Local 210 Warehouse & Production Employees Union v. Environmental Services, Inc.

221 F. Supp. 3d 306, 2016 WL 6879527, 2016 U.S. Dist. LEXIS 161986
CourtDistrict Court, E.D. New York
DecidedNovember 22, 2016
DocketNo. 16-CV-756 (JFB) (SIL)
StatusPublished
Cited by2 cases

This text of 221 F. Supp. 3d 306 (Local 210 Warehouse & Production Employees Union v. Environmental Services, Inc.) is published on Counsel Stack Legal Research, covering District Court, E.D. New York primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Local 210 Warehouse & Production Employees Union v. Environmental Services, Inc., 221 F. Supp. 3d 306, 2016 WL 6879527, 2016 U.S. Dist. LEXIS 161986 (E.D.N.Y. 2016).

Opinion

MEMORANDUM AND ORDER

Joseph F. Bianco, District Judge:

Plaintiffs, Local 210 Warehouse & Production Employees Union, AFL-CIO (the “Union”), Trustees of the Local 210 Unity Pension Fund, and Trustees of the Local 210 Unity Welfare Fund (collectively, the “Funds”), brought this action seeking va-catur of arbitrator Randi Lowitt’s ruling, which closed the Union’s arbitration proceeding against defendant Environmental Services, Inc. (“ESI”) on the grounds of delay. (See Declaration of Glenn B. Grader, Ex. F at 12-14 [hereinafter “Ruling”].) ESI filed a counterclaim seeking confirmation of the arbitrator’s award. Both parties submitted declarations and exhibits and have moved for summary judgment against the other. For the reasons set forth below, plaintiffs’ request for vacatur of the arbitrator’s award (and their accompanying motion for summary judgment) is denied, and the Court grants ESI’s motion for summary judgment and confirms the award issued in the arbitration proceeding.

I. Background

A. Facts

The following facts are taken from the parties’ declarations, exhibits, and respective Local Rule 56.1 statements. Unless otherwise noted, where a party’s Rule 56.1 statement is cited, that fact is undisputed, or the opposing party has not pointed to any evidence in the record to contradict it.

The Union entered into a collective bargaining agreement (“CBA”) with ESI on January 1, 2007. (Pis.’ 56.1 ¶ 1; Def.’s 56.1 ¶2.) The CBA obligates ESI to collect Union membership dues on behalf of the Union and to periodically contribute to the Funds. (Pis.’ 56.1 ¶¶ 9-10; Declaration of Andrew J. Turro [hereinafter “Turro Dec.”], Ex. 5, ¶¶ 4, 22, 23.) It further requires the parties to submit any disputes over the CBA to binding arbitration. (See Pis.’ 56.1 ¶ 13; Turro Dec., Ex. 5, ¶ 6.) Specifically, the CBA provides as follows:

The New York State Employment Relations Board shall upon request of either party hereto designate the Arbitrator who shall conduct a hearing in such manner as he shall consider proper, and shall serve as sole Arbitrator of the dispute between the parties. The Arbitrator shall have the right to conduct an ex parte hearing in the event of the failure of either party to be present at the time and place designated for the arbitration, and shall have the power to render a decision on the testimony before him at such healing. The decision of the Arbitrator shall be final and binding upon both parties and may be entered as a final decree or judgment in the Supreme Court of the State of New York.
The costs of arbitration, including the Arbitrator’s fee, shall be borne equally by the EMPLOYER and the UNION. It is the intent of the parties hereto that all disputes between them, both within and outside this Agreement, shall be submitted to arbitration and that no technical defense to prevent the holding of the arbitration shall be permitted.

(Turro Dec., Ex. 5, ¶ 6.)

In 2010, disputes arose between the parties over ESI’s obligations to make contributions to the Funds and to collect membership dues. (Pis.’ 56.1 ¶ 14; Def.’s 56.1 [310]*310¶ 3.) Plaintiffs brought suit against ESI in the Eastern District of New York in December 2010, but that litigation was discontinued with prejudice pursuant to a stipulation dated October 25, 2011. (Pis.’ 56.1¶¶ 14-15; Def.’s 56.1 ¶¶ 4-5). The stipulation provided that the parties agreed to submit their dispute to arbitration before the New York State Employment Relations Board, the responsibilities of which had been assumed by the Public Employment Relations Board (“PERB”). (Pis.’ 56.1¶ 17; Def.’s 56.1 ¶ 6.)

