Sullivan Magee & Sullivan, Inc.Download PDFNational Labor Relations Board - Board DecisionsMay 10, 1977229 N.L.R.B. 543 (N.L.R.B. 1977) Copy Citation SULLIVAN MAGEE & SULLIVAN, INC. Sullivan Magee & Sullivan, Inc., Magee Blauvelt Corp., SMS Contractors, Patrick J. Magee, and John F. Magee and Local 964, United Brotherhood of Carpenters and Joiners of America. Cases 2- CA-14523 and 2-CA-14524 May 10, 1977 DECISION AND ORDER BY CHAIRMAN FANNING AND MEMBERS PENELLO AND WALTHER Upon charges and amended charges filed on September 30 and October 29, 1976, respectively, by Local 964, United Brotherhood of Carpenters and Joiners of America, herein called Local 964, and duly served on Magee Blauvelt Corp., herein called MB; SMS Contractors, herein called SMS; Patrick J. Magee and John F. Magee and on Sullivan Magee & Sullivan, Inc., herein called Sullivan, collectively referred to as Respondents, the General Counsel of the National Labor Relations Board, by the Regional Director for Region 2, issued an order consolidating cases, complaint and notice of hearing on November 18, 1976, against Respondents alleging that Respon- dents had engaged in and were engaging in unfair labor practices affecting commerce within the mean- ing of Section 8(a)(l) and (5) and Section 2(6) and (7) of the National Labor Relations Act, as amended. Copies of the charges, amended charges, consolidat- ed complaint and notice of hearing before an Administrative Law Judge were duly served on the parties to this proceeding. On January 17, 1977, counsel for the General Counsel filed a Motion for Summary Judgment and petition in support thereof, duly served on Respon- dents, based on Respondents' failure and refusal to file a timely answer to the consolidated complaint as required by Section 102.20 and 102.24 of the Board's Rules and Regulations, Series 8, as amended. Subsequently, on January 26, 1977, Respondents filed a motion to vacate default and permit filing of answer and petition in support thereof, attaching an answer. Counsel for the General Counsel and for Local 964 each filed an opposition to Respondents' motion on February 3, 1977. On February 4, 1977, the Board issued an order transferring the proceed- ings to the Board and a Notice To Show Cause. Respondents then filed a memorandum in response to Notice To Show Cause on February 18, 1977. Pursuant to the provisions of Section 3(b) of the National Labor Relations Act, as amended, the National Labor Relations Board has delegated its authority in this proceeding to a three-member panel. Upon the entire record in this proceeding, the Board makes the following: 229 NLRB No. 76 Ruling on the Motion for Summary Judgment Section 102.20 of the Board's Rules and Regula- tions, Series 8, as amended, provides as follows: The respondent shall, within 10 days from the service of the complaint, file an answer thereto. The respondent shall specifically admit, deny, or explain each of the facts alleged in the complaint, unless the respondent is without knowledge, in which case the respondent shall so state, such statement operating as a denial. All allegations in the complaint, if no answer is filed, or any allegation in the complaint not specifically denied or explained in an answer filed, unless the respondent shall state in the answer that he is without knowledge, shall be deemed to be admitted to be true and shall be so found by the Board, unless good cause to the contrary is shown. The order consolidating cases, complaint and notice of hearing issued on November 18, 1976, and duly served on Respondents, specifically stated that unless an answer was filed to the consolidated complaint within 10 days from service thereof"all of the allegations in the Consolidated Complaint shall be deemed to be admitted by it to be true and may be so found by the Board." Further, according to the petition in support of the Motion for Summary Judgment, counsel for the General Counsel sent on December 16, 1976, a registered letter which was duly served on Respondents, with a copy to their attorneys, informing them that an answer had not been received and, thereafter, on January 5, 1977, he telephoned Mr. Edward F. Breslin, Respondents' attorney, who stated that he had not filed an answer because he had not been paid by his clients. Subsequently, on January 12, 1977, the Acting Regional Director issued a certification which stated, inter alia, that Respondents had not filed an answer to the consolidated complaint and no extension of time to answer had been requested or granted. Thereafter, on January 26, 1977, Respondents moved to vacate their default and to permit the filing of