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Anchorage Police Department Employees Ass'n v. Feichtinger
994 P.2d 376
Alaska
1999
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*1 аssumption of for malicious the mistaken that the burden required a element cious is higher for than proof protective orders was prosecution claim.13 proof proceedings. for the burden of divorce complaint allege fails to a Caudle’s However, statute, by protective DV orders of claim. The tort cognizable process abuse restraining require civil orders process of of two elements: abuse of consists they preponderance of evidence before can act in purpose and a “willful ulterior be issued.18 proper regular in the process use of superior Because we cannot know the proceeding.”14 The of the second conduct finding court’s of bad faith and vexatiousness act requires overt done element “some understanding absent the same initiating of the suit.”15 Cau- addition to differing proof, of the burdens of vacate wе complaint alleges Mendel filed dle’s attorney’s award of fees and remand purposes of interim divorce motion superior back reconsid- issue court for family and evicting Caudle from the home attorney’s eration of the fees. attorney’s fa collecting fees from Debra’s of do not that either these ther. We believe V. CONCLUSION required by illegitimate in the sense aims is superior dismiss- We AFFIRM court’s process of tort. Eviction of an the abuse complaint. al of Caudle’s REMAND the objective acceptable is spouse abusive attorney’s findings. award fees further proceeding. an interim motion in a divorce obtaining payment, with the consent of And client, parent client’s ser rendered or related to the action

vices process.16

question not an invalid use for NIED also Caudle’s claim DEPARTMENT ANCHORAGE POLICE a NIED flawed. In order maintain claim ASSOCIATION, EMPLOYEES duty arising there must be breach of a out Petitioner, fiduciary relat pre-existing contractual or v. allege ionship.17 Caudle did not such a rela Eric “Frank” FEICHTINGER and Jac- tionship with Mendel. individually queline Feichtinger, A. parents as natural friends of next Attorney’s The Award Full Fees C. K.F., minors, Respondents. M.F. and Findings. Requires Additional No. S-8069. court awarded Mendel percent attorney’s one hundred her actual Supreme Court Alaska. fees, finding engaged Caudle “unrea Dec. sonable, bad faith vexatious conduct” in bringing “legally a case that was deficient had no chance of success.” legal deficiency finding

court based its Mackie, State, Kollodge 13. See 757 P.2d 17. See Chizmar (Alaska 1988). (Alaska 1995) (holding right plaintiffs that a neg recover mere emotional caused Daniels, (quoting 14. Id. Jenkins v. P.2d ligence to those defen is limited cases where the 1988)). (Alaska duty). plaintiff preexisting dant owes the 15. Id. 18.66.100(b) ("If 18. See AS finds the court Riedel, Docter 96 Wis. preponderance respondent of evidence that the (1897) (holding that the N.W. test is involving has a crime vio- committed domestic process been used accom- "whether petitioner, regardless lence wheth- end, compel plish some unlawful or to the defen- appears hearing, respondent er at the tiring do dant to some collateral which he could relief....”). order ... do”) legally compelled (emphasis not be add- ed). *2 charges against

criminal Based on him. Feichtinger’s into al- investigation internal conduct, department ter- leged criminal minated him.

