Sheet Metal Workers v. Architectural Metal Works

Decision Date07 March 2001
Docket NumberNo. 00-3336,P,No. 24,24,00-3336
Citation259 F.3d 418
Parties(6th Cir. 2001) Sheet Metal Workers, International Association, Local Unionlaintiff-Appellee, v. Architectural Metal Works, Inc., Defendant-Appellant. Argued:
CourtU.S. Court of Appeals — Sixth Circuit

Jerry A. Spicer, SNYDER, RAKAY & SPICER, Dayton, Ohio, for Appellee.

Roger L. Sabo, SCHOTTENSTEIN, ZOX & DUNN, Columbus, Ohio, for Appellant.

Before: KRUPANSKY, BOGGS, and BATCHELDER, Circuit Judges.

OPINION

KRUPANSKY, Circuit Judge.

The defendant-appellant Architectural Metal Works, Inc. ("Architectural") has contested the district court's summary judgment for the plaintiff-appellee Sheet Metal Workers, International Association, Local 24, Columbus Area ("the Union") by which it enforced an award of the National Joint Adjustment Board for the Sheet Metal Industry ("NJAB"), a private alternative dispute resolution body composed of equal numbers of labor and management delegates. The NJAB had mandated that Architectural was bound by the terms of a 1997-2000 collective bargaining agreement entered into between the Union and the Sheet Metal Contractors Association of Central Ohio ("the Association"), a multi-employer trade association which represents the interests of member sheet metal enterprises in central Ohio, because Architectural had voluntarily assented to the terms of the predecessor 1994-97 collective bargaining agreement between the Union and the Association. This agreement included an alleged pledge to either accept the terms of a successor renewal contract between the Union and the Association, bargain independently in good faith with the Union for separate terms for the consecutive contract period, or submit the matter to binding arbitration before the NJAB if the Union and Architectural should fail to agree upon contract renewal terms.

At all times relevant to this litigation, Architectural, a small local construction contractor based in Galena, Ohio, engaged in the fabrication of sheet metal roofing seam components and the installation of those materials on commercial and industrial structures. It bid competitively for its roofing contracts. Historically, Architectural has employed between one and five laborers on a "per-job" basis. The Union exclusively represented the organized sheet metal workers within its territorial jurisdiction in negotiations with area employers regarding wages, hours, and terms and conditions of employment. Since at least June 1, 1991, the Union has sequentially negotiated "pre-hire" collective bargaining agreements 1 of three years' duration with the Association. Architectural had never formally joined the Association's membership. Nonetheless, on February 22, 1993, an authorized officer of the defendant company executed a separate one-page "Letter of Assent," which stated, in material part:

This is to certify that the undersigned firm [Architectural] has examined and does agree to comply with the terms and conditions of employment contained in the collective bargaining agreement by and between Sheet Metal Workers' Local Union # 24 and the Sheet Metal Contractors of Central Ohio, effective June 1, 1991 through May 31, 1994.

It is further agreed that the signing of this letter of assent shall be as binding on the undersigned firm as though it had signed the above referred agreement and any amendments thereto.

Prior to the May 31, 1994 expiration of the three-year "pre-hire" labor contract, the Union and the Association negotiated a successor collective bargaining agreement, to be effective between June 1, 1994 and May 31, 1997. On November 3, 1994, Architectural voluntarily executed a second Letter of Assent; its pertinent verbiage was identical to the initial February 22, 1993 Letter of Assent, quoted above, excepting only that the second letter identified the "pre-hire" contract "effective June 1, 1994 through May 31, 1997."

The master 1994-97 "pre-hire" collective bargaining agreement, in Article XII, Section 1, stipulated that its terms would remain in effect until May 31, 1997, unless certain specified conditions were to prevail:

This Agreement and Addendums attached hereto shall become effective on the First day of June, 1994, and remain in its full force and effect until the 31st day of May, 1997, and shall continue in force from year to year thereafterunless written notice of reopening is given not less than Ninety (90) days prior to the expiration date. In the event such notice of reopening is served, this Agreement shall continue in its force and effect until conferences relating thereto have been terminated by either party by written notice, provided, however, that if this Agreement contains Article X, Section 8 [quoted below], it shall continue in full force and effect until modified by order of the National Joint Adjustment Board or until the procedures under Article X, Section 8 have been otherwise completed.

(Emphases added). (Article XII, § 1 is sometimes referred to herein as the "extension clause.").

Article X of the 1994-97 "pre-hire" labor contract between the Union and the Association contained the above-referenced optional Section 8. Article X recited, in pertinent segment:

The Union and the Employer, whether party to this Agreement independently or as a member of a multi-employer bargaining unit, agree to utilize and be bound by this Article.

. . . .

SECTION 8. - In addition to the settlement of grievances arising out of interpretation or enforcement of this Agreement as set forth in the preceding sections of this Article, any controversy or dispute arising out of the failure of the parties to negotiate a renewal of this Agreement shall be settled as hereinafter provided:

a) Should the negotiations for renewal of this Agreement become deadlocked in the opinion of the Local Union or of the Local Contractor's Association, or both, notice to that effect shall be given to the National Joint Adjustment Board.

(Emphases added). (Article X, § 8 is sometimes referred to herein as the "interest arbitration clause."). Subsection 8A of that proviso posited, among other things, that a subsequent decision by the NJAB, or a duly designated subcommittee of its members, which resolves a negotiation stalemate, "shall be final and binding upon the parties."

