Justia Arbitration & Mediation Opinion Summaries

The Providence School Board (Board) provided health insurance to active employees and retirees. In 2006, the Providence Teachers Union (Union) filed a grievance protesting a difference in the increase of premium costs for retirees compared with a more modest increase in premium costs for active employees. The Union argued that the Board's action violated three provisions of the collective bargaining agreement (CBA) between the board and the union. An arbitrator ruled in the Union's favor, concluding that the Board violated the CBA by failing to include retirees and active employees in a single group when it calculated the healthcare premium rates. The trial justice vacated the arbitration award, concluding (1) the Union did not have standing to pursue a grievance on behalf of retirees, and (2) the issue of the calculation of the group premium rate was not arbitrable. The Supreme Court affirmed, holding (1) pursuant to Arena v. City of Providence and City of Newport v. Local 1080, the Union could not pursue this grievance on behalf of the retirees; and (2) because the Union had no standing to pursue this particular grievance, the grievance was not arbitrable. View "Providence Sch. Bd. v. Providence Teachers Union, Local 958" on Justia Law

This appeal was the last chapter in a case with a "long and tortuous procedural history." The sheriff of Suffolk County brought this appeal after Plaintiff, a jail officer employed by the sheriff, filed an action to enforce an arbitrator's award of back pay to Plaintiff after a finding that Plaintiff was wrongfully discharged. The sheriff appealed from the superior court ruling that Plaintiff had no duty to mitigate his damages by seeking comparable employment. The union for the jail officers and employees of the county, on behalf of Plaintiff, cross appealed from the judge's decision not to assess statutory postjudgment interest on the arbitrator's award. The Supreme Court affirmed, holding (1) Plaintiff had a duty to mitigate his damages, but the sheriff waived this issue by failing to raise it earlier in the proceedings; and (2) the superior court judge did not err in deciding not to assess postjudgment interest on sovereign immunity grounds. View "Sheriff of Suffolk County v. Jail Officers & Employees of Suffolk County" on Justia Law

Several union groups filed unfair labor practice complaints against Macomb County and the Macomb County Road Commission over a change in the method for calculating pension benefits. The groups argued the County lowered benefits without bargaining on the issue as required by Michigan labor law. Upon review, the Supreme Court found that disputes over terms or conditions of employment covered by a collective bargaining agreement (CBA) are subject to arbitration through a grievance process. When the CBA grants the retirement commission discretion to use actuarial tables to establish pension benefits, the decision to change a long-standing method of calculating those benefits does not (by itself) constitute the clear and unmistakable evidence needed to overcome the CBA's coverage, nor does it create a new condition of employment that would trigger the need to bargain. As a result, none of the unfair labor practices alleged in this case could be sustained, and the remedy for this dispute should have gone through the grievance process called for in the CBA. View "Macomb County v. AFSCME Council 25 Locals 411 & 893 " on Justia Law

Plaintiffs were individuals who entered into contracts with Defendants for the provision of janitorial services to third-party customers. Plaintiffs filed this putative class action, alleging that Defendants violated the Massachusetts Wage Act. Defendants moved to stay the court proceedings pending arbitration according to the terms of the arbitration clause contained in the parties' franchise agreements. The superior court denied the motion, concluding that the arbitration clause was unenforceable as set forth in Feeny v. Dell Inc. (Feeney I). After the United States Supreme Court decided AT&T Mobility LLC v. Concepcion, Defendants sought appellate review, which the Supreme Court granted. The Supreme Court reversed the order invalidating the arbitration in light of its interpretation of Conception and its impact on Feeney I, as set forth in Feeney II, holding (1) Massachusetts public policy in favor of class proceedings in certain contexts may no longer serve, in and of itself, as grounds to invalidate a class waiver in an arbitration agreement; and (2) in this case, Plaintiffs failed to demonstrate they lacked a practical means to pursue their claims on an individual basis. View "Machado v. System4 LLC" on Justia Law

Defendant Halliburton Energy Services hired Plaintiff Edward Flemma to work as a cement equipment operator in Houma, Louisiana, in January of 1982. During his twenty-six years of employment with Halliburton, Flemma was promoted several times and worked for the company in Louisiana, Texas, Angola, and New Mexico. The last position he held was as district manager in Farmington, New Mexico, where he worked from 2006 until the time of his termination in 2008.The issue on appeal before the Supreme Court in this case centered on a conflict of laws issue that requires the Court to determine whether enforcement of an arbitration agreement, formed in the State of Texas, would offend New Mexico public policy to overcome our traditional choice of law rule. Upon review, the Court concluded that the agreement formed in Texas would be unconscionable under New Mexico law, and it therefore violated New Mexico public policy. Thus, the Court applied New Mexico law and concluded that no valid agreement to arbitrate existed between the parties because Halliburton's promise to arbitrate was illusory. The Court reversed the Court of Appeals and remanded this case to the district court for further proceedings. View "Flemma v. Halliburton Energy Services, Inc." on Justia Law