the answer attached thereto which denied in part and admitted in part the allegations of the consoli- dated complaint and which alleged affirmative defenses. In their oppositions, counsel for the General Counsel and for Local 964 each alleged, in substance, that Respondents have shown no good cause for failure to file a timely answer to the consolidated complaint and disputed Respondents' affirmative defenses. In the response to Notice To Show Cause which contained a verified statement of facts supported by affidavits of John F. Magee and Patrick J. Magee, it 543 DECISIONS OF NATIONAL LABOR RELATIONS BOARD is stated that the Magees "understood that an Answer to the NLRB Complaints had been filed in November, 1976, on behalf of Sullivan, Magee, Sullivan, Inc., Magee Blauvelt Corp., SMS Contrac- tors, Patrick J. Magee and John F. Magee." The response did not offer any explanation for the failure to file a timely answer or to request an extension of time for filing an answer. The reason offered by Respondents' counsel for not filing an answer because he had not been paid and the Magees' understanding that an answer had in fact been filed in November 1976 do not constitute good cause under our rules for failure to timely file the answer.' As Respondents have not filed an answer within 10 days from the service of the consolidated complaint, and as no good cause to the contrary has been shown, in accordance with rules set forth above, the allegations of the consolidated complaint herein are deemed to be admitted to be true and are so found to be true. Accordingly, we shall grant the Motion for Summary Judgment. On the basis of the entire record, the Board makes the following: FINDINGS OF FACT I. THE BUSINESS OF RESPONDENTS The Respondent corporations, Sullivan, MB, and SMS, are, and have been, affiliated businesses with common officers, ownership, directors, and opera- tors, constituting a single-integrated business enter- prise, whose directors and operators formulate and administrate a common labor policy for the three named companies, affecting the employees of said companies. Respondents Patrick J. Magee and John F. Magee at all times material herein have been and are now officers, agents, and sole stockholders of Respondent Sullivan. During the past calendar year, a representative period, Sullivan, in the course and conduct of its business, purchased and caused to be transported and delivered to its construction jobsites lumber and other goods and materials valued in excess of $50,000, of which goods and materials valued in excess of $50,000 were transported and delivered to its construction jobsites in interstate commerce directly from States of the United States other than the State in which it is located. II. THE LABOR ORGANIZATION INVOLVED Local 964, United Brotherhood of Carpenters and Joiners of America, is a labor organization within the meaning of Section 2(5) of the Act. I Cleveland Lithographers and Photoengravers International Union, Local No. 24-P (Art Gravure Corporation of Ohio), 194 NLRB 636 (1971); Aaron II1. THE UNFAIR LABOR PRACTICES On May 5 and June 1, 1975, Sullivan and SMS executed agreements with Local 964 which are identical to those previously executed by Local 964 with a multiemployer association, and since May 5 and June 1, 1975, and continuing to date, Local 964 has been, and is now, the exclusive bargaining representative of the following appropriate unit of Respondents' employees: All carpenter construction employees of Respon- dents, exclusive of all other employees and all supervisors as defined in Section 2(11) of the Act. Since on or about August 1, 1976, Respondent has (a) failed and refused to honor and comply with the contractual provisions for (1) membership in Local 964 as a condition of employment by the employees covered by such agreement, (2) payment by Respon- dents of certain wage scales and payments in the form of contributions for contractual pension, welfare, vacation, and supplementary wage benefit funds on behalf of said employees, and (3) placement of a job steward on construction jobs, and (b) has failed and refused to recognize and bargain with Local 964 as the collective-bargaining representative of the employees covered by said agreement. Accordingly, we find that by the aforesaid conduct Respondents have, since August 1, 1976, and at all times thereafter, refused to bargain collectively with Local 964 as the exclusive representative of the employees in the appropriate unit, and, by such refusal, Respondents have engaged in and are engaging in unfair labor practices within the meaning of Section 8(a)(5) and (1) of the