Professional Staff Congress-City University v. New York State Public Employment Relations Board

21 A.D.3d 10, 799 N.Y.S.2d 7, 178 L.R.R.M. (BNA) 3065, 2005 N.Y. App. Div. LEXIS 5969
CourtAppellate Division of the Supreme Court of the State of New York
DecidedJune 7, 2005
StatusPublished
Cited by1 cases

This text of 21 A.D.3d 10 (Professional Staff Congress-City University v. New York State Public Employment Relations Board) is published on Counsel Stack Legal Research, covering Appellate Division of the Supreme Court of the State of New York primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Professional Staff Congress-City University v. New York State Public Employment Relations Board, 21 A.D.3d 10, 799 N.Y.S.2d 7, 178 L.R.R.M. (BNA) 3065, 2005 N.Y. App. Div. LEXIS 5969 (N.Y. Ct. App. 2005).

Opinion

OPINION OF THE COURT

Sullivan, J.

Petitioner Professional Staff Congress-City University of New York (PSC) is the certified collective bargaining representative of approximately 17,000 instructional and administrative employees of the City University of New York (CUNY). Respondent New York State Public Employment Relations Board (PERB) is the agency charged with administering the New York Public Employees’ Fair Employment Act (Civil Service Law § 200 et seq. [the Taylor Law]). In March 1972, prior to the October 1973 execution of the first collective bargaining agreement (CBA) between PSC and CUNY, the latter adopted a policy on copyrights and patents, revised in 1986, with respect to faculty members. Under the policy on copyrights, the materials produced with the use of funds administered by CUNY’s Research Foundation belonged to the author, but royalties were to be “divided between the college and the individual(s) based on the respective contributions made by each party.” Under the patent policy, all rights to inventions “supported in any way” by CUNY were to be assigned to the Research Foundation, with the proceeds divided 35% to the inventor and 65% to the [12]*12inventor’s college. This policy remained in effect until November 2002.

On July 31, 2000, the 1996-2000 CBA between CUNY and PSC expired. Negotiations for a new contract began shortly thereafter, and in September PSC delivered a series of proposals to CUNY, several of which touched directly or indirectly on intellectual property issues. For instance, Proposal 116 stated, “All material created by an instructional staff member shall be the intellectual property of the instructional staff member exclusively.” In November 2000, without notice to PSC, CUNY distributed to members of its own Intellectual Property Committee a draft Intellectual Property Policy changing its existing policy. PSC was not invited to participate in the discussion.

Section III of the new policy, as eventually adopted, made extensive changes in the rules concerning ownership of intellectual property, giving far broader rights to CUNY. The policy also created a new dispute resolution mechanism, which ignored the dispute resolution process existing under the expired CBA between CUNY and PSC. As negotiations continued for a new CBA, PSC made a presentation with respect to its Proposal 116 concerning intellectual property; CUNY’s Vice Chancellor for Legal Affairs responded that “[intellectual [property [plolicy will be set by the [Board of Trustees] .... This is not a collective bargaining issue.” On May 16, 2001, CUNY released its Draft Revised Intellectual Property Policy with a covering memorandum speaking of faculty meetings to be held throughout the fall of 2001, followed by final approval by CUNY’s trustees. PSC objected to the proposal to adopt an intellectual property policy without agreement in collective bargaining. On November 6, 2001, PSC filed an improper labor practice charge with PERB, alleging that CUNY violated Civil Service Law § 209-a (1) (d) by refusing to bargain as to the terms of its Intellectual Property Policy. On January 3, 2002, CUNY released a second revised draft of the Intellectual Property Policy.