This case involved a dispute between the R.I. Department of Corrections (DOC) and the certified bargaining unit for correctional officers and other DOC employees (the union). The dispute arose from the DOC's proposal to modify the weapons qualification component of the training program for correctional officers. The union filed a grievance, arguing that the training program could not modified without the approval of a training committee that had been created under the parties' collective bargaining agreement (CBA). An arbitrator ruled in the union's favor. The superior confirmed the arbitration award. The Supreme Court affirmed, holding (1) this dispute was arbitrable; and (2) the arbitration award must stand because the arbitrator's interpretation of the CBA was passably plausible, did not reflect a manifest disregard for the law, and was not irrational. View "State Dep't of Corr. v. R.I. Brotherhood of Corr. Officers" on Justia Law

Plaintiffs, five current or former temporary employees of the School Board, filed a class action complaint asserting employee-compensation claims against the School Board, its chair, and the Union. Plaintiffs alleged that even though the collective bargaining agreement (CBA) excluded "temporary employees" from the bargaining unit, they were entitled to the benefits of an arbitration award entered as the result of an arbitration between the School Board and the Union, as well as benefits from the underlying CBA. The court concluded that the Union adequately consented to the notice of removal to federal court; that neither substantive claim asserted by plaintiffs stated a plausible claim for which relief could be granted; and that the district court did not err in striking plaintiffs' motion for reconsideration of the district court's dismissal order. Accordingly, the court affirmed the judgment of the district court. View "Mayo v. Board of Education of Prince George's County" on Justia Law

After Employee failed to ask a shopper for a loyalty card per Employer's policy, Employee was fired. Employee brought a wrongful discharge claim against Employer under Montana's Wrongful Discharge From Employment Act (WDEA). Employee accepted Employer's offer to arbitrate the dispute because she said Mont. Code Ann. 39-915 would force her to pay Employer's attorney fees if she declined the offer and later lost at trial. Employee then successfully moved to amend her complaint to add destruction of evidence and declaratory judgment claims, alleging, inter alia, that section 39-2-915 was unconstitutional. The district court subsequently dismissed Employee's amended complaint, concluding that it had lost jurisdiction over Employee's claim once she accepted the offer to arbitrate. The court also ruled that 39-2-915 was constitutional. The Supreme Court (1) affirmed the dismissal of Employee's amended complaint, as the court lost its ability to consider Employee's claim once she agreed to arbitration; and (2) set aside the district court's determination of Employee's constitutional claim, as the court lost its authority to act further once Employee agreed to arbitrate. View "Ensey v. Mini Mart, Inc." on Justia Law

NSP sought to vacate an arbitration award, arguing that the arbitrator exceeded his authority under a Collective Bargaining Agreement (CBA) with the Union to grant an award after first determining that NSP had just cause for making its termination decision. The court held that the language of the arbitrator's decision was sufficient to show that the arbitrator found the termination was supported by just cause. Having answered the first submitted question in the affirmative, the arbitrator had no authority to address the second question of remedy or to fashion a remedy different than the termination. Therefore, the district court properly vacated the arbitrator's award for reaching beyond his authority under the CBA. View "Northern States Power Co. v. IBEW, Local 160" on Justia Law

Goldman Sachs appealed from an order of the district court denying their motion to compel arbitration of plaintiff's claims of gender discrimination. Plaintiff and others alleged that Goldman Sachs engaged in a continuing pattern and practice of discrimination based on sex against female employees in violation of Title VII of the Civil Rights Act of 1964, 42 U.S.C. 2000 et seq., and the New York City Human Rights Law, Administrative Code of the City of New York 8-107 et seq. On appeal, plaintiff contended that the arbitration clause in her agreement must be invalidated because arbitration would preclude her from vindicating a statutory right. The court disagreed and held that the district court erred in denying the motion to compel arbitration where plaintiff had no substantive statutory right to pursue a pattern-or-practice claim. Accordingly, the court reversed the judgment of the district court. View "Parisi v. Goldman, Sachs & Co." on Justia Law