Act. IV. THE EFFECT OF THE UNFAIR LABOR PRACTICES UPON COMMERCE The activities of Respondents set forth in section III, above, occurring in connection with their operations described in section I, above, have a close, intimate, and substantial relationship to trade, traffic, and commerce among the several States and tend to lead to labor disputes burdening and obstructing commerce and the free flow of com- merce. V. THE REMEDY Having found that Respondents have engaged in and are engaging in unfair labor practices within the meaning of Section 8(a)(5) and (1) of the Act, we shall order that they cease and desist therefrom and Convalescent Home, 194 NLRB 750 (1971); and Ancorp National Senrvices, Inc., Casco Division, 202 NLRB 513 (1973). 544 SULLIVAN MAGEE & SULLIVAN, INC. take certain affirmative action designed to effectuate the policies of the Act. To remedy Respondents' violations of Section 8(a)(5) and (1) of the Act, we shall order, in addition to the specific cease-and-desist provisions, that they honor and comply with the provisions of the agreement with Local 964 and make back payments to employees as to certain wage scales and back payments due to the contractual pension, welfare, vacation, and supplementary wage benefits funds, as required by said agreement. The Board, upon the basis of the foregoing facts and the entire record, makes the following: CONCLUSIONS OF LAW 1. Respondents, Sullivan Magee & Sullivan, Inc., Magee Blauvelt Corp., SMS Contractors, Patrick J. Magee, and John F. Magee, constitute a single employer engaged in commerce within the meaning of Section 2(6) and (7) of the Act. 2. Local 964, United Brotherhood of Carpenters and Joiners of America, is a labor organization within the meaning of Section 2(5) of the Act. 3. All carpenter construction employees of Res- pondents, exclusive of all other employees and all supervisors as defined in Section 2(11) of the Act, constitute a unit appropriate for the purposes of collective bargaining within the meaning of Section 9(b) of the Act. 4. Since May 5 and June 1, 1975, and continuing to date, Local 964 has been, and is now, the exclusive bargaining representative of all employees in the aforesaid appropriate unit for the purposes of collective bargaining within the meaning of Section 9(a) of the Act. 5. By refusing since August 1, 1976, and at all times thereafter, to recognize and bargain collectively with Local 964 as the exclusive representative of the employees in the appropriate unit, and by refusing to honor and comply with the provisions of their contract with Local 964, Respondents have engaged in and are engaging in unfair labor practices within the meaning of Section 8(a)(5) and (1) of the Act. 6. By the acts described in section III, Respon- dents have refused to recognize and bargain with Local 964 and have interfered with, restrained, and coerced their employees in the exercise of rights guaranteed in Section 7 of the Act and thereby have engaged in and are engaging in unfair labor practices within the meaning of Section 8(a)( ) of the Act. 7. The aforesaid unfair labor practices are unfair labor practices affecting commerce within the mean- ing of Section 2(6) and (7) of the Act. ORDER Pursuant to Section 10(c) of the National Labor Relations Act, as amended, the National Labor Relations Board hereby orders that the Respondents, Sullivan Magee & Sullivan, Inc., Magee Blauvelt Corp., SMS Contractors, Patrick J. Magee, and John F. Magee, Nanuet and Stony Point, New York, their officers, agents, successors, and assigns, shall: 1. Cease and desist from: (a) Refusing to recognize and bargain collectively concerning rates of pay, wages, hours, and other terms and conditions of employment with Local 964, United Brotherhood of Carpenters and Joiners of America, as the exclusive bargaining representative of its employees in the following appropriate unit: All carpenter construction employees of Respon- dents, exclusive of all other employees and all supervisors as defined in Section 2(1 1) of the Act. (b) Refusing to honor and comply with the terms of the collective-bargaining agreement executed on or about May 5 and June 1, 1975, with Local 964, United Brotherhood of Carpenters and Joiners of America, including the placement of a job steward on construction sites, the requirement of membership in the aforesaid labor organization as a condition of employment by the employees covered by the agreement, and the payment of certain wage scales and payments in the form of contributions for contractual pension, welfare, vacation, and supple- mentary wage benefit funds on behalf of such employees, as required