December 12th, 2011 William Schendel
DAlaska: Section 303 Claim Can’t Substitute for a Petition to Vacate Arbitration Award
U S District Judge John Sedwick has dismissed an employer’s Section 303 claim for damages arising from an arbitration award over assignment of disputed work in Seward, Alaska. The ILWU had claimed that American President Lines had used MEBA-represented workers in violation of a collective bargaining agreement with the ILWU. The arbitrator found in the ILWU’s favor, and the NLRB dismissed APL’s Section 8(b)(4)(ii) and 8(e) claims.
Sedwick held:
the arbitrator determined that the loading and unloading of containers at Seward was bargaining unit work that had traditionally been performed by ILWU and that APL had control of the work performed by Samson. The arbitrator therefore determined that ILWU did not violate § 8(b)(4). Because that determination is binding on APL [under the CBA arbitration provision], there is no basis for APL to assert a claim under § 303.
APL is attempting to litigate issues — whether the Seward work was fairly claimable by ILWU and whether APL had a right to control that work — that have already been decided through arbitration which the parties agreed would be binding. The proper procedure would have been for APL to challenge the award via a petition to vacate under § 301. Allowing APL to proceed under § 303 would undermine the national labor policy in faovr of arbitration.
Sedwick then dismissed APL’s claims for lack of Section 303(b) standing.
American President Lines, LTD v. ILWU Unit 60, 2011 U.S.Dist. LEXIS 140146 (D.Alaska Dec. 5, 2011)
Littler Mendelson (Doug Parker and Sean Halloran) represented the employer plaintiff; JDO was local counsel for the union.