Actors' Equity Association v. RC Christmas LLC

Background

Actors’ Equity Association (AEA), a labor union, sought confirmation and enforcement of an arbitrator’s award against RC Christmas LLC. RC Christmas produced “Ruben and Clay’s Christmas Show” and had agreements with AEA covering the work of the show’s actors and stage managers.

The agreements required arbitration of disputes concerning the interpretation or application of the relevant collective bargaining agreement. The agreements also provided that an arbitrator’s award would be final and binding. AEA demanded arbitration in September 2019, alleging that RC Christmas had failed to pay various amounts under the collective bargaining agreement and individual employment contracts.

At the arbitration, the parties stipulated that RC Christmas owed AEA $15,347.38, while RC Christmas disputed amounts allegedly owed to Clay Aiken. Aiken’s contract required weekly payments of $25,000 to him and $5,000 to his agent. The arbitrator, Alan R. Viani, held a hearing and issued an eight-page decision on February 3, 2020. He ruled for AEA and ordered RC Christmas to pay $60,000 for the two weeks of unpaid payments to Aiken, plus the undisputed $15,347.38, for a total award of $75,347.38 before fees and costs. RC Christmas did not pay the award.

Confirmation of the Arbitration Award

AEA asked the court to confirm the award. RC Christmas had been served with the lawsuit, the motion, and the briefing schedule, but it never appeared or submitted an opposition. The court therefore treated the motion as unopposed.

The court explained that judicial review of a labor-arbitration decision is very limited. Confirmation normally converts the arbitrator’s final award into a court judgment. The court does not reconsider the arbitrator’s factual or contractual conclusions if the arbitrator was at least arguably interpreting the parties’ agreement and acting within the scope of the arbitrator’s authority.

The court found no genuine dispute preventing confirmation. RC Christmas had agreed to the relevant contracts and arbitration provisions. It had also admitted owing some of the amounts, and the arbitrator had considered the disputed payments, heard testimony from Aiken and Jeffrey Chrzczon, interpreted the contracts, and issued a reasoned decision. The court found no indication that the arbitrator acted arbitrarily, exceeded his authority, or acted contrary to law. It therefore confirmed the arbitration award.

Attorneys’ Fees and Costs

AEA also requested $4,485.46 in attorneys’ fees and $469 in costs incurred in seeking confirmation. The court explained that fees generally require statutory authority, but they may be awarded under the court’s equitable powers when the opposing party refuses without justification to follow an arbitration decision.

Because RC Christmas had not appeared or defended the case, it had offered no justification for failing to comply with the award. The court found an award of fees and costs proper. It approved 18 hours of work—17.4 hours by attorney Olivia R. Singer at $254.30 per hour and 0.6 hours by paralegal George T. Kramer at $101 per hour—as reasonable and nonduplicative. The court also approved $469 in costs for the filing fee and service costs.

Disposition

The court granted the petition to confirm the arbitration award. It awarded AEA $4,485.46 in attorneys’ fees and $469 in costs, and directed the Clerk of Court to enter a judgment totaling $80,301.84 and close the case.