Local Union No. 38, Sheet Metal Workers' International Ass'n v. Hollywood Heating & Cooling, Inc.

88 F. Supp. 2d 246
District Court, S.D. New York·Decided March 16, 2000·No. 98 Civ. 5862(CM), 99 Civ. 10963(CM)·Published·Cited by 9 cases

Opinion

AMENDED MEMORANDUM ORDER AND DECISION GRANTING PLAINTIFF’S MOTIONS FOR SUMMARY JUDGMENT

McMAHON, District Judge.

In two separate actions, Plaintiff Local Union No. 38 (“Local 38”) brought claims under Section 301 of the Labor-Management Relations Act of 1947, as amended, 29 U.S.C. § 185, to confirm three arbitration awards rendered under a collective bargaining agreement between Local 38 and Defendant Hollywood Heating & Cooling, Inc. (“Hollywood”), and to recover attorneys’ fees and costs in connection with both actions. In the first action, Local 38 has moved for summary judgment; in the second, Hollywood has moved to dismiss, but concedes that its motion is properly treated as a motion for summary judgment, and Local 38 has cross-moved for summary judgment. For the reasons that follow, Local 38’s motions in both actions are granted.

Background 1

Defendant Hollywood is a contracting business engaged in the building and construction industry, and is located in Ver-planck, New York. Plaintiff Local 38 is based in Brewster, New York, and represents employees in the sheet metal, heating, ventilating and air conditioning indus *248 tries. Local 38 and Hollywood are parties to a collective bargaining agreement (“CBA”) entered into on September 9, 1997 (attached as Exhibit A to Plaintiffs Notice of Motion). Article XIII, Section 1 of the CBA provides that the CBA is effective from July 1, 1997 to June 30, 1998, but further provides that the CBA continues in force from year to year after June 30, 1998, unless either party serves a notice of reopening, not less than 90 days prior to the termination date. It is undisputed that Local 38 never served a notice of reopening and that the agreement remained in effect through June 30, 1999.

Article X, Section 1 of the Agreement provides that “[gjrievances of the Employer or the Union, arising out of interpretation or enforcement of this Agreement, shall be settled between the Employer directly involved and the duly authorized representative of the Union, if possible.” In the event that a grievance cannot be so settled, Section 2 provides that the dispute “may be appealed by either party to the Local Joint Adjustment Board,” which consists of representatives of the Union and of the local Employers’ Association. Except in the case of a deadlock, “a decision of a local Joint Adjustment Board shall be final and binding.” In the event of deadlock or failure to act by the Local Board (or where an Employer is not a party to the Labor Agreement in the area where the dispute arises), Section 3 provides for a right of appeal to the National Joint Adjustment Board.

(1) The July 1998 and September 1998 Awards

On June 22, 1998, Local 38 filed a grievance with the Local Joint Adjustment Board (“the Board”), alleging that Hollywood violated the CBA by hiring nonunion employees. Charles Simmons, Hollywood’s Vice President, was present at a hearing held before the Board on July 1, 1998. (Affidavit of Charles E. Simmons ¶ 17, attached as Exhibit A to Defendant’s Memorandum of Law.) In a decision dated July 14, 1998, the Board found that Hollywood “violated Article V of the Agreement by hiring non-union personnel and not making Funds Contributions for hours worked in the Pension, Health, Welfare and Insurance Funds,” and issued an award of $18,657.60. (Local Joint Adjustment Board decision dated July 14, 1998, attached as Exhibit D to Plaintiffs Notice of Motion.) The decision provided that Hollywood was to pay the award within 30 days from the decision date, but Hollywood did not do so. 2 Local 38 brought the instant action on August 17, 1998 to enforce the award.

On August 28, 1998, Local 38 filed a second grievance with the Board, also based on a charge of hiring non-union employees in contravention of the CBA, and another hearing was held on September 2, 1998. The Board’s decision, dated September 3,1998, indicates that no Hollywood representative attended that hearing, (Local Joint Adjustment Board decision dated September 3, 1998, attached as Exhibit G to Plaintiffs Notice of Motion), and Hollywood does not dispute that it was absent. The Grievance Form reveals that Local 38 attempted to resolve the grievance by phoning Hollywood on August 24 and leaving a message, and that Hollywood did not return the call. (Grievance Form dated August 28,1998, attached as Exhibit E to Plaintiffs Notice of Motion.) While Simmons states that he has “no record of such a phone call ever being received” in connection with the September 2 hearing *249 (Simmons Aff. ¶30), he does not dispute having received advance notice of the grievance and hearing. Furthermore, Local 38 has submitted a copy of a notice of the September 2 hearing dated August 31, 1998 and an Airborne Express receipt for that notice (though no evidence of receipt by Simmons). (Local Joint Adjustment Board letter dated August 31, 1998, attached as Exhibit F to Plaintiffs Notice of Motion.) Simmons does not dispute having received that letter.

In a decision dated September 3, 1998, the Local Board again issued an award in Local 38’s favor, finding violations of Articles II, III, and V of the Agreement in Hollywood’s hiring of non-union employees and failure to make contributions for hours worked in the Pension, Health, Welfare and Insurance Funds. (Local Joint Adjustment Board decision dated September 3, 1998, attached as Exhibit G to Plaintiffs Notice of Motion.) The Board awarded damages in the amount of $36,405.60, which Hollywood again did not pay. On October 13,1998, Local 38 filed an Amended Complaint, seeking (1) confirmation of the July 1998 award; (2) confirmation of the September 1998 award; and (3) attorneys’ fees and costs incurred by Local 38 in bringing this action.

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Local Union No. 38, Sheet Metal Workers' International Ass'n v. Hollywood Heating & Cooling, Inc., 88 F. Supp. 2d 246 (S.D.N.Y. 2000).

88 F. Supp. 2d 246 (Local Union No. 38, Sheet Metal Workers' International Ass'n v. Hollywood Heating & Cooling, Inc.) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

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