitutional rights and the Sherman Act. (Id. ¶¶ 30–46). They claim that PLAs have deterred and prevented Earle and Mr. Silverio from obtaining work from Atlantic County in the past. (Id. ¶¶ 21, 22). Earle alleges that it continues to suffer injury due to the PLAs

because it “is ineligible to work on any public-works project subject to the … PLAs unless it” accepts a Trades Council-affiliated union as the sole representative of its employees and hires from a union’s job-referral system, (id. ¶ 19), despite being “ready and able to apply” for such work. (Id. ¶ 20). Mr. Silverio similarly claims that he is injured by the PLAs’ requirements that he obtain employment through a union job-referral system and accept union representation if he wants to work on Atlantic County projects. (Id. ¶ 23). As for ABC NJ, Plaintiffs allege that members of ABC are prohibited from working on County projects unless they accept the terms of the PLA. (Compl. ¶ 27). This, ABC claims, inflicts an injury on its members. (Id.) Defendants move to dismiss the Complaint pursuant to Federal Rule of Civil Procedure

12(b)(1), asserting that this Court lacks jurisdiction because Plaintiffs do not have standing and their claims are, at least in part, moot. (ECF No. 11, “County Mot.” at 10–16); (ECF No. 18, “Trades Council Mot.” at 11-15). Defendants also move to dismiss per Rule 12(b)(6), arguing that Plaintiffs have failed to state claims under the First and Fourteenth Amendments and the Sherman Act. (County Mot. at 16-20); (Trades Council Mot. at 15-25). B. Procedural History On October 10, 2021, Plaintiffs Earle and Silverio filed suit against Atlantic County and the Trades Council, alleging that the PLAs violate the First and Fourteenth Amendments and federal antitrust laws. (Compl.). On December 21, 2021, Atlantic County filed a motion to dismiss. (County Mot.). Plaintiffs responded opposing the motion on January 24, 2022. (ECF No. 13, “Pl. Opp’n to County of Atlantic’s Mot.”). The Trades Council also filed a motion to dismiss on April 6, 2022. (Trades Council Mot.). Plaintiffs responded opposing this motion on May 2, 2022. (ECF No. 20, “Pl. Opp’n to Trades Council Mot.”). The Trades Council filed a reply brief on May 9, 2022. (ECF No. 21, “Trades Council Reply”).

II. LEGAL STANDARD A. Federal Rule of Civil Procedure 12(b)(1) Federal Rule of Civil Procedure 12(b)(1) allows a court to dismiss a complaint for lack of subject matter jurisdiction.

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EARLE ASPHALT CO. v. COUNTY OF ATLANTIC, Counsel Stack Legal Research, https://law.counselstack.com/opinion/earle-asphalt-co-v-county-of-atlantic-njd-2022.