UPHOLSTERERS'INTERNATIONAL U. v. American Pad & Textile Co., 16789.

Decision Date06 January 1967
Docket NumberNo. 16789.,16789.
PartiesUPHOLSTERERS' INTERNATIONAL UNION OF NORTH AMERICA, AFL-CIO, and Local Union No. 307, Upholsterers' International Union of North America, AFL-CIO, Plaintiffs-Appellees, v. The AMERICAN PAD & TEXTILE COMPANY, Defendant-Appellant.
CourtU.S. Court of Appeals — Sixth Circuit

Don Burkholder, Cincinnati, Ohio, for appellant. Rendigs, Fry, Kiely & Dennis, Cincinnati, Ohio, Buchanan, Ingersoll, Rodewald, Kyle & Buerger, David B. Buerger, Rex Rowland, Pittsburgh, Pa., on the brief.

Robert I. Doggett, Cincinnati, Ohio, for appellees, Smith & Latimer, Cincinnati, Ohio, on the brief.

Before EDWARDS and CELEBREZZE, Circuit Judges, and TAYLOR*, District Judge.

EDWARDS, Circuit Judge.

In this case plaintiff-appellee unions sued the defendant-appellant company for damages for violation of a previously existing labor-management contract. The critical language is found in Supplement No. 1 to the contract, dated April 15, 1960:

"2. It is further agreed that any employee with 15 years or more of continuous service with The American Pad and Textile Company at the time of retirement and having attained the age of 65 years, the Company will continue to cover such eligible retired employees with $2,000 life insurance."

The facts in this case disclose that for some years prior to any union contract in the Greenfield, Ohio, plant of the Company, the company had made a practice of paying the premiums on a $2,000 life insurance policy for each of its employees. This pre-existing company policy was made a matter of contract by the supplementary agreement referred to above between the company and Local 307.1

During 1962 the Greenfield, Ohio, plant of the company was closed and its operations moved to a new plant in Louisiana. The company continues in business. But in December of 1962 it sent all of the then retired employees from the Ohio plant (79 in all) who are the subject matter of this suit, notices that they would have to make private arrangements to carry their insurance individually with the insurance company.

The International Union2 and Local 307 thereupon filed the instant suit under Section 301 of the Labor-Management Relations Act of 1947, 61 Stat. 156 (1947), 29 U.S.C. § 185(a) (1964), claiming money damages on behalf of the 79 employees who were retired or eligible to retire on November 30, 1962, for claimed breach of the quoted contract provisions.

The case was submitted to then District Judge (now Circuit Judge) John W. Peck on cross-motions for summary judgment on the basis of pleadings, exhibits, and affidavits. Judge Peck denied defendant's motion and granted plaintiffs' motion for summary judgment on the issue of defendant's liability as to those employees only who had retired prior to May 11, 1962. Without determining damages or the rights of employees who retired after May 11, 1962, he certified the liability question of the retirees prior to May 11, 1962, as a controlling question of law. Thereupon this court granted leave to appeal from his interlocutory order.

It is appellant's contention (as we interpret it) that the word "continue" in the above paragraph should be read as if supplemented by the words "for the term of this contract." It is the union's position that on the contrary that the term "continue" should be supplemented by the words "during the term of such employee retirement." Judge Peck decided the issue of liability posed by this case by holding that the interpretation of the agreement sought by the union was the proper one and by holding that all of those employees who had retired prior to May 11, 1962, were entitled to have premiums paid on their life insurance contracts by the company.

We believe that the word "continue" in the second paragraph of the key contract provisions is ambiguous. It should, however, be read with the whole of the supplementary agreement, including the first paragraph, which clearly made use of language limiting that paragraph to the...

To continue reading

Request your trial
28 cases
  • Poole v. Waterbury, (SC 16856)
    • United States
    • Supreme Court of Connecticut
    • September 30, 2003
    ...of continuing during retirement and continuing until contract expiration); Upholsterers' International Union of North America, AFL-CIO v. American Pad & Textile Co., 372 F.2d 427, 428 (6th Cir. 1967) (language that "[c]ompany will continue to cover such eligible retired employees" is On the......
  • International Union, United Auto., Aerospace, and Agr. Implement Workers of America (UAW) v. Yard-Man, Inc.
    • United States
    • United States Courts of Appeals. United States Court of Appeals (6th Circuit)
    • January 23, 1984
    ...retiree insurance benefits which survive the expiration of the collective bargaining agreement. Upholsterer's International Union v. American Pad & Textile Co., 372 F.2d 427, 428 (6th Cir.1967); International Union, UAW, Local 784 v. Cadillac Malleable Iron Co., Inc., No. G82-75-CA1 (W.D.Mi......
  • Allied Chemical Alkali Workers of America, Local Union No v. Pittsburgh Plate Glass Company, Chemical Division National Labor Relations Board v. Pittsburgh Plate Glass Company, Chemical Division 8212 32, 70 8212 39
    • United States
    • United States Supreme Court
    • December 8, 1971
    ...in § 301 of the Labor Managment Relations Act. 61 Stat. 156, 29 U.S.C. § 185. See, e.g., Upholsterers' Int'l, Union of North America, AFL-CIO v. American Pad & Textile Co., 372 F.2d 427 (CA6 1967). Similarly, Congress has expressly provided for employee representation in the administration ......
  • White Farm Equipment Co., In re
    • United States
    • United States Courts of Appeals. United States Court of Appeals (6th Circuit)
    • June 4, 1986
    ...(6th Cir.1983), cert. denied, 465 U.S. 1007, 104 S.Ct. 1002, 79 L.Ed.2d 234 (1984); Upholsterers' International Union of North America, AFL-CIO v. American Pad & Textile Company, 372 F.2d 427 (6th Cir.1967). These cases concern themselves with particular collective bargaining agreements and......
  • 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