Natale v. Central Parking Systems of New York, Inc.

958 F. Supp. 2d 407, 2013 WL 4003349, 2013 U.S. Dist. LEXIS 109518
CourtDistrict Court, E.D. New York
DecidedAugust 5, 2013
DocketNo. 10-CV-5596 (ADS)(ETB)
StatusPublished
Cited by1 cases

This text of 958 F. Supp. 2d 407 (Natale v. Central Parking Systems of New York, 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
Natale v. Central Parking Systems of New York, Inc., 958 F. Supp. 2d 407, 2013 WL 4003349, 2013 U.S. Dist. LEXIS 109518 (E.D.N.Y. 2013).

Opinion

MEMORANDUM OF DECISION AND ORDER

SPATT, District Judge.

On November 26, 2010, the Plaintiffs John Vacca, David Perez, Kirk Conaway, and Roy Kohn as Trustees of the Health Fund 917 and the Local 917 Pension Fund and the Health Fund 917 and the Local [409]*409917 Pension Fund (collectively the “Plaintiffs”) commenced this action against the Defendants Central Parking System of New York, Inc. (“Central”) and John Doe (collectively the “Defendants”). On April 18, 2012, 282 F.R.D. 284 (E.D.N.Y.2012), the Court granted the Defendants’ motion to amend the complaint and substitute Sonya Mitchell (“Mitchell”) in place of John Doe.

Presently before the Court is the Defendants’ Motion for Partial Summary Judgment pursuant to Federal Rule of Civil Procedure (“Fed. R. Civ.P.”) 56 to dismiss the damages claims on behalf of fourteen employees of Central. For the following reasons, the Defendant’s Motion for Partial Summary Judgment is granted.

I. BACKGROUND

Central is a New York company operating parking locations throughout New York. The Plaintiffs Ralph Natale, Kirk Conaway, Roy Cohn, and David Perez are trustees and fiduciaries of Health Fund 917 and the 917 Pension Fund (the “Funds”). The Funds were established pursuant to collective bargaining agreements (“CBAs”) entered into between Local 917 of the International Brotherhood of Teamsters (the “Union”) and various employers operating in the New York City Metropolitan area, including Central. The CBAs required these employers to make certain contributions to the Funds for covered employees.

Excluded from the CBAs are “[s]upervisory employees, including but not limited to managers, assistant managers, supervisors and assistant supervisors ... with the authority to hire, promote, discipline, or otherwise effect changes in the status of employees or effectively recommend such action” (“Status Authority”). (Deck of Douglas Rowe Ex. A ¶ 30.) Also, “[professional, clerical, maintenance, inventory, secretarial, security/guards [sic], and management employees are excluded from the [CBAs].” (Rowe Deck Ex. A ¶¶ 30-31.)

In June 2010, the accounting firm of Steinberg, Steckler & Piceiuro performed an audit of Central’s payroll records, including contributions made to the Funds for the period of July 1, 2004 through December 31, 2004. The firm allegedly discovered $86,975.86 in unpaid health contributions and $17,590.08 in unpaid pension contributions on the part of Central.

On November 26, 2010, the Plaintiffs filed this complaint pursuant to sections 404, 406, 502, and 515 of the Employee Retirement Income Security Act, 29 U.S.C. § 1001 et seq. (“ERISA”), against Central and John Doe. The claims against Central were brought to compel contributions due to the Plaintiff Funds that were identified during the audit.

In addition, the Plaintiffs brought three separate causes of action only against the Defendant John Doe. In particular, the Complaint alleged that, “Doe was a person with discretion and/or authority to pay eontribution[s] to the Health Fund 917 and the Local 917 Pension Fund on behalf of Central,” and “Doe exercised authority and/or control over payment of contributions and monies due to the Fund from Central.” (Compl. ¶¶ 31-32.) Therefore, the claims against Doe are premised in part on the allegation that Doe caused Central not to make the required contributions, thus breaching Doe’s fiduciary duty under Section 404 of ERISA.

On October 28, 2011, the last day of discovery, the Plaintiffs deposed Sonya Mitchell, Central’s payroll manager. According to the Plaintiffs, they learned at that time that Mitchell was the person (1) vested by Central with discretion and control over payment of the allegedly delinquent contributions and (2) who determined not to pay the amounts at issue in this case.

[410]*410On April 18, 2012, the Court granted the Plaintiffs motion to amend the complaint and add Sonya Mitchell as a defendant in place of John Doe.

On March 16, 2013 the Defendants filed this motion for Partial Summary Judgment pursuant to Fed.R.Civ.P. 56 with regard to damages for twenty eight employees and also sought an order directing the Plaintiffs to furnish a newly revised auditor’s findings. The Defendants maintained that the auditor’s findings were flawed insofar as the audit included twenty eight employees that were purportedly excluded from the CBAs. The Plaintiffs conceded that fourteen of the twenty eight disputed employees were incorrectly included.

Therefore, after the Defendants filed their Motion for Partial Summary Judgment, the Plaintiffs removed from the action their claims for damages for fourteen employees. The remaining fourteen employees (the “disputed employees”) are Christine A. Joule, Manager; Koduah Mensah, Manager; Robert Gonzalez, Supervisor; Kwaku Boama, Manager; Robert Floreska, Manager/New York Supervisor; Suruj Persaud, Assistant Manager; Henry Amartey, Assistant Manager/New York Supervisor; Charles Pryor, Supervisor; Kenrick McPherson, Supervisor; Gabriel Alexis, Manager; Esmeralda Beaujuin, Assistant Manager/New York Supervisor; Mehari Haile, Assistant Manager; Victor Santana, Maintenance Supervisor; Dioncio Dominguez, Manager.

With respect to these fourteen disputed employees, the Plaintiffs insist that although Central has shown that they were managers, assistant managers, or supervisors, Central must also show that each and every one of them had Status Authority as well. Central contends that all of its managers, assistant managers, supervisors and assistant supervisors enjoy Status Authority by virtue of their position and that management employees are excluded from the CBAs regardless of Status Authority. In response, the Plaintiffs point to contributions made by Central on behalf of some managers, assistant managers, and supervisors as proof that not all managers and assistant managers are excluded. The Defendants assert that these contributions were made in error and do not bear on its position that all such employees have Status Authority and are thus excluded from the CBAs.

II. DISCUSSION

A. Legal Standard

“[S]ummary judgment is appropriate where there exists no genuine issue of material fact and based on the undisputed facts, the moving party is entitled to judgment as a matter of law.” Salahuddin v. Goord, 467 F.3d 263, 272 (2d Cir.2006) (quoting D’Amico v. City of New York, 132 F.3d 145, 149 (2d Cir.1998)) (internal quotation marks omitted). “In deciding whether there is a genuine issue of material fact, [the Court] must interpret all ambiguities and draw all factual inferences in favor of the nonmoving party.” Id. (citing Ford v. McGinnis, 352 F.3d 582, 587 (2d Cir.2003)).

In Celotex Corp. v. Catrett, 477 U.S. 317, 106 S.Ct.

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958 F. Supp. 2d 407, 2013 WL 4003349, 2013 U.S. Dist. LEXIS 109518, Counsel Stack Legal Research, https://law.counselstack.com/opinion/natale-v-central-parking-systems-of-new-york-inc-nyed-2013.