Laborers' International Union of North America v. Kunco, Inc.

344 F. Supp. 626, 80 L.R.R.M. (BNA) 3099, 1972 U.S. Dist. LEXIS 12913
CourtDistrict Court, W.D. Arkansas
DecidedJuly 3, 1972
DocketNo. FS-71-C-21
StatusPublished
Cited by3 cases

This text of 344 F. Supp. 626 (Laborers' International Union of North America v. Kunco, Inc.) is published on Counsel Stack Legal Research, covering District Court, W.D. Arkansas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Laborers' International Union of North America v. Kunco, Inc., 344 F. Supp. 626, 80 L.R.R.M. (BNA) 3099, 1972 U.S. Dist. LEXIS 12913 (W.D. Ark. 1972).

Opinion

MEMORANDUM OPINION

PAUL X WILLIAMS, District Judge.

On March 26, 1971 the plaintiff, Laborers’ International Union of North America, Local No. 107, filed this action against Kunco, Inc., under 29 U.S.C. § 185(a) alleging that it negotiated a “hiring hall contract” with the Fort Smith Contractors Association of which Kunco, Inc., was and is a member and seeking money damages and declaratory and injunctive relief for alleged breach of the contract.

Paragraph 10 of the “hiring hall contract, the basis for this action, is as follows:

“The Union will furnish, if requested by the contractor, duly qualified workmen in the various classifications covered by this agreement, in sufficient number as may be necessary to properly perform work contracted for by the contractor, in the manner and under the conditions specified in this agreement. Men may be requested by name, and shall be referred, if the man requested has worked for the calling contractor within the past twelve (12) months in the jurisdiction of Local No. 107, unless employed elsewhere at the time of the request. The Union will maintain a register of all persons who desire work of any classification covered • by this contract. Such register shall be maintained without discrimination as to race, col- or or status of membership. Contractors agree that no person shall be employed on any job covered by this agreement except such persons as shall be referred from the register so maintained. Provided further, however, that nothing in this contract shall prevent the employment by the contractor of nonregistered persons at any time when no men are available from the register so maintained. Available means reporting to work within Eighteen (18) hours following request by the contractor.”

Paragraph 5 of plaintiff’s complaint is as follows:

“Plaintiff states that although the contract as aforesaid was executed on January 1st, 1970 and has been in full force and effect at all times since January 1st, 1970 and will continue in full force and effect at least until December 31st, 1971, that the Defendant, Kunco, Inc., has willfully and intentionally failed and refused to abide by the terms and conditions of the contract in that the Defendant, Kunco, Inc., is engaged in construction work in Benton County, Arkansas and has wholly failed and refused to follow the contract provisions with regard to employees working on the said job.”

The prayer of the complaint is as follows:

“WHEREFORE, premises considered, Plaintiff pray that it have judgment against the Defendant for the sum and amount of One Hundred Thousand Dollars ($100,000.00) and that this Court, after hearing, make and enter its Order permanently enjoining and restraining the Defendant from further abridging the terms and conditions of the contract between the parties.”

On April 9, 1971 the defendant filed motion to dismiss the complaint for failure to state a claim upon which relief can be granted.

Each party submitted a brief and the motion was argued orally before the Court and taken under advisement.

[628]*628Since the question of jurisdiction is always before the Court regardless of whether raised by either party, we first address ourselves to the question of jurisdiction.

29 U.S.C. § 185(a) is as follows:

Suits for violation of contracts between an employer and a labor organization representing employees in an industry affecting commerce as defined in this chapter, or between any such labor organization, may be brought in any district court of the United States having jurisdiction of the parties, without respect to the amount in controversy or without regard to the citizenship of the parties.

Under the allegations of the complaint Kunco is an employer of laborers in Arkansas and plaintiff is a labor organization. There is a question as to jurisdiction since the controversy arises from the construction of an Arkansas contract that in no wise concerns a matter in which the Union represents all the employees of Kunco and is not a collective bargaining contract concerning labor conditions, wages or unfair labor practices. '

The Courts have consistently held that 29 U.S.C. § 185 shall not be given a narrow reading. Smith v. Evening News, (1962) 371 U.S. 195, 83 S.Ct. 267, 9 L.Ed.2d 246; Chasis v. Progress Mfg. Co., 3 Cir., 382 F.2d 773; Smith v. DCA Food Ind. Inc., (D.C.1967) 269 F.Supp. 863.

In the case of Deaton Truck Line, Inc. v. Local Union 612, 314 F.2d 418, at p. 422 (5 Cir., 1963) is found the following language:

“The main issue urged by Deaton on this appeal is that the district court had no jurisdiction under Section 301 of the Taft-Hartley Act, 29 U.S.C.A. § 185 (n. 1, supra) over the mileage tax-license tag dispute because it was not a labor grievance but a commercial dispute between independent contractor-lessors and their lessee. Deaton’s contention is predicated upon too narrow a meaning of ‘contracts’ as used in Section 301(a) (n. 1, supra). It is now settled that ‘contracts’, as there used, includes more than ‘collective bargaining agreements,’ and is broad enough to include any agreement ‘between employers and labor organizations significant to the maintenance of labor peace between them.’ Retail Clerks International Ass’n, Local Unions Nos. 128 and 633 v. Lion Dry Goods, Inc., 1962, 369 U.S. 17, 27, 28, 82 S.Ct. 541, 548, 7 L.Ed.2d 503. The Supreme Court has heretofore taken the position that it is not necessary to determine whether owner-operators are ‘employees’ protected by the Act, since the establishment of minimum rental to them was integral to the establishment of a stable wage structure for clearly covered employee-drivers. Local 24 of International Brotherhood of Teamsters, Chauffeurs, Warehouse-men and Helpers of America, AFL-CIO v. Oliver, 1959, 358 U.S. 283, 294-295, 79 S.Ct. 297, 3 L.Ed.2d 312; United States v. Drum, 1962, 368 U.S. 370, 382, n. 26, 82 S.Ct. 408, 7 L.Ed.2d 360. It is true that in Oliver, approved in Drum, the bargaining unit included an overwhelming majority of concededly employed drivers, while in the present case there are very few admitted employees, and an overwhelming majority of lessor-drivers. However, the Union points out, soundly we think, that it has a legitimate interest in protecting its area wage standards. See In re Local Union No. 741, etc. (Keith Riggs Plumbing, etc.), 1962, 137 NLRB No. 121, 50 L.R.R.M. 1313 at 1314. Moreover, Deaton acknowledges that it has some ‘employees.’ It cannot, then, be denied that the contract was ‘between an employer and a labor organization representing employees [etc.]’ within the meaning of Section 301(a) (n. 1, supra) .

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344 F. Supp. 626, 80 L.R.R.M. (BNA) 3099, 1972 U.S. Dist. LEXIS 12913, Counsel Stack Legal Research, https://law.counselstack.com/opinion/laborers-international-union-of-north-america-v-kunco-inc-arwd-1972.