Universities Research Assn., Inc. v. Coutu

101 S. Ct. 1451, 28 Cont. Cas. Fed. 81,199, 67 L. Ed. 2d 662, 450 U.S. 754, 1981 U.S. LEXIS 2, 49 U.S.L.W. 4354, 24 Wage & Hour Cas. (BNA) 1273
CourtSupreme Court of the United States
DecidedApril 6, 1981
Docket78-1945
StatusPublished
Cited by388 cases

This text of 101 S. Ct. 1451 (Universities Research Assn., Inc. v. Coutu) is published on Counsel Stack Legal Research, covering Supreme Court of the United States primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Universities Research Assn., Inc. v. Coutu, 101 S. Ct. 1451, 28 Cont. Cas. Fed. 81,199, 67 L. Ed. 2d 662, 450 U.S. 754, 1981 U.S. LEXIS 2, 49 U.S.L.W. 4354, 24 Wage & Hour Cas. (BNA) 1273 (U.S. 1981).

Opinion

Justice Blackmun

delivered the opinion of the Court.

The Davis-Bacon Act requires that certain federal construction contracts contain a stipulation that laborers and mechanics will be paid not less than prevailing wages, as determined by the Secretary of Labor. The question presented in this case is whether the Act confers upon an employee a private right of action for back wages under a contract that has been administratively determined not to call for Davis-Bacon work, and that therefore does not contain a prevailing wage stipulation.

I

Section 1 (a) of the Davis-Bacon Act of March 3, 1931 (Act), ch. 411, § 1, 46 Stat. 1494, as amended, 40 U. S. C. § 276a (a), 1 provides that the advertised specifications for *757 every federal contract in excess of $2,000 “for construction, alteration, and/or repair ... of public buildings or public works of the United States . . . shall contain a provision stating the minimum wages to be paid various classes of laborers and mechanics which shall be based upon the wages that will be determined by the Secretary of Labor to be prevailing” for corresponding classes of laborers and mechanics employed on similar projects in the locality. Every contract based upon these specifications must contain a stipulation that the contractor shall pay wages not less than those stated in the specifications. 2

A contract entered into pursuant to the Act must also provide that if the contractor fails to pay the minimum wages specified in the contract, the Government contracting officer may withhold so much of the accrued payments as may be considered necessary to pay the laborers and mechanics the difference between the contract wages and those actually paid. Section 3 of the Act, as added Aug. 30, 1935, 49 Stat. *758 1012, 40 U. S. C. § 276a-2, 3 authorizes the Comptroller General to pay these accrued payments directly to the laborers and mechanics.

Should the withheld funds prove insufficient to reimburse the employees, § 3 confers on them "the right of action and/or of intervention against the contractor and his sureties conferred by law upon persons furnishing labor or materials.” Laborers and mechanics working under a contract that contains Davis-Bacon Act stipulations thus may themselves bring suit against the contractor on the payment bond that the Miller Act of August 24, 1935, 49 Stat. 793, as amended, 40 U. S. C. § 270a et seq. (1976 ed. and Supp. Ill), requires for the protection of persons supplying labor or materials under certain federal construction contracts. 4 In addition, *759 if the contractor fails to pay at least the stipulated minimum wages, the contract may be terminated and the contractor debarred from all Government contracts for a period of three years. 5

Pursuant to Reorganization Plan No. 14 of 1950, 5 U. S. C. App., p. 746, the Secretary of Labor (Secretary) has issued regulations designed to “assure coordination of administration and consistency of enforcement” of the Act and some 60 related statutes. 6 See 29 CFR Parts 1, 3, 5, 7 (1980). 7 In *760 their turn, various contracting agencies have issued detailed regulations concerning the applicability of the Act to the contracts they let. See, e. g., 41 CFR Subpart 9-18.7 (1979) (Department of Energy). The contracting agency has the initial responsibility for determining whether a particular contract is subject to the Davis-Bacon Act. See A. Thieblot, The Davis-Bacon Act 31 (Labor Relations and Public Policy Series Report No. 10, Univ. of Pa., 1975) (hereinafter Thie-blot). If the agency determines that the contract is subject to the Act, it must determine the appropriate prevailing wage rate, 8 and ensure that the rate chosen is inserted in the requests for bids on the project, as well as in any resulting contract. See 29 CFR § 5.5 (1980); Thieblot, at 31-34.

