Trustees Of The New York City District Council Of Carpenters Pension Fund v…

Background

The petitioners were the trustees of several benefit funds, the Carpenter Contractor Alliance of Metropolitan New York, and the New York City District Council of Carpenters. They sought confirmation of an arbitration award under section 301 of the Labor Management Relations Act. Concrete Brothers Construction LLC was the respondent.

On or about October 26, 2017, Concrete Brothers signed a memorandum agreeing to be bound by a collective bargaining agreement with the Union and Vicinity for Dockbuilders Local Union No. 1556. The agreement required the company to make contributions to the funds for covered work and to provide its books and payroll records when the funds requested an audit. It also allowed disputes concerning fund payments to be submitted to arbitration.

The funds requested an audit beginning October 26, 2017. The company did not provide its books and records. Under the funds’ collection policy, the funds estimated a principal contribution deficiency of $150,071.19 and initiated arbitration. The arbitrator held a hearing on November 7, 2019, but the company did not appear or request an adjournment. On November 12, 2019, the arbitrator found that the company violated the collective bargaining agreement by refusing to permit an audit and awarded $195,095.49: $150,071.19 in estimated principal, $12,610.06 in interest, $30,014.24 in liquidated damages, $400 in court costs, $1,500 in attorney’s fees, and $500 in arbitrator’s fees. The arbitrator also provided for 7.5% annual interest from the award date.

Court’s Analysis

The court explained that judicial review of an arbitration award is extremely limited. A court generally may not reconsider the arbitrator’s factual or contract interpretations; it must confirm the award if it has at least a barely colorable justification and draws its essence from the collective bargaining agreement.

Although the respondent failed to oppose the petition, the court did not treat the matter simply as a default judgment. In this type of proceeding, the petition and supporting record are treated like a motion for summary judgment, meaning the court considers whether there is no genuine dispute about a material fact and the petitioners are entitled to judgment as a matter of law.

The court found that the arbitration record showed the company was bound by the collective bargaining agreement, was required to make its records available for examination, refused the audit, and owed the amounts awarded. The court therefore concluded that the award should be confirmed.

Additional Fees, Costs, and Judgment

The petitioners separately requested $629 in attorney’s fees and $75 in costs incurred in bringing the confirmation petition. The court found the claimed billing rates and 3.9 hours of work reasonable and granted the request for $629 in attorney’s fees. It also granted the requested $75 in costs.

The court further held that the petitioners were entitled to post-judgment interest under 28 U.S.C. § 1961(a). The conclusion directed the Clerk to enter judgment confirming the November 12, 2019 arbitration award, with 7.5% annual interest from that date until the date of judgment; enter judgment for the petitioners for $629 in attorney’s fees and $75 in costs; apply federal statutory post-judgment interest to the entire judgment; and close the case.