Langone v. C. Walsh, Inc.

Procedural entryThis page is a short order in Langone v. C. Walsh, Inc.. Read the opinion of the Court — 101 F.3d 106
Court of Appeals for the First Circuit·Decided November 21, 1996·No. 96-1105·Published

Opinion

USCA1 Opinion



[Not for Publication]

United States Court of Appeals
For the First Circuit

____________________

No. 96-1105

CHARLES LANGONE ET AL.,
Plaintiffs, Appellees,

v.

WILLIAM WALSH, INC.,
d/b/a William Walsh Movers,
Defendant, Appellant.

ERRATA SHEET

The opinion of this Court issued on November 20, 1996 is
corrected as follows:

On p.3, line 1 change "the" to "that"

[Not for Publication]

United States Court of Appeals
For the First Circuit

____________________

No. 96-1105

CHARLES LANGONE ET AL.,
Plaintiffs, Appellees,

v.

WILLIAM WALSH, INC.,
d/b/a William Walsh Movers,
Defendant, Appellant.

____________________

APPEAL FROM THE UNITED STATES DISTRICT COURT
FOR THE DISTRICT OF MASSACHUSETTS

[Rya W. Zobel, U.S. District Judge] ___________________

____________________

Before

Stahl, Circuit Judge, _____________
Bownes, Senior Circuit Judge, ____________________
and Lynch, Circuit Judge. _____________

____________________

Paul E. Stanzler, with whom Maria E. Recalde and Burns & Levinson ________________ ________________ ________________
LLP were on brief, for appellant. ___
Matthew E. Dwyer, with whom John F. Farraher, Jr., Christina C. _________________ _______________________ ____________
Duddy, and Dwyer & Jenkins P.C. were on brief, for appellee. _____ ____________________

____________________

November 20, 1996
____________________

LYNCH, Circuit Judge. The New England Teamsters LYNCH, Circuit Judge. _____________

and Trucking Industry Pension Fund and the Teamsters 25

Health Services and Insurance Plan ("the Health Plan") sued

William Walsh, Inc. ("WWI") to recover sums admittedly owed

to the Fund and Plan by Charles Walsh, Inc. ("CWI"), a now-

defunct moving company. The Pension Fund has since settled

with WWI, so that only the Health Plan remains party to this

litigation. The Health Plan's theory is that WWI is an

"alter ego" of CWI within the meaning of the pertinent labor

law doctrines and so is responsible for the debt. That debt

is in the sum of $243,737, exclusive of interest. CWI is no

longer in operation and apparently has no assets to satisfy

the obligation.

The parties filed cross motions for summary

judgment before the district court. The material facts are

not in dispute. It is the inferences and legal conclusions

to be drawn from the facts which are in contention. United ______

Paperworkers Int'l Union, Local 14 v. International Paper ____________________________________ ____________________

Co., 64 F.3d 28, 31 (1st Cir. 1995) No claim is made that ___

the district court applied the wrong law. The district court

(Zobel, J.) entered summary judgment for the plaintiffs and

against WWI on the alter ego theory. Langone v. C. Walsh _______ ________

Inc., 864 F. Supp. 233 (D. Mass. 1994). We review the matter ____

de novo. United Paperworkers, 64 F.3d at 32. __ ____ ___________________

-2- 2

We affirm on the district court's well-reasoned

opinion. Local Rule 27.1. We add only the following few

thoughts. We recognize that these "alter ego" cases have

serious consequences for each party to the dispute. The

cases are largely fact-driven, and general statements of

doctrine go only so far. In NLRB v. Hospital San Rafael, ____ _____________________

Inc., 42 F.3d 45 (1st Cir. 1994), we noted that in ____

determining alter ego status the NLRB and courts have:

considered a range of criteria including
the similarity between the old and new
companies in relation to management,
business purpose, operation, equipment,
customers and supervision, as well as
ownership. In most cases, a further
important factor in determining alter ego
status is whether the alleged alter ego
entity was created and maintained in
order to avoid labor obligations.

Id. at 50. We have also noted that "[n]o one factor is __

controlling and all need not be present to support a finding

of alter ego status." C.E.K. Indus. Mechanical Contractors, _____________________________________

Inc. v. NLRB, 921 F.2d 350, 354 (1st Cir. 1990). ____ ____

Here there is strong evidence of similarity between

the old and new companies in that there is common management,

an identical business purpose, and substantial similarity in

operations. These similarities are compounded by the fact

that despite nominally separate ownership, CWI essentially

provided WWI with free equipment (trucks and company cars),

free use of office and warehouse space, and free use of its

service mark.

-3- 3

As we said in Hospital San Rafael, anti-union ____________________

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