The contracting agency’s coverage and classification determinations are subject to administrative review. Prior to the award of a contract, a contractor, labor organization, or employee may appeal a final agency determination that a project is not covered by the Act to the Department of Labor. *761 29 CFR §§5.12 and 7.9 (1980). 9 Disputes over the proper classification of workers under a contract containing Davis-Bacon provisions must be referred to the Secretary for determination. 41 CFR § 1-18.703-1 (i) (1979); 29 CFR § 5.12 (1980). See North Georgia Bldg. & C. T. C. v. U. S. Dept. of Transp., 399 F. Supp. 58 (ND Ga. 1975). In turn, any “interested person” may appeal the Secretary’s wage rate determination to the Wage Appeals Board of the Department of Labor, provided review is sought prior to the award of the contract at issue. 29 CFR § 1.16 (1980); 29 CFR Part 7 (1980). See Thieblot, at 40-43. 10

*762 II

Petitioner Universities Research Association, Inc., is a not-for-profit consortium of North American universities. In 1967, petitioner made a contract with the Atomic Energy Commission (AEC) to provide scientific and management services to the United States in connection with the construction, alteration, and repair of the Fermi National Accelerator Laboratory, a high-energy physics research facility located in Kane and Du Page Counties, Ill. Effective April 1972, this contract was modified to provide that petitioner also would furnish personnel to administer and operate the Fermi Laboratory. The contract was later assumed in turn by the AEC’s successors, the Energy Research and Development Agency (ERDA) and the Department of Energy (DOE). 11

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Kaanaana v. Barrett Business Services, Inc.
California Court of Appeal, 2018
Lopez Castro v. Fidelity and Deposit Company of Maryland
59 F. Supp. 3d 9 (District of Columbia, 2014)
TECO Mechanical Contractor, Inc. v. Commonwealth
366 S.W.3d 386 (Kentucky Supreme Court, 2012)
Clarke v. Holder
767 F. Supp. 2d 106 (District of Columbia, 2011)
Pantoja v. Countrywide Home Loans, Inc.
640 F. Supp. 2d 1177 (N.D. California, 2009)
Cox v. NAP Constr. Co., Inc.
891 N.E.2d 271 (New York Court of Appeals, 2008)
United States v. Dynamics Research Corp.
441 F. Supp. 2d 259 (D. Massachusetts, 2006)
College Sports Council v. Government Accountability Office
421 F. Supp. 2d 59 (District of Columbia, 2006)
In Re Dreyfus Mutual Funds Fee Litigation
428 F. Supp. 2d 342 (W.D. Pennsylvania, 2005)
Chao v. Virginia Department of Transportation
157 F. Supp. 2d 681 (E.D. Virginia, 2001)
United States Ex Rel. Bradbury v. TLT Construction Corp.
138 F. Supp. 2d 237 (D. Rhode Island, 2001)
Livingston v. Shore Slurry Seal, Inc.
98 F. Supp. 2d 594 (D. New Jersey, 2000)
Felix v. United States
954 F. Supp. 70 (S.D. New York, 1996)
United States Ex Rel. Windsor v. Dyncorp, Inc.
895 F. Supp. 844 (E.D. Virginia, 1995)
People v. Hwang
25 Cal. App. 4th 1168 (California Court of Appeal, 1994)
BUILDING AND CONST. TRADES DEPT., AFL-CIO v. Reich
815 F. Supp. 484 (District of Columbia, 1993)
Kam Shing Chan v. City of New York
803 F. Supp. 710 (S.D. New York, 1992)

Cite This Page — Counsel Stack

Bluebook (online)
101 S. Ct. 1451, 28 Cont. Cas. Fed. 81,199, 67 L. Ed. 2d 662, 450 U.S. 754, 1981 U.S. LEXIS 2, 49 U.S.L.W. 4354, 24 Wage & Hour Cas. (BNA) 1273, Counsel Stack Legal Research, https://law.counselstack.com/opinion/universities-research-assn-inc-v-coutu-scotus-1981.