Falciglia v. Gallagher

164 Misc. 838, 299 N.Y.S. 890, 1937 N.Y. Misc. LEXIS 1881
CourtNew York Supreme Court
DecidedNovember 16, 1937
StatusPublished
Cited by3 cases

This text of 164 Misc. 838 (Falciglia v. Gallagher) is published on Counsel Stack Legal Research, covering New York Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Falciglia v. Gallagher, 164 Misc. 838, 299 N.Y.S. 890, 1937 N.Y. Misc. LEXIS 1881 (N.Y. Super. Ct. 1937).

Opinion

Koch, J.

This is an application for a temporary injunction pursuant to the provisions of article 51 of the Civil Practice Act. The plaintiff, a plastering contractor, has instituted an action seeking as relief, among other things, various permanent injunctions and also damages against the defendants John Gallagher, as president of the Operative Plasterers’ and Cement Finishers’ International Association, Local No. 60, Greater New York Employing Plasterers’ Association, Inc., and Arthur Rhodes, as president and managing director, and John Doe,” the party intended being the treasurer, of the New York Plastering Code Committee. A hearing has been held pursuant to section 876-a of the Civil Practice Act.

On or about April 7,1937, an agreement was entered into between Contracting Plasteiers’ Association of Greater New York and [840]*840defendant Greater New York Employing Plasterers’ Association, Inc., which associations are employers’ associations composed of contracting plasterers in the city of New York, as one set of parties, and Operative Plasterers’ and Cement Finishers’ International Association, Local No. 60, a union of workmen employed in the plastering industry in the city of New York, as the other party. The purpose of the agreement, as stated therein, was for stabilizing wages and working conditions in the plastering industry and insuring the payment of wages provided for in the agreement. The agreement contained various provisions which were stated to be for the mutual benefit of the members of the contracting parties and provided that any person, firm or corporation engaged in the contracting plastering industry as an employer might become a party to the agreement in the manner therein provided.

The agreement, in article 5 thereof, provided for the execution by all of its signers of a voluntary code of fair competition in the form which was annexed thereto. The code referred to in the agreement, and to which each party thereto was thereby bound .to subscribe, required each plastering contractor who anticipated obtaining a plastering contract from an owner or builder, upon being invited to submit an estimate on a job, to notify the managing director of the code of his intention to submit a bid. It further provided that the administrative committee of the code should establish a bid depository for the filing of copies of bids, and that each contractor should within twenty-four hours after submission of a bid, file a true copy of the bid and all revisions thereof with the bid depository. The bids were then to be opened by the managing director. Certain provisions follow as to what each bid must contain, the alleged purpose of which is to insure that each bid will be large enough to pay union wages to the men employed on the job.

The plaintiff contends that he signed the agreement and became entitled to become a member of the code and enjoy the benefits of the agreement and the code. There is a conflict in the evidence as to whether or not the plaintiff actually signed the agreement and the code, but, in any event, the court finds as a fact that the plaintiff signed the agreement.

The plaintiff proved that he had obtained a plastering contract from Terf Construction Corporation, and, in accordance with the agreement and the code, attempted to register the contract and obtain the certificate referred to in the code, and that the code committee, or the industrial board thereof, rejected his application, and that no reason was given for the rejection.

[841]*841Article 7, subdivision (n), of such code provides: “At the time of paying the fee in full or the required one-third thereof, a registration certificate will be issued and the same is to be posted in a conspicuous place on the job.”

Plaintiff testified: “ Q. What did you say to him [Rhodes, president of the code committee] and what did he say to you? A. He says, The Industrial Board has rejected your application.’ ‘ For what reason ’ I asked him. No reason.’ But there must be a reason,’ I said. He says, ‘ They simply wont give it to you.’ ” This testimony is uncontradicted.

The plaintiff thereafter testified that he attempted to get men from the union to perform his contract, but his requests were denied for the sole reason that he had no certificate and that he was, therefore, unable to get men. This was confirmed by John E. Gallagher, one of the defendants, who testified that he was president and business agent of the union, and knew the plaintiff was endeavoring to get men from his local. He further testified: “ Q. What did you tell him? A. He asked for men. I says ‘ You have no certificate according to the code and agreement.’ Q. How do you know that Mr. Falciglia did not have a certificate? A. Every certificate that is issued by the code is sent to me and I in turn put it in my office. Q. And without a certificate, would you not give Mr. Falciglia men? A. No. Q. Did you give Mr. Falciglia any men? A. No.” And, further: “ Q. And if that Code Committee refuses to issue a code certificate on the job, can that contractor get any men from your union? A. No.”

The above and other evidence clearly establishes that, although the agreement did not by its express terms obligate the union tc supply workmen only to those contractors certified by the code committee, yet the manner in which the parties acted under the agreement in effect gave to the code committee power to establish a virtual monopoly of the plastering business and to boycott any plastering contractor at its whim or caprice. The testimony established that if a plastering contractor could not get a certificate from the code committee he could not get union men. It also established that his only alternative was to hire non-union men, in which event all union men on the job would strike and the building could not be completed.

As further evidence of the effect of the combination and arrangement of which the plaintiff complains, the testimony shows that the builder, with whom plaintiff contracted, was compelled to abandon his contract with the plaintiff, to execute a release to the defendant union, and to enter into a new contract with a different plasterer, incidentally, but perhaps significantly, a relative of the [842]*842president of one of the associations, and at a price $7,000 in excess of the plaintiff’s contract.

The defendants attempt to avoid the legal consequences of their combination and arrangement by explaining its alleged virtues and intended purposes, and by disavowing any intention to boycott the plaintiff. Their further explanation that the plaintiff or any other plastering contractor could at any time get union men so long as he accepted men of the union’s selection is wholly inadequate and unavailing. The fact remains that this plaintiff was absolutely refused union men. No matter how laudable may have been the expressed purposes of the combination, there is no doubt that in this case it has been used as the instrument of oppression. The public will be the ultimate sufferers if such practice is permitted or condoned.

I am not unmindful of the decision in the case of American Fur Manufacturers Assn., Inc., v. Associated Fur Coat & Trimming Manufacturers, Inc. (161 Misc. 246; affd., 251 App. Div. 708), but in my opinion the facts there should be distinguished from the instant case. There the plaintiff alleged in his complaint that his only alternative was to make independent contracts with the labor unions for union men to be furnished.

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Bluebook (online)
164 Misc. 838, 299 N.Y.S. 890, 1937 N.Y. Misc. LEXIS 1881, Counsel Stack Legal Research, https://law.counselstack.com/opinion/falciglia-v-gallagher-nysupct-1937.