Judlau Contracting, Inc. v. City of Chicago

2021 IL App (1st) 200801-U
Appellate Court of Illinois·Decided May 14, 2021·No. 1-20-0801·Unpublished

Opinion

2021 IL App (1st) 200801-U

FIFTH DIVISION

Order filed: May 14, 2021

No. 1-20-0801

NOTICE: This order was filed under Supreme Court Rule 23 and is not precedent except in the limited circumstances allowed under Rule 23(e)(1).

IN THE

APPELLATE COURT OF ILLINOIS

FIRST DISTRICT

JUDLAU CONTRACTING, INC., ) Appeal from the ) Circuit Court of

Plaintiff-Appellant, ) Cook County.

)

v. ) No. 18 CH 11042 )

)

THE CITY OF CHICAGO, a Municipal Corporation ) Organized under the laws of Illinois, THE CITY OF ) CHICAGO DEPARTMENT OF AVIATION, JAMIE L. ) RHEE, Commissioner of the City of Chicago Department ) of Aviation, GINGER EVANS, Former Commissioner of ) the City of Chicago Department of Aviation, THE CITY ) OF CHICAGO DEPARTMENT OF PROCUREMENT ) SERVICES, SHANNON E. ANDREWS, Chief ) Procurement Officer of the City of Chicago Department of ) Procurement Services, ) Honorable ) David B. Atkins,

Defendants-Appellees. ) Judge, presiding.

JUSTICE HOFFMAN delivered the judgment of the court.

Justices Cunningham and Rochford concurred in the judgment.

ORDER

¶1 Held: We affirm the circuit court’s denial of the plaintiff’s common law writ of certiorari on the grounds that the administrative agency’s decision was not clearly erroneous.

¶2 The plaintiff, Judlau Contracting, Inc. (Judlau) appeals from an order of the circuit court of Cook County, denying its common law writ of certiorari and affirming the decision of the Chief Procurement Officer (CPO) of the City of Chicago Department of Procurement Services. On appeal, Judlau argues that the CPO’s decision should be overturned on the grounds that it was clearly erroneous. For the reasons that follow, we affirm the circuit court’s denial.

¶3 The following facts were adduced from the pleadings and the administrative record.

¶4 On April 14, 2017, the City of Chicago Department of Aviation (CDA) entered into a contract with Judlau to complete a construction project at O’Hare International Airport (the Contract). The followings provisions of the Contract are relevant to the disposition of this appeal. Article VIII, section G.1 of the Contract provided that the Commissioner of the CDA may suspend work under the Contract and specified when Judlau would be entitled to additional compensation as a result of the suspension:

“The Commissioner has authority to suspend Work wholly, or in part for such period of time as the Commissioner may deem necessary due to conditions unfavorable for the satisfactory prosecution of the Work, or to conditions which, in the Commissioner’s opinion, warrant such actions or for such time as is necessary to carry out orders given; or to perform any or all provisions of the Contract. If the Commissioner suspends Work for more than seven Calendar Days, the Contractor will be entitled to compensation for the following costs of the suspension unless the suspension and/or costs were caused by any act or omission of the Contractor: demobilization and remobilization, field supervision (based upon accepted staffing plan), and idle equipment costs as provided in Article X.”

¶5 In the event that work on the project was delayed, article VIII, section B.1 of the Contract provided the following:

No Damages for Delay: If the Contractor is delayed in the commencement, prosecution or completion of the Work by any act of the City, including but not limited to a delay, change, addition, deletion or modification in the Work or any omission, neglect or default of the City, or by order of the Commissioner, or the Commissioner’s designee, or by any cause beyond the Contractor’s control, none of which are due to any fault, neglect, act or omission on Contractor’s part, then the Contractor shall be entitled solely and exclusively to an extension of time only.”

¶6 The procedure Judlau must follow to bring a claim or dispute under the Contract is outlined in article XVII, section A.2. Relevant here, Judlau must submit its claim to the Commissioner of the CDA for resolution, and if Judlau does not agree with the final decision, it must file a dispute with the CPO within 30 days. Article XVII, section B.5 of the Contract provides that, if Judlau does not agree with the final decision of the CPO, its “sole and exclusive remedy is judicial review by a common law writ of certiorari.”

¶7 Article XIX, section LL of the Contract provided that Judlau must comply with the Project Labor Agreement (PLA) entered into between the City of Chicago and various labor unions:

“Project Labor Agreement: Pursuant to an Ordinance passed by City Council, effective as of February 22, 2011, the City has entered into the Project Labor Agreement (“PLA”), which is hereby referenced and included in the Contract Documents, with various trades regarding projects as described in the PLA, together with a list of signatory unions.

Contractor acknowledges familiarity with the requirements of the PLA and its applicability to any Work under this Contract, and shall comply in all respects with the PLA.”

¶8 The PLA, in turn, required Judlau and the CDA to ensure that only signatories and other qualifying persons, firms, or companies perform work on the project. Section 11 of the PLA outlined the mandatory procedures for resolving jurisdictional disputes between signatory labor unions:

“In the event of a jurisdictional dispute by and between any labor organizations signatory hereto, such labor organizations shall take all steps necessary to promptly resolve the dispute. In the event of a dispute relating to trade or work jurisdiction, all parties, including, the employers, contractors or subcontractors agree that a final and binding resolution of the dispute shall be resolved as follows:

a.) Representatives of the affected trades shall meet on the job site within forty-

eight (48) hours after receiving notice in an effort to resolve the dispute ***.

b.) If no settlement is achieved subsequent to the preceding Paragraph, the matter shall be referred to the Chicago & Cook County Building & Construction Trades Council which shall meet with the affected trades within forty-eight (48) hours subsequent to receiving notice. An agreement reached at this Step shall be final and binding.

c.) If no settlement agreement is reached during the proceedings contemplated by Paragraph “a” or “b” above the matter shall be immediately referred to the Joint Conference Board established by the Standard Agreement between the Construction Employers’

Association and the Chicago & Cook County Building & Construction Trades Council, which may be amended from time to time, for final and binding resolution of said dispute.”

¶9 Section 12 of the PLA incorporated its terms into any collective bargaining agreement between signatory unions and a contractor or subcontractor and mandated that the PLA’s terms supersede any inconsistent collective bargaining agreement provision.

¶ 10 Lastly, section 13 of the PLA provided the following:

“The parties agree that in the implementation and administration of this Agreement, it is vitally necessary to maintain effective and immediate communication so as to minimize the potential of labor relations disputes arising out of this Agreement. To that end, each party hereto agrees to designate, in writing, a representative to whom problems can be directed which may arise during the term of this Agreement. Within forty-eight (48)

hours after notice of the existence of any problem, representatives of each party shall meet to discuss and, where possible, resolve such problems.”

Section 13 goes on to name the designated representative for both the signatory unions and the City of Chicago.

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