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

Background

The petitioners were the named pension, welfare, annuity, apprenticeship, retraining, educational, industry, relief, and charity funds, the Carpenter Contractor Alliance of Metropolitan New York, and the New York City District Council of Carpenters. The funds operated as multiemployer labor-management trust funds, and the Union represented certain employees of Jaidan Industries.

Jaidan Industries signed a Letter of Assent binding it to a project labor agreement for work on the Chelsea District Health Center Renovation. That agreement incorporated a collective bargaining agreement requiring contributions to the funds for covered work. The collective bargaining agreement allowed disputes about fund payments to be arbitrated and allowed recovery of interest, liquidated damages, attorneys’ fees, and costs.

An audit found that Jaidan Industries had failed to remit $373.28 in required contributions for the period from October 14, 2015, through October 31, 2017. The petitioners initiated arbitration before Roger E. Maher. Jaidan Industries did not appear at the arbitration hearing. The arbitrator issued a revised award on April 24, 2020, requiring payment of $5,142.23, consisting of the principal deficiency, interest, liquidated damages, late-payment interest, court costs, attorneys’ fees, arbitrator’s fees, and audit costs. The award also provided for 6.75% interest from the award’s issue date.

Court’s Analysis

The petitioners filed the petition to confirm the award on August 28, 2020, and served Jaidan Industries on September 4, 2020. Jaidan Industries did not respond within 21 days, so the petition was treated as unopposed. The court explained that an unanswered petition to confirm an arbitration award is treated as an unopposed motion for summary judgment, but the court must still review the record to determine whether the petitioners were legally entitled to judgment.

The court applied the limited judicial review given to arbitration awards. It found sufficient justification for the award because the arbitrator reviewed the collective bargaining agreement and the petitioners’ evidence and found that Jaidan Industries violated the agreement by failing to make required contributions. The court found no indication that the arbitrator acted arbitrarily, exceeded the arbitrator’s authority, or acted contrary to law.

The court also found the award of attorneys’ fees and costs appropriate because Jaidan Industries had not appeared or attempted to modify or vacate the award. It further granted post-judgment interest under 28 U.S.C. § 1961(a).

Disposition

The court granted the petition and confirmed the arbitration award. The Clerk was directed to enter judgment for the petitioners in the amount of $5,142.23, plus 6.75% annual interest from the award date through the judgment date. Jaidan Industries was also ordered to pay $1,868 in attorneys’ fees and $70 in costs arising from the petition. The judgment would accrue post-judgment interest under 28 U.S.C. § 1961, and the case was closed.