Southwestern New Hampshire Transportation Co. v. Durham

152 A.2d 596, 102 N.H. 169, 1959 N.H. LEXIS 38
CourtSupreme Court of New Hampshire
DecidedJune 30, 1959
DocketNo. 4744
StatusPublished
Cited by9 cases

This text of 152 A.2d 596 (Southwestern New Hampshire Transportation Co. v. Durham) is published on Counsel Stack Legal Research, covering Supreme Court of New Hampshire primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Southwestern New Hampshire Transportation Co. v. Durham, 152 A.2d 596, 102 N.H. 169, 1959 N.H. LEXIS 38 (N.H. 1959).

Opinion

Kenison, C. J.

In this state the arbitration of disputes statute (RSA ch. 542) applies to arbitration agreements between employers and employees only if “such agreement specifically provides that it shall be subject to the provisions of this chapter.” RSA 542:1. The collective bargaining agreement in this case is subject to the provisions of RSA ch. 542 by its express terms. This brings into play RSA 542:8 which empowers the court to confirm an award and also provides that the court may correct or modify arbitration awards (1) “for plain mistake”; or may vacate them (2) “for fraud, corruption, or misconduct by the parties or by the arbitrators,” (3) “or on the ground that the arbitrators have exceeded their powers.” Only the first and third grounds are advanced in this proceeding.

The relevant part of Article VIII of the collective bargaining agreement establishes the General Transportation Arbitration Board with power to decide “Any dispute or grievance . . . with respect to wages, hours of work and all other conditions of employment for persons employed within the bargaining unit covered by this Agreement, and arising during the term of this Agreement.” Paragraph (g) of the article contains the following proviso: “ . . . except that the Board may render no decision that conflicts with or exceeds the scope of the Agreement.”

While the scope of an arbitration clause in a collective bargaining agreement presents a question of law for the court (Brampton Woolen Co. v. Local Union, 95 N. H. 255), we must not lose sight of the principle that not all contracts are the same and each one must be interpreted in the light of its purpose and policy. Thus [174]*174in Brampton, supra, it was held that under the collective bargaining-agreement vacation pay to members of the labor union would be normally considered part of their wages even though the agreement did not specifically so state. Accordingly, it was held that the dispute was arbitrable. In this jurisdiction it is recognized that some contracts may be “consummated with greater dispatch, more informality, and less meticulous detail than would be required of a municipal bond issue or a complicated corporate contract. Both are and must be definite but the former may be in shorthand expression for its well understood terms in the custom of the trade.” State v. Del Bianco, 96 N. H. 436, 439.

The scope of interpretation necessary for a contract to purchase a horse or sell an automobile would be more confined than that of a collective bargaining agreement which involves multiple transactions, many people, and many problems under a continuing arrangement for arbitration and which inevitably will give rise to some unforeseen disputes that must be resolved within the general framework of the basic agreement. It is difficult, if not impossible, to try in advance to tie square knots for all the bundles of rights and privileges of both labor and management that are collected in the collective bargaining package. That is why successful and practical arbitrators in reaching their decisions must implement them with something more than a dictionary and a treatise on contracts. 6 Williston, Contracts (rev. ed. 1938) s. 1929. Thus there will be occasions when the arbitrators may consider “the generally accepted practice in industry and the whole agreement between the parties” in reaching their decision. Franklin Needle Co. v. Labor Union, 99 N. H. 101, 105. This problem is thoroughly canvassed in a competent manner in Cox, Reflections Upon Labor Arbitration, 72 Harv. L. Rev. 1482, 1490-1500 (1959).

In the present case it is necessary to determine the meaning of the proviso in the arbitration clause that the board “may render no decision that conflicts with or exceeds the scope of the Agreement.” It seems reasonably clear that this proviso was not intended to deny the arbitration board power to render final and binding decisions on simple questions of fact such as whether an employee quit his job or was physically unable to perform it. So far as we are aware it is not the practice of courts to require a retrial of the facts which the arbitrators have already decided. To do so would destroy the value of grievance arbitration and [175]*175would give the arbitration award the effect oí a preliminary finding only rather than that oí a final and binding decision which the collective bargaining agreement calls for. The arbitration clause was intended to establish an expert but informal tribunal for the resolution of questions of fact arising in the administration of the collective bargaining contract. Issues which were raised, or could have been raised, before the arbitration board are not to be retried in the Superior Court.

The Durham award which is representative of the others, illustrates these issues. The plaintiffs contend that Durham quit his job within the meaning of Article III (d) and (f) when he left his truck in Wilton and therefore the arbitration board exceeded its power when it made an award granting him relief. The arbitration board reinstated Durham to his former position on the seniority roster “with such earning opportunity as may be available, according to his seniority, ability and willingness to perform such work,” but did not award him any back pay. The plaintiffs’ contention raises questions of fact and contract interpretation which were, and certainly could have been, raised before the arbitration board. There was a question of fact whether Durham left his truck on account of physical inability to carry on his duties. Even if Durham had left his work without strict compliance with requirements, there would be a further question of contract interpretation whether his leaving was a quit or a leave of absence within the meaning of Article III (d) and (f). The plaintiffs’ offer of proof is an attempt to relitigate these questions before the Superior Court.

In the present collective bargaining agreement there was no specific provision which reserved questions of law for the court except as provided by statute nor was there any provision that required that the award be set aside because of errors of fact or law made by the arbitrators. Since the questions of fact and contract interpretation in the Durham case were covered by the arbitration agreement there is no occasion for vacating the award for the introduction of the evidence now offered. See Cox, Legal Aspects of Labor Arbitration in New England, 8 Lab. Arb. J. 5, 8 (1953); Sanborn v. Murphy, 50 N. H. 65.

The Durham award is attacked on the additional ground that it conflicts with Article III (j) which provides that “no employee shall be entitled to a job which he cannot or will not properly perform.” Durham’s ability to do a job is an objective fact [176]*176subject to arbitration. Whether an employee is qualified for seniority rights or has the ability to perform specified work are questions properly submitted to arbitration and the decision in this case was a permissible one and was not a plain mistake within the meaning of RSA 542:8.

The plaintiffs’ contentions concerning the awards in the Sears, Corriveau and Taylor cases fall into the same category. In each instance the plaintiffs contend that the employee was “not qualified” or that he was not entitled to the relief granted by the Board of Arbitration. These were all questions of fact and contract interpretation within the confines of the Arbitration Board and were not subject to retrial and relitigation in the Superior Court.

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Bluebook (online)
152 A.2d 596, 102 N.H. 169, 1959 N.H. LEXIS 38, Counsel Stack Legal Research, https://law.counselstack.com/opinion/southwestern-new-hampshire-transportation-co-v-durham-nh-1959.