On March 1, 2002, after more than 18 months of negotiation, CUNY and PSC agreed to a final tentative CBA, subject to membership ratification and CUNY Board approval. At that time, CUNY’s proposed Intellectual Property Policy remained in draft form. Two months later, CUNY released a third revised draft of its Intellectual Property Policy; its Trustees, however, took no action before the summer recess. In late June, the 2000-2002 CBA, with an expiration date of October 31, 2002, was ratified by PSC’s membership and approved by CUNY’s trust[13]*13ees. Before signing the CBA, PSC withdrew its demands with respect to the intellectual property issue, stating that the withdrawal was “without prejudice” to its improper labor practice charge. In September 2002, PSC requested that the parties open negotiations for the 2002-2004 CBA by discussing the Intellectual Property Policy, which had yet to be adopted. CUNY refused to negotiate.

On November 18, 2002, 18 days after the expiration of the 2000-2002 CBA, the CUNY trustees adopted the final draft of the Intellectual Property Policy, which, inter alia, expanded CU-NY’s copyright policy to all intellectual property produced by members of CUNY, rather than just to material developed under grants administered by the Research Foundation. It also awarded far broader ownership rights to CUNY than had previously existed, changed the division of compensation arising from intellectual property and created a new dispute resolution procedure as to intellectual property issues. On January 10, 2003, PSC amended its improper labor practice charge to reflect the attempt to bargain as part of the new contract negotiations and to include claims regarding CUNY’s unilateral adoption of the policy.

A hearing on the improper labor practice charge was held before a PERB Administrative Law Judge (ALJ), who issued a decision on July 1, 2003 finding that CUNY violated section 209-a (1) (d) “by refusing to bargain with the PSC about those aspects of the intellectual property policy relating to compensation and the dispute resolution procedure.” The ALJ held that article 2 of the CBA1 did not, as argued by CUNY, waive “PSC’s right to bargain concerning mandatory subjects affected by [14]*14CUNY’s intellectual property policy, either prior or subsequent to its implementation, once the CBA has expired,” noting that “[s]uch a waiver must be clear, unmistakable and without ambiguity.” The ALJ reasoned that although CUNY was contractually privileged by article 2 of the expired CBA “to act unilaterally” in the implementation of the Intellectual Property Policy, this waiver did not permit CUNY to refuse to bargain as to the terms of the policy after the expiration of the CBA, and ordered CUNY, on demand, to bargain with PSC on those aspects of the policy concerning compensation and dispute resolution.

CUNY filed exceptions to the ALJ’s determination that article 2 did not constitute a waiver surviving the expiration of the 2000-2002 CBA. PSC filed cross exceptions, alleging that the ALJ erred in finding that CUNY had the contractual right to implement the Intellectual Property Policy and in failing to restore the status quo as it existed before CUNY’s implementation of the new policy. On March 26, 2004, PERB issued its decision and order affirming the ALJ’s finding that CUNY was contractually privileged to implement an Intellectual Property Policy, but reversing the ALJ’s finding that CUNY had violated its bargaining obligation when it refused to negotiate over the compensation and dispute resolution aspects of that policy after expiration of the 2000-2002 CBA. Emphasizing that “Article 2.4 vests in CUNY the right to adopt and implement alterations to existing procedures or policies, upon notice to and consultation with PSC,” PERB found a clear and explicit waiver of PSC’s right to negotiate “alterations to existing procedures or policies” even after expiration of the CBA. In holding that article 2 continued to bind PSC by operation of law after expiration of the CBA, PERB relied upon Civil Service Law § 209-a (1) (e)2 (the Triborough Amendment) (see Matter of County of Niagara [15]*15v Newman, 104 AD2d 1, 4 [1984]). On April 22, 2004, PSC commenced the instant article 78 proceeding challenging PERB’s determination. Supreme Court transferred the matter to this Court pursuant to CPLR 7804 (g).

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21 A.D.3d 10, 799 N.Y.S.2d 7, 178 L.R.R.M. (BNA) 3065, 2005 N.Y. App. Div. LEXIS 5969, Counsel Stack Legal Research, https://law.counselstack.com/opinion/professional-staff-congress-city-university-v-new-york-state-public-nyappdiv-2005.