Trustees Of The New York City District Council Of Carpenters Pension Fund v…
Trustees Of The New York City District Council Of Carpenters Pension Fund, Welfare Fund, Annuity Fund, and Apprenticeship, Journeyman Retraining, Educational and Industry Fund v. Ocean Marine Development Corp.
- Paul Gardephe
- 1:20-cv-02728
- U.S. District Court · Southern District of New York
- 8
In Trustees of the New York City District Council of Carpenters v. Ocean Marine Development Corp., Judge Gardephe confirmed an unopposed arbitration award requiring Ocean Marine to pay $8,794,970.34.
The petitioners received a judgment confirming the arbitration award and awarding additional attorneys’ fees, costs, and interest. Ocean Marine Development Corp. was required to pay the confirmed award and additional amounts.
What happened
In Trustees of the New York City District Council of Carpenters v. Ocean Marine Development Corp., the petitioners asked the court to enforce an arbitration award based on collective bargaining agreements. Ocean Marine did not respond to the petition or appear in the case.
The arbitrator found that Ocean Marine had not allowed an audit of its records and had failed to pay required contributions to the funds. The court reviewed the petition and award even though they were unopposed and found no basis to set the award aside.
Judge Gardephe granted the petition, confirmed the award for $8,794,970.34, and added $1,435 in attorneys’ fees and $70 in costs. Interest was ordered at 7.5% until judgment, followed by federal statutory post-judgment interest.
The detailed version
- Trustees Of The New York City District Council Of Carpenters Pension Fund v… · No. 1:20-cv-02728
- Paul Gardephe
- Oct. 2, 2020
Background
The petitioners were the trustees of several 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 against Ocean Marine Development Corp. under Section 301 of the Labor Management Relations Act and collective bargaining agreements between the General Contractors Association of New York and the Union.
The agreements required Ocean Marine to make contributions to the funds for covered work and to provide books and records for audits. The petitioners alleged that Ocean Marine failed to provide its records for a requested audit and failed to remit required contributions for the period from November 1, 2010, through December 18, 2019.
The petitioners began arbitration on August 27, 2019. Ocean Marine did not appear at the December 16, 2019 hearing. The arbitrator considered the petitioners’ testimony and evidence, found Ocean Marine in default, and issued an award dated December 18, 2019. The award required payment of $5,787,401.13 in unpaid contributions, $1,847,688.98 in interest, $1,157,480.23 in liquidated damages, $400 in costs, $1,500 in attorneys’ fees, and $500 for the arbitrator’s fee, totaling $8,794,970.34.
Court’s analysis
The court explained that courts give arbitration awards substantial deference. A petition to confirm an award is treated similarly to a summary-judgment motion, so an unopposed petition cannot be granted automatically; the court must still determine whether the petitioner’s submissions show that no genuine dispute of material fact exists and that the petitioner is legally entitled to judgment.
The court found that the arbitrator had considered the evidence, applied the relevant provisions of the collective bargaining agreements, and acted within the authority granted by those agreements. The court also found no evidence that the award was obtained unlawfully, issued arbitrarily, or exceeded the arbitrator’s powers. It noted that Ocean Marine had not challenged or sought to vacate the award.
Rulings and judgment
The court granted the unopposed petition to confirm all aspects of the arbitration award. It directed the Clerk of Court to enter judgment for $8,794,970.34, with interest at 7.5% from December 18, 2019, until entry of judgment. The court also granted the petitioners’ request for attorneys’ fees and costs and directed that the judgment include $1,435 in attorneys’ fees and $70 in costs. Post-judgment interest was ordered at the rate provided by 28 U.S.C. § 1961(a), calculated from the date judgment was entered. Judge Paul G. Gardephe directed the Clerk to close the case.
Read the full 8-page opinion on CourtListener, the free public archive maintained by the Free Law Project.
Related cases
- Trustees Of The New York City District Council Of Carpenters Pension Fund…Oct 2020
- Trustees for The Mason Tenders District Council Welfare Fund, Pension Fund…Sep 2020
- Trustees Of The New York City District Council Of Carpenters Pension Fund…Aug 2020
- Trustees Of The New York City District Council Of Carpenters Pension Fund…Aug 2020
- Trustees Of The New York City District Council Of Carpenters Pension Fund…Aug 2020
- Perezv. PeopleReady