Feichtinger had been of the member Anchorage Department Employees’ Police (the union) joining the de- Association since agree- partment. bargaining The collective (CBA) Municipality the ment between Anchorage permitted mu- and the union the just nicipality discharge an employee to for Feichtinger grievance cause. filed within Pettersen, Long D. Dil- and Kristen Mauri alleged a month of his termination. He that P.C., Findley, Anchorage, for Petition- lon & department him the had terminated without er. cause, just sought and and reinstatement Boyko Edgar Boyko, Edgar Paul pay. debating Paul and extensively back After the Associates, Thompson, merits, Law grievance’s and S. Brent Of- the union elected not to Thompson, Anchorage, for accept fice S. Brent grievance thfe for to referral arbitra- Respondents. Feichtinger tion. asked union to recon- the decision, sider its to do so. declined Justice, MATTHEWS, Chief Before pro- The CBA authorized an FABE, EASTAUGH, COMPTON, ceed without union arbitration BRYNER, Justices. griev- to accept tion the union refused the Feichtinger go ance. chose to to arbitration. OPINION agreed department He and the arbi- the that tration would await the of his resolution EASTAUGH, Justice. charges. criminal I. INTRODUCTION juryA acquitted Feichtinger on all crimi- municipal employee A sued charges January Following nal fair repre for of the Feichtinger’s acquittal, the union’s executive represent him sentation because refused board reconsider decision met to its earlier unsuccessfully he an arbitration which grievance. regarding Feichtinger’s It decid- challenged his termination. The change ed not to its decision. summary the for court denied union’s motion petitions began. judgment, and the union now Arbitration then At the start of hearing, Feichtinger hold if a of that denial. We the arbitration asked review representa proceedings the postponed of its be “until union’s breach seriously integrity bring legal undermines the of the such time as he would able process, the decision action finan- [union] arbitral for ... attorney.” conclude cial to hire an lose its effect. We resources genuine Feichtinger’s request, exists issue of material fact as to arbitrator denied not- seriously ing that whether union breach under arbitration is less formal than integrity рrocess proceeding non-lawyers court and that often mined case. affirm the well in arbitoation. We therefore denial themselves summary Feichtinger judgment the union’s motion. The arbitrator also told that he stay the hearing, and observe but that hearing partic- he or II. FACTS AND once left the declined to PROCEEDINGS ipate participate he could not further. petition This arises out of the review Feichtinger hearing did not re- left Feichtinger’s termination of “Frank” Eric turn. employment Anchorage with De- Police partment. department hearing, At the arbitrator In October 1988 the end of Feichtinger Feichtinger brought accepted pro se brief arrested and the state containing argument rulings and some motions. on the summary other defendants’ Nonetheless, the arbitrator determined that proposed motions. The order ex- department Feichtinger had terminated plained that, reviewing cases, whilе federal just cause. “[t]he became aware of authorities holding that a breach of the Union’s Although provided CBA the deci- representation may trump the effect res “binding sion of the arbitrator was to be judicata estoppel and collateral pre- thereto,” upon parties all sued cluding relitigation, respect with to both the union, department, municipality, employer.” Union The court invited state, Conant, arbitrator Eaton and four parties supplemental to submit briefs and (Kevin O’Leary, Joseph other individuals proposed orders before it entered a final Austin, Walker, Dwayne Thomas Following briefing, order. McConnell). He asserted several causes of *4 denied the union’s second motion for sum- action; the claims relevant to the case before mary judgment and reaffirmed its earlier wrongful discharge against us are the claim granting summary orders judgment municipality and the brеach of the other defendants. representation against claim the un- ion. petition The union filed a in this court seeking review of the denial of its second superior granted summary

The judg summary judgment motion. At the same ment to the arbitrator and dismissed all time, Feichtinger appealed grant of sum- against grounds claims him on of arbitral mary judgment to the non-union defendants. immunity. We affirmed decision in granted petition the union’s for review to Feichtinger v. Conant.1 Feichtinger consider whether should be “col- municipality, department, The laterally estopped relitigating O’Leary, Austin, and Walker also successful- wrongful termination claim the Un- ly summary judgment, relying moved ion,” so, and if summary whether “denial of judicata estoppel. res and collateral The su- judgment improper.” for the Union [was] perior separately granted summary request We denied the union’s that we decide judgment to the state and McConnell. Feichtinger whеther had raised “a material union, however, was unsuccessful in support issue of fact in of his claim that the attempts summary judgment. its to obtain Union breached its summary judgment Its initial motion for ar- tion.” gued that Feichtinger no owed granted petition, After we the union’s that, representation, if and even him owed Feichtinger and the non-union defendants duty, it had satisfied that and no agreed Feichtinger’s appeal to dismiss with genuine issue of material fact existed. The prejudice. opinion This therefore concerns motion, ap- court denied the union’s petition the union’s for review. parently finding genuine issues of material fact about whether breached its III. DISCUSSION duty. A. Standard Review summary

The union’s second motion for judgment relied on the Summary judgment proper effect of decision, argued pleadings, depositions, “the answers to inter file, rogatories, not recover from the union together and admissions on affidavits, hе department unless showed that with the show that there is no wrongfully discharged genuine him. The issue as to material fact and that proposed denying court issued a any party order is entitled to as a matter summary judg- grant second motion for of law.”2 We review the or denial of sponte reversing previous summary judgment ment and sua de novo.3 We resolve (Alaska 1995). Langdon Champion, 1. 893 P.2d 3.See (Alaska 1988). 56(c). 2. Alaska R. Civ. P. summary to an by requirements, is entitled