The PERB designated Randi Lowitt as arbitrator of the dispute and notified the parties of her designation in January 2012. (Pis.’ 56.1 ¶ 18; Def.’s 56.1 ¶ 8.) In March, she scheduled a hearing for August 1, 2012. (Pis.’ 56.1 ¶ 19; Def.’s 56.1 119; Ruling at 3.) On the plaintiffs’ request and with ESI’s consent, the arbitrator rescheduled that hearing to November 1, 2012. (Pis.’ 56.1 ¶¶ 21, 23; Def.’s 56.1 ¶ 10; Ruling at 3.) Later, on ESI’s request, the arbitrator adjourned the November 1 hearing without setting a new date. (Pis.’ 56.1¶¶ 21, 23; Def.’s 56.1 ¶ 10; Ruling at 3.)

The arbitrator set a new hearing date on March 25, 2013, scheduling it to take place on October 24 and 30, 2013. (Pis.’ 56.1 If 37; Def.’s 56.1 ¶ 16; Ruling at 4.) On April 15, she denied the plaintiffs’ request to have the hearing advanced to an earlier date. (Pis.’ 56.1 ¶¶ 40-41.) In September 2013, the plaintiffs asked the arbitrator to adjourn the October 24 hearing date while keeping the October 30 date on the calendar. (Pis.’ 56.1 ¶ 43; Def.’s 56.1 ¶¶ 17-18; Ruling at 5.) ESI consented to the request, and the arbitrator granted it. (Pis.’ 56.1 ¶ 44; Ruling at 5.) On October 18, the parties agreed to a further adjournment of the October 30 hearing, which the arbitrator granted without setting a new date. (Pis.’ 56.1 ¶¶ 45-46; Def.’s 56.1 ¶ 19; Ruling at 5.)

Between October 18, 2013 and September 2014, the arbitrator sent the parties several emails inquiring about the status of the case and new hearing dates. (See Pis. 56.1¶¶ 46-60; Def.’s 56.1 1120; Ruling at 5-7.) The arbitrator found that the parties did not respond to her inquiries on five occasions. (Ruling at 5-6.) On other occasions, they would give her status updates, (Pis.’ 56.1 ¶¶ 50-51, 54-56, 66), but only once did the plaintiffs ask about rescheduling the hearing. (Id. at ¶¶ 59-61; Ruling at 6.) Specifically, in March and early April 2014, the plaintiffs asked about “open dates” for a healing, but the arbitrator informed them that the earliest time for a hearing was September. (Pis.’ 56.1 ¶¶ 59-61; Ruling at 6.) No hearing date was set at that time. (See Pis.’ 56.1 ¶ 61; Ruling at 6.) The arbitrator made further inquiries about scheduling in late April, May, and August 2014, but no hearing was ever scheduled. (Ruling at 7.) Throughout this time, the parties engaged in settlement negotiations. (Pis.’ 56.1 ¶¶64, 65, 69, 73, 76.)

On September 15, 2014, the arbitrator sent the parties an email that stated, “Having not heard from the parties in quite some time about this case, I am placing it in my inactive file and will consider it closed out shortly.” (Turro Dec., Ex. 19; Pis.’ 56.1 ¶74; Def.’s 56.1 ¶23.) Neither party responded. (Pis.’ 56.1 ¶ 75.) Approximately nine months later on June 10, 2015, the plaintiffs emailed the arbitrator about placing the case back on her active calendar. (Id. at ¶ 84; Ruling at 7.) ESI orally moved to deny the request on June 18, (Pis.’ 56.1 ¶ 92; Ruling at 8), and the arbitrator set a briefing schedule. (Pis.’ 56.1¶ 95; Ruling at 8.) During briefing, the plaintiffs never argued that the arbitrator had exceeded her authority under [311]*311the CBA by closing the ease -without a hearing. (Def.’s 56.1 ¶ 26.)

After receiving the letter briefs, the arbitrator granted ESI’s motion on December 2, 2015. (Ruling at 14.) The arbitrator found that “there was definitely a failure on the part of the Union to proceed to and through arbitration. The Union did not pursue the issue to arbitration in a quick or appropriate manner. The Union should have proceeded with this grievance years ago.” (Id.

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221 F. Supp. 3d 306, 2016 WL 6879527, 2016 U.S. Dist. LEXIS 161986, Counsel Stack Legal Research, https://law.counselstack.com/opinion/local-210-warehouse-production-employees-union-v-environmental-services-nyed-2016.