Pabst Brewing Co. v. Corrao

176 F.R.D. 552, 1997 U.S. Dist. LEXIS 19367, 1997 WL 746255
CourtDistrict Court, E.D. Wisconsin
DecidedDecember 1, 1997
DocketNo. 96-C-903
StatusPublished
Cited by4 cases

This text of 176 F.R.D. 552 (Pabst Brewing Co. v. Corrao) is published on Counsel Stack Legal Research, covering District Court, E.D. Wisconsin primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Pabst Brewing Co. v. Corrao, 176 F.R.D. 552, 1997 U.S. Dist. LEXIS 19367, 1997 WL 746255 (E.D. Wis. 1997).

Opinion

DECISION and ORDER

MYRON L. GORDON, District Judge.

The parties in this ease have filed a barrage of motions: (1) “Plaintiffs Motion to Dismiss Counterclaim”; (2) “Plaintiffs Motion for Protective Order”; (3) Defendant Jack Corrao’s “Motion to Amend Counterclaim”; (4) Mr. Corrao’s “Motion to Dismiss Complaint for Declaratory Judgment”: (5) Mr. Corrao’s “Renewed Motion for Order Compelling Discovery and Costs”; (6) Plaintiffs “Motion for Leave to File Instanter, Sur-Reply Memorandum of Law”; and (7) Mr. Corrao’s “Motion for leave to File, Instanter, A Brief in Response to Plaintiffs ‘Sur-Reply.’ ” Each of these motions will be discussed below.

/, BACKGROUND

A class action complaint for a declaratory judgment was filed on August 12, 1996, by Pabst Brewing Company, Inc. [“Pabst”]. The complaint was amended on August 14, 1996. The original and amended complaints name Mr. Corrao individually and as the representative of a sub-class of union retirees consisting of approximately 774 Pabst retirees who were represented by Brewery Workers Local 9 [“the union”] and whose collective bargaining agreements with Pabst have expired.

Mr. Murdock is named in the original and amended complaints individually and as the representative of a sub-class consisting of approximately 43 Pabst retirees who were not represented by any labor organization [“the salaried retirees”]. Pabst formerly employed all of the retirees at its Milwaukee division.

Pabst’s declaratory judgment action arises out of its July 31, 1996, decision unilaterally to amend the Pabst Brewing Company Welfare Plan, also known as the “Pabst Brewing Company Medical & Dental Plan” [“the welfare plan”] and the Pabst Brewing Company Life Plan [“the life plan”]. There are two amendments to such plans: (1) the termination, effective September 1, 1996, of the eligibility of the union retirees, the salaried retirees and their dependents for coverage under the welfare plan; and (2) the elimination, effective August 1, 1996, of payments of death benefits after age 66 for the union retirees who had retired from Pabst’s Milwaukee division prior to August 1,1996.

In its amended complaint, Pabst seeks a declaratory judgment that its “termination of eligibility and elimination of benefits to the Class Retirees under the Plans is not violative of [the Employee Retirement Income Security Act, 29 U.S.C. § 1001 et seq. (“ERISA”)] and is otherwise lawful in all respects....” On August 27, 1996, Mr. Corrao filed an answer to Pabst’s complaint and a counterclaim against Pabst in which he alleges that the collective bargaining agreements between the union and Pabst conferred upon the retirees of Pabst’s Milwaukee division lifetime rights to health insurance benefits and life insurance benefits. Mr. Corrao maintains that these benefits survived the expiration on May 31, 1996, of the most recent collective bargaining agreement between the union and Pabst. Mr. Corrao bases his counterclaim on § 301 of the Labor Management Relations Act (TaftHartley Act) [“LMRA”], 29 U.S.C. § 185, which creates a private right of action to enforce collective bargaining agreements, and § 502 of ERISA.

Along with his answer, Mr. Corrao filed a motion for a “Temporary Restraining Order and/or Preliminary Injunction” to restrain Pabst from “unilaterally eliminating health benefits” of the union retirees. Mr. Corrao’s motion did not seek any injunctive relief for Mr. Murdock or for any other salaried retiree. Also, it did not relate to the elimination of life insurance payments. This motion asked the court to bar the termination of the union retirees’ health benefits which was to take effect on Sunday, September 1, 1996. In order to consider the motion before the termination date, a hearing was conducted by this court on Thursday, August 29, 1 996. With the consent of the parties, this court orally certified Mr. Corrao as the class representative of the union retirees consisting of approximately 700 persons for the purpose of [555]*555considering Mr. Corrao’s request for a temporary restraining order.

After considering the oral arguments of the parties, their written submissions and also the amicus curiae brief filed by the Secretary of Labor in support of Mr. Corrao’s motion, this court granted his motion for a temporary restraining order. The court issued an order on August 29, 1996, which restrained “Pabst, its agents, servants, employees, and attorneys and those persons in active concert or participation with them who receive actual notice of this order ... from discontinuing health insurance benefits to the sub-class” until September 27, 1996.

An evidentiary hearing in connection with Mr. Corrao’s request for a preliminary injunction was conducted on Monday, September 16,1996, through Wednesday, September 18, 1996. There being no objection from the parties, this court orally certified Mr. Corrao as the representative of the sub-class of union retirees consisting of approximately 700 persons for the purpose of addressing his motion for a preliminary injunction.

By decision and order of September 27, 1996, I denied Mr. Corrao’s motion for a preliminary injunction and vacated the temporary restraining order which had been entered on August 29, 1996. The denial of injunctive relief was premised on my conclusion that Mr. Corrao did not have a likelihood of succeeding on the merits of his contract claim under § 301 of the LMRA. Pabst Brewing Company, Inc. v. Corrao, 940 F.Supp. 217, 223 (E.D.Wis.1996). Specifically, after reviewing the contract documents upon which Mr. Corrao based his counterclaim, I concluded that:

the collective bargaining agreement at issue in this ease and the pertinent insurance documents unambiguously demonstrate that Pabst is not legally obligated to provide lifetime health insurance benefits to Mr. Corrao. Thus, I am not permitted to consider the extrinsic evidence offered by Mr. Corrao in support of his claim to lifetime benefits.

Id.

I. PLAINTIFF’S MOTION TO DISMISS COUNTERCLAIM

A motion to dismiss under Rule 12(b)(6), Federal Rules of Civil Procedure, will only be granted if “it appears beyond doubt that the plaintiff can prove no set of facts in support of his claim which would entitle him to relief.” Conley v. Gibson, 355 U.S. 41, 45-46, 78 S.Ct. 99, 102, 2 L.Ed.2d 80 (1957). While this standard is high, a complaint must allege facts which sufficiently set forth the essential elements of the cause of action in order to withstand a motion to dismiss. Luden v. Preiner, 967 F.2d 1166, 1168 (7th Cir.), cert. denied, 506 U.S. 893, 113 S.Ct. 267, 121 L.Ed.2d 196 (1992).

When submitting a motion to dismiss under Rule 12(b)(6), a defendant may introduce pertinent documents that are referred to in a complaint and central to a plaintiffs claim without converting a Rule 12(b)(6) motion into a motion for summary judgment. Venture Associates Corp. v. Zenith Data Systems Corp.,

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161 F.3d 434 (Seventh Circuit, 1998)

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Bluebook (online)
176 F.R.D. 552, 1997 U.S. Dist. LEXIS 19367, 1997 WL 746255, Counsel Stack Legal Research, https://law.counselstack.com/opinion/pabst-brewing-co-v-corrao-wied-1997.