On or about February 14, 1997, the Union timely posted a certified notice addressed to Architectural which announced that, in accordance with Article XII of the "pre-hire" agreement, the Union elected to reopen the collective bargaining relationship for negotiation of a new labor contract. Herman ("Butch") Immel ("Immel"), Architectural's Secretary and Field Superintendent, testified that, during the spring of 1997, he informed Donald Stiltner and Doug Biggs, the Union's Business Representatives, and Charles Frazier, the Union's Business Manager and Financial Secretary, that Architectural was terminating its voluntary collective bargaining relationship with the Union. 2 Immel explained that competitor local sheet metal construction contractors which employed non-organized craftsmen had underbid Architectural for numerous seam metal roofing contracts because of prevailing lower free-market wage rates. Effective June 1, 1997, Architectural ceased contributing to the Union's fringe benefit funds.

On December 9, 1997, the Union initiated, before the National Labor Relations Board ("NLRB" or "the Board"), an unfair labor practice charge against Architectural by which it alleged, inter alia, that Article X, § 8 and Article XII, § 1 of the 1994-97 collective bargaining agreement compelled Architectural to bargain with the Union concerning the terms and conditions of a successor three-year "pre-hire" agreement, but Architectural had failed to do so.

On January 14, 1998, a staff attorney employed by the NLRB's Regional Office in Cincinnati, Ohio ("Region 9"), pronounced, in an opinion letter delivered to the Union's lawyer, that neither the 1994-97 master contract's "extension," nor its "interest arbitration," clauses were implicated in the subject circumstances, because no ongoing negotiations between the Union and Architectural had "deadlocked." Rather, Architectural had instead elected not to negotiate, because it had resolved not to renew its voluntary relationship with the Union following the purported May 31, 1997 expiration of the existing collective bargaining agreement rather than undertake the negotiations assertedly impelled by the Union's timely "letter of reopening." The NLRB counselor explained:

I am sorry to inform you that the Regional Office has determined to dismiss the above-referenced charge, absent withdrawal. The Region carefully considered your argument that Article X Section 8 [the "interest arbitration clause"] coupled with Article XII Section 1 [the "extension clause"] of the applicable contract binds the Employer to one more contract under the facts of this case.

The Region concluded that the year to year renewal provision of Article XII Section 1 of the contract was effectively forestalled by the Union's letter of reopener [sic] sent to the Employer on or about February 14, 1998 [sic -- 1997]. The Region also considered the caveat to Section 1 that the "Agreement shall continue in full force and effect . . . until modified by the National Adjustment Board or until the procedures under Article X, Section 8 have been otherwise completed." It appears to the Region, however, that Article X, Section 8 is clearly directed at parties in ongoing negotiations who have deadlocked - far from the situation in the instant case. Therefore it was viewed as inoperative. Moreover, while the National Adjustment Board may apparently fashion a remedy binding an employer to one more contract, there appears to be nothing in Article X, Section 8 indicating that this is a remedy under the contract.

In summation, as the contract has not renewed from year to...

To continue reading

Request your trial
23 cases
  • Suzlon Wind Energy Corporation v. Shippers Stevedoring Company
    • United States
    • U.S. District Court — Southern District of Texas
    • 27 Enero 2009
    ...is ambiguous or involves a specialized term of art, science or trade. See Sheet Metal Workers, Int'l Assn., Local Union No. 24 v. Architectural Metal Works, Inc., 259 F.3d 418, 424 n. 4 (6th Cir.2001) ("[T]he construction of unambiguous contract terms is strictly a judicial function; the op......
  • Enniss Family Realty I, LLC v. Schneider Nat'l Carriers, Inc., Civil Action No. 3:11cv739–KS–MTP.
    • United States
    • U.S. District Court — Southern District of Mississippi
    • 2 Enero 2013
    ...provisions are irrelevant and hence inadmissible.’ ”) (quoting Sheet Metal Workers, Int'l Assn., Local Union No. 24 v. Architectural Metal Works, Inc., 259 F.3d 418, 424 n. 4 (6th Cir.2001)). Both Schneider and Enniss's motions will be denied in all other respects. Neither party challenges ......
  • M.R.S. Enterprises v. Sheet Metal Workers' Intern.
    • United States
    • U.S. District Court — District of Columbia
    • 11 Abril 2006
    ...employer is contractually bound to do so, a failure to meet is considered a deadlock. Sheet Metal Workers Int'l Ass'n, Local No. 24 v. Architectural Metal Works, Inc., 259 F.3d 418, 428-29 (6th Cir.2001). The lack of negotiations for a successor agreement in this case constitutes a deadlock......
  • Am. Home Assur. Co. v. Cat Tech, L.L.C.
    • United States
    • U.S. District Court — Southern District of Texas
    • 9 Junio 2010
    ...is ambiguous or involves a specialized term of art, science, or trade. See Sheet Metal Workers, Int'l Assn., Local Union No. 24 v. Architectural Metal Works, Inc., 259 F.3d 418, 424 n. 4 (6th Cir.2001) ("[T]he construction of unambiguous contract terms is strictly a judicial function; the o......
  • Request a trial to view additional results

VLEX uses login cookies to provide you with a better browsing experience. If you click on 'Accept' or continue browsing this site we consider that you accept our cookie policy. ACCEPT