by said agreement. (c) In any like or related manner interfering with, restraining, or coercing employees in the exercise of the rights guaranteed them in Section 7 of the Act. 2. Take the following affirmative action which the Board finds will effectuate the policies of the Act: (a) Upon request, recognize and bargain with the above-named labor organization as the exclusive bargaining representative of all employees in the aforesaid appropriate unit with respect to rates of pay, wages, hours, and other terms and conditions of employment. (b) Honor and comply with all terms of the collective-bargaining agreement referred to in para- graph l(b), above, including the placement of a job steward on construction sites and the requirement of membership in the aforesaid labor organization as a condition of employment by employees covered by the agreement, and make all back payments to employees as to wage scales, and all back payments in the form of contributions for contractual pension, welfare, vacation, and supplementary wage benefit funds on behalf of such employees, as required by said agreement. 545 DECISIONS OF NATIONAL LABOR RELATIONS BOARD (c) Post at its place of business at 20 Old Turnpike Road, Nanuet, New York, and Gatehill Road, Stony Point, New York, copies of the attached notice marked "Appendix." 2 Copies of said notice, on forms provided by the Regional Director for Region 2, after being duly signed by Respondents' represen- tative, shall be posted by Respondents immediately upon receipt thereof, and be maintained by them for 60 consecutive days thereafter, in conspicuous places, including all places where notices to employ- ees are customarily posted. Reasonable steps shall be taken by Respondents to insure that said notices are not altered, defaced, or covered by any other material. (d) Notify the Regional Director for Region 2, in writing, within 20 days from the date of this Order, what steps the Respondents have taken to comply herewith. 2 In the event that this Order is enforced by a Judgment of a United States Court of Appeals, the words in the notice reading "Posted by Order of the National Labor Relations Board" shall read "Posted Pursuant to a Judgment of the United States Court of Appeals Enforcing an Order of the National Labor Relations Board." APPENDIX NOTICE To EMPLOYEES POSTED BY ORDER OF THE NATIONAL LABOR RELATIONS BOARD An Agency of the United States Government WE WILL NOT refuse to recognize and bargain collectively concerning rates of pay, wages, hours, and other terms and conditions of employment with Local 964, United Brotherhood of Carpen- ters and Joiners of America, as the exclusive bargaining representative of the employees in the bargaining unit described below. WE WILL NOT refuse to honor and comply with the terms of the collective-bargaining agreement executed on or about May 5 and June 1, 1975, with the above-named Union, including the placement of a job steward on construction sites, the requirement of membership in the aforesaid labor organization as a condition of employment by the employees covered by the agreement, and the payment of certain wage scales and payments in the form of contributions for contractual pension, welfare, vacation and supplementary wage benefit funds on behalf of such employees, as required by said agreement. WE WILL NOT in any like or related manner interfere with, restrain, or coerce our employees in the exercise of the rights guaranteed them by Section 7 of the Act. WE WILL, upon request, recognize and bargain with the above-named labor organization as the exclusive bargaining representative of all employ- ees in the aforesaid appropriate unit with respect to rates of pay, wages, hours, and other terms and conditions of employment. The bargaining unit is: All carpenter construction employees of Respondents, exclusive of all other employ- ees and all supervisors as defined in Section 2(11) of the Act. WE WILL honor and comply with all terms of the collective-bargaining agreement referred to above, including the placement of a job steward on construction sites and the requirement of membership in the aforesaid labor organization as a condition of employment by employees covered by the agreement, and make all back payments to employees as to wage scales, and all back payments in the form of contributions for contractual pension, welfare, vacation, and sup- plementary wage benefit funds on behalf of such employees, as required by said agreement. SULLIVAN MAGEE & SULLIVAN, INC., MAGEE BLAUVELT CORP., SMS CONTRACTORS, PATRICK J. MAGEE, AND JOHN F. MAGEE 546 Copy with citationCopy as parenthetical citation