Wilkes Barre Hospital Co. v. Wyoming Valley Nurses Ass'n PASNAP

453 F. App'x 258
CourtCourt of Appeals for the Third Circuit
DecidedDecember 1, 2011
Docket11-1134, 11-1225
StatusUnpublished
Cited by9 cases

This text of 453 F. App'x 258 (Wilkes Barre Hospital Co. v. Wyoming Valley Nurses Ass'n PASNAP) is published on Counsel Stack Legal Research, covering Court of Appeals for the Third Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Wilkes Barre Hospital Co. v. Wyoming Valley Nurses Ass'n PASNAP, 453 F. App'x 258 (3d Cir. 2011).

Opinion

OPINION

CHAGARES, Circuit Judge.

Wilkes-Barre Hospital Company, LLC (“the Hospital”) appeals the decision of the District Court to deny its petition to vacate the arbitration award against it in favor of Wyoming Valley Nurses Association/PAS-NAP (“the Union”). The Union cross-appeals the District Court’s denial of its request for attorneys’ fees and costs. For the reasons that follow, we will affirm the judgment of the District Court.

I.

We write for the parties’ benefit and recite only the facts essential to our disposition. On June 9, 2009, the Hospital terminated Alessandro Rendina, a registered nurse, for what it argues was “just cause,” on grounds of patient care and insubordination. Appendix (“App.”) 138-39. The Union, pursuant to the governing Collective Bargaining Agreement (“CBA”), filed a grievance on Rendina’s behalf arguing the Hospital did not have just cause to terminate Rendina. App. 139. The parties submitted the matter to arbitration and a hearing was held on March 10, 2010. App. 140. The arbitrator issued his decision on June 9, 2010, finding that the Hospital did not have just cause for terminating Rendina and ordering him to be reinstated with full seniority and benefits, reduced by a ten-day suspension for “breach of epidemiology universal standards and/or blood borne pathogen standards.” App. 147-48,153-55.

The Hospital filed a petition to vacate the arbitrator’s award on July 8, 2010.

*260 App. 26. On July 20, 2010, the Union filed its answer and counterclaim, seeking enforcement of the arbitration award and costs, including attorneys’ fees. App. 26. The Union filed a motion for judgment on the pleadings. The Hospital filed a crossmotion for judgment on the pleadings, abandoning the claims it raised in its petition that the arbitrator exceeded his powers by retaining jurisdiction to resolve disputes arising from the award and that the arbitrator did not apply the correct standard for his review of the discharge, raising only the issue of whether the arbitrator exceeded the scope of his authority by failing to limit his decision to upholding or denying the grievance. App. 19-20, 159-60.

II.

The District Court had jurisdiction pursuant 29 U.S.C. § 185 and we have appellate jurisdiction pursuant to 28 U.S.C. § 1291. Our review of the District Court’s judgment on the pleadings upholding the arbitration award is plenary and “we apply the same standard the district court should have applied in reviewing the arbitration award.” Exxon Shipping Co. v. Exxon Seamen’s Union, 73 F.3d 1287, 1291 (3d Cir.1996) (citing Stroehmann Bakeries, Inc. v. Local 776, Int’l Bhd. of Teamsters, 969 F.2d 1436, 1440-41 (3d Cir.1992)); Sikirica v. Nationwide Ins. Co., 416 F.3d 214, 219-20 (3d Cir.2005) (citing Jablonski v. Pan Am. World Airways, Inc., 863 F.2d 289, 290 (3d Cir.1988)). Our review of the District Court’s denial of a petition for attorneys’ fees and costs in a suit to compel a party to abide by an arbitration award is for an abuse of discretion. See Teamsters Local Union No. 764 v. J.H. Merritt and Co., 770 F.2d 40, 43 n. 2 (3d Cir.1985).

III.

The Hospital contends that the CBA, in Article 13, Section 2, required an “up or down” review of the grievance by the arbitrator because it provided:

The arbitrator shall have the authority only to interpret the terms and provisions of the Agreement and shall have no authority to add to, modify or change any of the provisions herein. The arbitrator shall have the authority only to deny or uphold the grievance.

App. 55. The Hospital argues that the arbitrator only had the contractual authority reinstate Rendina or to uphold the termination based on a finding of just cause, but did not have the contractual authority to render a partial or mixed remedy of a 10-day suspension and reinstatement.

The United States Supreme Court has held that “the courts play only a limited role when asked to review the decision of an arbitrator.” United Paperworkers Int’l Union, AFL-CIO v. Misco, Inc., 484 U.S. 29, 36, 108 S.Ct. 364, 98 L.Ed.2d 286 (1987). “The courts are not authorized to reconsider the merits of an award even though the parties may allege that the award rests on errors of fact or on misinterpretation of the contract ... As long as the arbitrator’s award ‘draws its essence from the collective bargaining agreement,’ and is not merely ‘his own brand of industrial justice,’ the award is legitimate.” Id. (quoting Steelworkers v. Enter. Wheel & Car Corp., 363 U.S. 593, 597, 80 S.Ct. 1358, 4 L.Ed.2d 1424 (I960)). “[A]s long as the arbitrator is even arguably construing or applying the contract and acting within the scope of his authority, that a court is convinced he committed serious error does not suffice to overturn his decision.” Id. at 38, 108 S.Ct. 364. The Supreme Court has further held that “[wjhen an arbitrator is commissioned to interpret and apply the *261 collective bargaining agreement, he is to bring his informed judgment to bear in order to reach a fair solution of a problem. This is especially true when it comes to formulating remedies. There the need is for flexibility in meeting a wide variety of situations.” Steelworkers v. Enter. Wheel & Car Corp., 363 U.S. 593, 597, 80 S.Ct. 1358, 4 L.Ed.2d 1424 (1960).

The parties can limit an arbitrator’s ability to craft remedies with an express statement. See Misco, 484 U.S. at 41, 108 S.Ct. 364 (holding parties may limit discretion of arbitrator with respect to remedies); Hill v. Staten Island Zoological Soc’y, 147 F.3d 209, 213-14 (2d Cir.1998) (“Both the Supreme Court and this court have said that a limitation on the arbitrator’s ability to substitute a lesser penalty where he or she has found that just cause did not exist must be stated expressly.”). The Hospital argues that Article 13, Section 2 is such an express statement limiting the arbitrator’s authority to issue a modified penalty.

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453 F. App'x 258, Counsel Stack Legal Research, https://law.counselstack.com/opinion/wilkes-barre-hospital-co-v-wyoming-valley-nurses-assn-pasnap-ca3-2011.