In re the Arbitration between Potoker & Brooklyn Eagle, Inc.

141 N.E.2d 841, 2 N.Y.2d 553, 161 N.Y.S.2d 609, 1957 N.Y. LEXIS 1116
New York Court of Appeals·Decided April 4, 1957·Published·Cited by 25 cases

Opinions

Dye, J.

The petitioner-respondent, Newspaper Guild of New York, Local 3, ANG, CIO, hereinafter called “ Guild ” and the respondent-appellant, Brooklyn Eagle, Inc., hereinafter called [557] the “ Publisher ”, under date of November 30, 1952, entered into a collective bargaining agreement affecting the employees in the Publisher’s editorial and commercial departments. The agreement was for a period of two years unless changed by mutual consent. If either party desired to change the terms, it could give notice of its desire to the other “ Not more than 90 days and not less than 60 days prior to the expiration * * * thereof ”, in which event, negotiations were to commence immediately and ‘ proceed with all due diligence ’ ’. It further provided that: “If an agreement has not been reached by the date upon which this agreement expires, status quo conditions shall be maintained during negotiations unless and until such negotiations are terminated by either party ” (§ 27).1 By letter dated September 1, 1954, which was within the time limitation provided therefor, the Guild notified the employer of its desire to modify the collective bargaining agreement and requested a joint conference at a mutually convenient date. Thereafter the parties negotiated in joint session both prior to and subsequent to November 30, 1954, the expiration date of the contract, but without reaching a mutually satisfactory agreement.

On January 28, 1955 the Guild, acting upon the instructions of the affected employees, called a strike. Nonetheless, negotiations continued earnestly and in good faith in an effort to reach a new agreement until broken off on or about March 8, 1955. Thereafter, by letter dated March 16,1955, the Publisher notified the Guild that “ an insoluble impasse ” had been reached and [558] that since further negotiations would “be futile ”, “we elect to, and hereby do, terminate them forthwith.” The Publisher also advised the Guild that: “ The consequences of the strike have destroyed the Brooklyn Eagle and we do not intend ever to resume publication of the neAvspaper.” On the same day, the Guild notified the Publisher via Western Union that, because of its announced intention to suspend publication of its newspaper, the employee benefit provisions of the collective bargaining agreement were deemed operative and demanded that Publisher immediately: ‘ ‘ remit all severance pay, accrued vacation pay, unpaid overtime and holidays, notice of dismissal pay, sick leave pay and any and all other benefits earned by your employees * * * up to January 29, 1955 ”.

When the Publisher rejected these demands, the Guild moved at Special Term, pursuant to section 1450 of the Civil Practice Act, to compel the Publisher to proceed to arbitration in accordance Avith its collective bargaining agreement.2 The Special Term granted petitioner’s motion in all respects except insofar as it sought arbitration of severance and notice of dismissal pay.

Upon appeal, the Appellate Division, First Department, reversed so much of the Special Term order as had refused to direct arbitration on the claims of severance and notice of dismissal pay, made new findings and conclusions of law in respect thereto, directed that arbitration proceed as to those claims and, as so modified, affirmed.

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In re the Arbitration between Potoker & Brooklyn Eagle, Inc., 141 N.E.2d 841, 2 N.Y.2d 553, 161 N.Y.S.2d 609, 1957 N.Y. LEXIS 1116 (N.Y. 1957).

141 N.E.2d 841 (In re the Arbitration between Potoker & Brooklyn Eagle, Inc.) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

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