District Council of New York City and Vicinity of the United Brotherhood of…

Background

District Council of New York City and Vicinity of the United Brotherhood of Carpenters and Joiners of America brought a petition to confirm and enforce an arbitration award against Triangle Enterprise NYC, Inc. District Council is a labor organization under the Labor Management Relations Act, and Triangle is an employer under that Act. Triangle was bound by a project labor agreement for work at P.S. 241X in the Bronx. The agreement required final and binding arbitration of disputes and required the parties to split arbitration fees.

The dispute arose from Triangle’s alleged installation of a sidewalk shed as covered work under the agreement. District Council alleged that Triangle failed to notify it when the job began and performed covered work for seven days without a shop steward. After notice, the arbitrator held a hearing on May 15, 2024. District Council appeared, but Triangle did not. On May 28, 2024, the arbitrator found that Triangle violated the agreement by failing to provide notice and by failing to hire a shop steward for three days during the week ending June 15, 2023, and four days during the week ending July 2, 2023.

The arbitrator directed Triangle to pay $3,082.80 to District Council and contribute $2,694.16 to the New York City District Council of Carpenters Benefit Funds. The parties’ agreement also required Triangle to pay half of the $1,700 arbitration fee, or $850. District Council demanded payment, but Triangle did not pay, answer the petition, or otherwise participate in the court proceeding. A certificate of default was entered, and District Council moved for summary judgment.

Legal standard

The court explained that confirming an arbitration award is generally a streamlined proceeding that converts the award into a court judgment. Judicial review is narrowly limited. The court must confirm the award unless a recognized ground exists to vacate, modify, or correct it, such as fraud, arbitrator misconduct, bias, exceeding the arbitrator’s authority, or a decision contrary to law.

Because Triangle did not answer the petition, the court treated it as an unopposed motion for summary judgment. But the lack of opposition did not automatically entitle District Council to judgment. The court still had to review District Council’s submissions and determine whether they established entitlement to judgment as a matter of law.

Court’s analysis

The court found that the arbitrator acted within the authority granted by the project labor agreement. It found no indication that the award was arbitrary, exceeded the arbitrator’s jurisdiction, or was contrary to law. The court also found no evidence of fraud, bias, misconduct, or an excess of authority. Applying the narrow standard of review, the court determined that the award had at least a minimally supportable justification and confirmed it.

The court also held that Triangle’s unpaid $850 share of the arbitrator’s fee could be included in the judgment. The agreement required the parties to split the fee, the award specified each party’s share, Triangle had not paid its share, and District Council requested payment of it in the petition.

The court further awarded attorney’s fees because Triangle refused to comply with the arbitration award and did not challenge or seek to vacate it in court. District Council’s lawyers submitted contemporaneous billing records showing 8.3 hours at $300 per hour, for $2,490. The court found both the hourly rate and the time spent reasonable. It also awarded $822.50 in costs, consisting of a $405 filing fee and $417.50 in personal-service fees.

Finally, the court found that additional prejudgment interest on the arbitration award was appropriate under New York law, running from the date of the arbitration award until entry of final judgment.

Disposition

The court granted the petition to confirm the arbitration award. It directed the Clerk of Court to enter judgment in favor of District Council for $10,789.46, consisting of $6,626.96 under the award with prejudgment interest, $850 for Triangle’s share of the arbitrator’s fee, $2,490 in attorney’s fees, and $822.50 in costs. The court directed the Clerk to terminate the motion, enter judgment, and close the case.