Paper, Allied-Industrial, Chemical & Energy Workers International Union Local No. 4-2001 v. ExxonMobil Refining & Supply Co.

449 F.3d 616, 179 L.R.R.M. (BNA) 2773, 2006 U.S. App. LEXIS 11615, 2006 WL 1253689
CourtCourt of Appeals for the Fifth Circuit
DecidedMay 10, 2006
Docket05-20281
StatusPublished
Cited by14 cases

This text of 449 F.3d 616 (Paper, Allied-Industrial, Chemical & Energy Workers International Union Local No. 4-2001 v. ExxonMobil Refining & Supply Co.) 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
Paper, Allied-Industrial, Chemical & Energy Workers International Union Local No. 4-2001 v. ExxonMobil Refining & Supply Co., 449 F.3d 616, 179 L.R.R.M. (BNA) 2773, 2006 U.S. App. LEXIS 11615, 2006 WL 1253689 (5th Cir. 2006).

Opinion

JERRY E. SMITH, Circuit Judge:

ExxonMobil Refining & Supply Company (“Exxon”) appeals a decision sending to arbitration a grievance filed by the Paper, Allied-Industrial, Chemical and Energy Workers International Union Local No. 4-2001 on behalf of Elizabeth Salinas. We affirm.

I.

In January 2001, Exxon transferred Salinas to the Clerical Unit as a Senior Administrative Assistant because her medical condition had caused her to become unable to perform the duties of her former Instrument Technician position. In late January 2003 Salinas was sent home after being informed that Exxon would no longer accommodate her medical restrictions; in March 2003 she was notified that she would not be permitted to return to work.

That same month, the union filed a grievance alleging that her discharge was based on a “disability discrimination.” The union amended the grievance in April 2003 to allege a termination for unjust cause.

The union requested that the grievance be sent to arbitration because the termination violated Article VI of the Collective Bargaining Agreement (“CBA”), which provides that the employer may discharge and discipline employees for just cause. Article XXI states that an unsuccessful *619 grievance that involves an alleged violation of a specific provision of the CBA must be submitted to arbitration. 1

Exxon denied arbitration, contending that Salinas was not discharged pursuant to Article VI but instead received a disability separation necessary to receive long-term disability benefits. The union then sued to enforce the arbitration provision of the CBA.

The district court compelled arbitration, reasoning that on its face the claim that the termination was not for just cause is arbitrable. The court added that there was no evidence supporting Exxon’s characterization of Salinas’s discharge as a challenge to a disability determination, such as evidence that she had received a disability separation.

Exxon appeals, contending that the district court erred by (1) applying the “rational mind” standard of procedural arbi-trability and (2) ignoring “most forceful evidence” that the parties did not intend disability determinations to be subject to the arbitration provision of the CBA {e.g. ignoring evidence with respect to arbitra-bility from the renegotiation of the Disability Plan and ignoring the fact that the Side Agreement with respect to Salinas superseded the CBA and did not provide for arbitration).

II.

We review de novo an order compelling arbitration. Gen. Warehousemen & Helpers Union Local 767 v. Albertson’s Distrib., Inc., 331 F.3d 485, 487 (5th Cir.2003). Therefore, we need not discuss Exxon’s first issue on appeal, which is that the district court used the “rational mind standard” of procedural arbitrability instead of the standard for substantive arbitrability. 2

“The courts’ role is very limited when deciding issues of arbitrability.” Oil, Chem. & Atomic Workers’ Int’l Union, Local 4-447 v. Chevron Chem. Co., 815 F.2d 338, 343 (5th Cir.1987). The court’s function is to decide whether the claim asserted is the type of claim the parties have agreed to arbitrate. Id. In no way are the courts to consider the merits of a claim. Id. Rather, the court “is confined to ascertaining whether the party seeking arbitration is making a claim which on its face is governed by the contract.” United Steelworkers of Am. v. Am. Mfg. Co., 363 *620 U.S. 564, 568, 80 S.Ct. 1343, 4 L.Ed.2d 1403 (1960).

An “order to arbitrate the particular grievance should not be denied unless it may be said with positive assurance that the arbitration clause is not susceptible of an interpretation that covers the asserted dispute.” Warrior & Gulf, 363 U.S. at 582-83, 80 S.Ct. 1347. Doubts should be resolved in favor of coverage. Id. That presumption is successfully rebutted only if the party resisting arbitration shows either (1) the existence of an express provision excluding the grievance from arbitration or (2) the “most forceful evidence” of a purpose to exclude the claim from arbitration. Commc’ns Workers of Am. v. Southwestern Bell Tel. Co., 415 F.2d 35 (5th Cir.1969).

A.

With respect to its second issue on appeal, Exxon relies on Pac. Northwest Bell Tel. Co. v. Commc’ns Workers of Am., 310 F.2d 244 (9th Cir.1962), to argue that evidence of bargaining history can be “most forceful evidence” that a particular dispute is not arbitrable. In this circuit, however, evidence of bargaining experience can be introduced only where the contract language is ambiguous as to arbitrability:

Accordingly, in this circuit the courts must construe the “language of the contract as finally agreed upon ... in accordance with ordinary rules of construction without reference to the give and take of the bargaining sessions which produced the final terminology. Otherwise we would abandon completely the parol evidence rule when dealing with this type of contract.” NLRB v. Gulf Atl. Warehouse Co., [291 F.2d 475 (5th Cir.1961)] .... Only where the contract claim and its relationship to the written contract is vague or unclear is such an inquiry permissible, and then not to alter or vary the plain meaning of the contract but merely to understand the exact setting in which it was consummated.

Southwestern Bell, 415 F.2d at 40-41 (emphases added).

In Southwestern Bell, we expressly referred to — and implicitly rejected — Pacific Northwest Bell inasmuch as it states that “[t]he very nature of a collective bargaining agreement requires that it be read in the light of bargaining history.” We noted that “the courts must construe the ‘language of the contract as finally agreed upon’ ... without reference to the give and take of the bargaining sessions” and held that bargaining evidence cannot be introduced when there is no doubt that the arbitration clause covers the dispute at issue. 3

In Southwestern Bell,

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449 F.3d 616, 179 L.R.R.M. (BNA) 2773, 2006 U.S. App. LEXIS 11615, 2006 WL 1253689, Counsel Stack Legal Research, https://law.counselstack.com/opinion/paper-allied-industrial-chemical-energy-workers-international-union-ca5-2006.