Lynette Coleman v. Louisville Pants Corporation and Amalgamated Clothing and Textile Workers Union, Afl-Cio, Clc

691 F.2d 762, 1982 U.S. App. LEXIS 24073, 4 I.T.R.D. (BNA) 1118
CourtCourt of Appeals for the Fifth Circuit
DecidedNovember 15, 1982
Docket81-4332
StatusPublished
Cited by8 cases

This text of 691 F.2d 762 (Lynette Coleman v. Louisville Pants Corporation and Amalgamated Clothing and Textile Workers Union, Afl-Cio, Clc) is published on Counsel Stack Legal Research, covering Court of Appeals for the Fifth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Lynette Coleman v. Louisville Pants Corporation and Amalgamated Clothing and Textile Workers Union, Afl-Cio, Clc, 691 F.2d 762, 1982 U.S. App. LEXIS 24073, 4 I.T.R.D. (BNA) 1118 (5th Cir. 1982).

Opinion

JOHN R. BROWN, Circuit Judge:

On July 29,1980, Lynette Coleman and 64 other former employees 1 of the Louisville Pants Company filed suit in Mississippi state court alleging that the Louisville Pants Company and the Amalgamated Clothing and Textile Workers Union (ACT-WU) had breached a duty toward them, wrongfully depriving them of benefits due under the “Trade Act of 1974,” 19 U.S.C. § 2101 et seq. The defendants removed the case to the United States District Court as an action over which that court had original jurisdiction under 28 U.S.C. § 1337. 2 Coleman promptly and unsuccessfully moved to remand the case to state court. After extensive discovery, the district judge granted each defendant’s motion for summary judgment in its favor. Coleman appeals the court’s refusal to remand and, alternatively, its rendering of summary judgment for the *764 defendants. We affirm the judgment in both respects.

Coleman and her fellow complainants were employed in manufacturing men’s pants by Louisville Pants Company in Louisville, Mississippi. ACTWU was the collective bargaining representative for workers at the plant. On November 2, 1977, the factory closed, presumably because of lost sales caused by competition from cheaper imported trousers.

A portion of the “Trade Act of 1974,” 19 U.S.C. § 2101 et seq., makes “trade readjustment allowances” (TRA benefits) available to workers who have lost their jobs due to competition from imported goods. 19 U.S.C. § 2271(a) sets out the procedures to be followed in applying to be certified as eligible for TRA benefits. Specifically, application may be made by a petition to the Secretary of Labor, “by a group of workers or by their certified or recognized union or other duly authorized representative.” 3 In order to be effective, application must be made within one year of the date of the workers’ separation from employment. 19 U.S.C. § 2273(b)(1). 4

In June of 1978, James Jackson, a Mississippi ACTWU official, completed a Petition for Adjustment Assistance on behalf of the former employees of Louisville Pants. He mailed the petition to Arthur Gundersheim, the Union’s Director of International Trade Affairs. Gundersheim was to file the petition with the United States Department of Labor. Apparently, however, he never received the petition, which consequently was never filed.

Several months later, after a follow-up telephone call from Jackson, Gundersheim filed another petition with the Department of Labor on November 28. A separate petition had been filed a few days earlier by Louisville Pants’ parent company, Leslie Fay, Inc. Both petitions were dismissed by the Department of Labor as being untimely. In short, the employees were not and cannot now be certified as eligible for TRA benefits.

On July 29, 1980, the employees filed suit for monetary damages against the ACTWU and Louisville Pants in the Chancery Court of Winston County, Mississippi. They alleged that the defendants had breached both statutory and common law duties toward them and thus deprived them of the benefits to which they were rightfully entitled. As stated above, the defendants removed the case to federal court where they eventually were granted summary judgment.

Coleman characterizes her action as being founded entirely upon the Mississippi common law of torts. Her sole theory, she claims, is that both defendants voluntarily assumed, and breached, the duty to file a timely petition to secure her TRA benefits. This duty, she says, is not a question of federal law. Thus there is no federal subject matter jurisdiction and the district court was obligated to remand the case to a state tribunal.

In In re Carter, 618 F.2d 1093 (5th Cir. 1980), cert. denied, 450 U.S. 949, 101 S.Ct. 1410, 67 L.Ed.2d 378 (1981), this Court stated, “It is a fundamental principle of law that whether subject matter jurisdiction exists is a question answered by looking to the complaint as it existed at the time the petition for removal was filed.” 618 F.2d at 1101. Although after removal Coleman *765 attempted to amend her complaint, the case was removed to federal court on the basis of the original state court pleadings.

Examining those pleadings, it is clear that the district court was correct in concluding that Coleman’s action arises under federal law. As part of her cause, Coleman alleged that

Under 19 U.S.C. § 2273 the defendants as agents for complainants were required to petition the Secretary of Labor to pay to each complainant the statutory payments provided. Each complainant was at all times material hereto duly qualified to receive the payment of the trade adjustment allowance and other benefits.
Pursuant to the provisions of 19 U.S.C. §§ 2292 and 2293 each complainant was entitled to receive not less than $3900 as the trade readjustment allowance plus other statutory benefits....

Gully v. First National Bank, 299 U.S. 109, 57 S.Ct. 96, 81 L.Ed. 70 (1936) articulates the criteria for determining when a case “arises under” a federal statute.

How and when a case arises ‘under the Constitution or laws of the United States’ has been much considered in the books. Some tests are well established. To bring a case within the statute, a right or immunity created by the Constitution or laws of the United States must be an element, and an essential one, of the plaintiff’s cause of action. The right or immunity must be such that it will be supported if the Constitution or laws of the United States are given one construction or effect, and defeated if they receive another.

299 U.S. at 112, 57 S.Ct. at 97 (citations omitted).

The complaint maintains that the Trade Act imposed a duty upon the defendants to petition for TRA benefits on the workers’ behalf. It asserts, moreover, that each complainant was both qualified and entitled under the statute to receive TRA benefits. Thus, the face of the complaint plainly shows that the case “arises under” the Trade Act.

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Bluebook (online)
691 F.2d 762, 1982 U.S. App. LEXIS 24073, 4 I.T.R.D. (BNA) 1118, Counsel Stack Legal Research, https://law.counselstack.com/opinion/lynette-coleman-v-louisville-pants-corporation-and-amalgamated-clothing-ca5-1982.