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

Background

The petitioners were trustees of several funds, the Carpenter Contractor Alliance of Metropolitan New York, and the New York City District Council of Carpenters. The opinion refers to the funds collectively as “the Funds” and to the union together with the Funds as “Petitioners.” The union represented certain employees of U.S. Tech Construction Corp., and U.S. Tech was bound by collective bargaining agreements, including the Independent Building Construction Agreement.

The agreement required U.S. Tech to make contributions to the Funds and submit to an audit. The Funds audited U.S. Tech and found that it had not made all required contributions. After U.S. Tech did not pay the audit findings, the petitioners initiated arbitration. Although U.S. Tech had notice of the hearing, it did not appear. On September 11, 2020, the arbitrator entered an award for the petitioners totaling $24,340.81. The award included $9,063.71 in principal, interest, liquidated damages, costs, late-payment interest, audit costs, attorney’s fees, and the arbitrator’s fees. The award also provided for interest at an annual rate of 5.25% from the date it was issued.

The petitioners filed this action to confirm the award on October 7, 2020 and filed proof that U.S. Tech had been served. The court later ordered U.S. Tech to explain why the petition should not be treated as unopposed. U.S. Tech never appeared or responded.

Legal standard and analysis

The court explained that, in this circuit, an unopposed request to confirm an arbitration award is evaluated under the same legal standard as a motion for summary judgment. The court will uphold an arbitrator’s decision when there is a “barely colorable justification” for the award. After reviewing the petitioners’ submissions, the court found more than colorable justification for the arbitrator’s result. Because U.S. Tech had not objected to the motion or to the arbitration, the court confirmed the award.

Ruling

Judge Andrew L. Carter, Jr. granted the petition and entered judgment for the petitioners. The judgment awarded:

- $24,340.81 against U.S. Tech under the September 11, 2020 arbitration award, plus interest at 5.25% per year from the award date through the date of judgment; - $73 in court costs and service fees arising from this proceeding; - $1,220 in attorney’s fees arising from this proceeding; and - Post-judgment interest at the statutory rate.

The court directed the Clerk of Court to enter judgment and close the case.