questions law raised remedy employer9 by adopting appropriate “the rule of law judgment motion precedent, union.10 light and the persuasive that is most reason, policy.” Freight11 illus- v. Anchor Motor Hines exception general rule trates Decision B. Can Arbitration When finality. employees in had Hines been ? Deprived Its Preclusive Be Effect discharged seeking “reimbursement bargaining general- agreements Collective expenses in the actual motel excess оf ly procedures for settlement of contain charges Their union sustained them.”12 mutual and arbi- disputes through discussion arbitration, grievance their carried machinery grievance under “[T]he tration. employer’s in the arbitration committee ruled agreement bargaining is at collective indi- evidence later surfaced favor.13 When system very self- of industrial heart motel in fact cating that the clerk was disputes government. processing ... The culprit, employees their sued actually grievance machinery through asserting their union.14 addition to meaning and content vehicle which discharge wrongful against their em- claim agree- given bargaining the collective their un- ployer, the claimed that result, gen- ment.” As a federal courts no ion “had made effort to ascertain the *5 dispute to the erally give effect resolution charges, of the that the Union truth and had procedures employer tо which union and duty representation by of its fair violated judicial agreed; review of arbitration have arbitrarily depriving in bad [them] and faith exceedingly Employees narrow.6 awards employment permitting their of their must exhaust their contractual remedies discharge proof.”15 without sufficient they agree- are bound the results of the Supreme Court concluded that dispute procedures.7 ment’s resolution prevail hybrid in their suit if Nonetheless, discharge they proved courts have and if federal erroneous exception general they proved of of created an to the rule union’s breach relitigation finality, allowing of deci the arbitration The Court those tainted decision.16 (1) reasoned, blessing employee proves: “Congress put sions when the that its (2) erroneous; dispute arrangements pro- discharge private was settlement agreements, representa its fair in collective union’s breach of of vided but sure, seriously proc anticipated, tion undermined the arbitral we that the contractual employee machinery operate mini- ess.8 If the these two within some satisfies Ha, 1281, (Alaska 4. of v. 1284 n. 6 9. A union's breach Guin 1979). employ- employee does shield the liability. charges Having er from initiated the 5. Steelworkers v. Warrior & United Am. employee having wrongfully against ter- Gulf Co., 574, 581, 1347, Navigation ‍‌‌​​​​‌‌‌‌‌‌‌​‌​​​​‌​‌​​‌‌‌​​​​​​​‌​‌‌‌‌​‌‌‌​​‌​‍U.S. 363 80 S.Ct. employee, precipitated employer minated the (1960). 4 L.Ed.2d 1409 dispute through its own acts. Paperworkers 6. United Int’l Union Hines, 568, U.S. See 424 at 96 S.Ct. 1048. 10. 29, 364, Inc., 36-37, 484 U.S. S.Ct. 98 Misco 108 (1987) (reviewing L.Ed.2d 286 arbitral reinstate- 554, 1048, 424 U.S. 96 S.Ct. 47 L.Ed.2d 11. 231 marijuana smoking accused ment (1976). work); Enterprise at Am. v. United Steelworkersof 596, 593, Corp., Wheel & Car 363 80 S.Ct. U.S. Id. at 96 S.Ct. 1048. (1960) (reviewing 4 arbitral L.Ed.2d 1424 strikers). sympathy reinstatement 557-58, id. at 96 13. See S.Ct. 1048. See DelCostello International Bhd. Team- sters, 163-64, 462 U.S. S.Ct. 558, 96 14. See id. at S.Ct. 1048. (1983). L.Ed.2d Id. Inc., Freight, See Hines v. Anchor Motor 554, 570-72, U.S. (1976). 47 L.Ed.2d 231 Hines, 424 U.S. S.Ct. 1048. 16. See at rule, integrity.”17 applying If the recognize mum levels of we requirements may [] caused а “fundamental mal- outset its two misconduct Sometimes, arbitration, overlap at times. function” the arbitration al ways, stand, seriously union’s breach so in that un decision need not “for event integrity dermine pro injustice grossest error and sort would cess that an erroneous decision is made.24 multiply.”19 Moreover, employees are not entitled to relit- necessarily govern Federal law does not igate merely they their terminations because Management this case. The Labor Relation newly offer exculpatory discovered evid (LMRA), governs disputes Act which involv- ence.25 An erroneous decision is not neces interpretation bargaining of collective sarily proof that the union breached its agreements,20 expressly exempts state and seriously or that the breach undermined the municipal government employers from cover- process.26 age.21 But because law in this federal area is argues The union well-developed applied and we have federal cannot show that the arbitration decision was law cases which the state was the erroneous because he dismissed his case employer,22we choose look federal law Therefore, employer. the union case, subject exception in this we summary judg contends that it is entitled to applied Casey City Fairbanks.23 We ment as a matter of law. choose look to federal authorities because they appropriately we conclude that disagree. The federal courts do not resolved conflict inherent here. That require joined in a conflict arises out of the tension between the lawsuit a union for a breach of the finality plight desire for arbitral and the of duty representation.27 “The union members whose unions have under- chooses, may, if he sue one defendant and integrity process. mined the of the arbitral other; prove not the but the case he must *6 view, In existing our Alaska law does not one, the same whether he sues the other or preclude today’s our choice. And case deals If Feichtinger successfully both.”28 proves merely with claim that a union was allegations against union, his the absence negligent in representing employee, of his from his suit will affect altogether that a union failed ability to his to flowing recover from him. alleged wrongful discharge.29 The union 571, suing 17. Id. at employer wrongful discharge 96 S.Ct. 1048. fore when prohibits employee initiating CBA arbitra- 569, 18. Id. at 96 S.Ct. 1048. involvement). proceedings without union 571, 19. Id. at 96 S.Ct. 1048. Municipality Anchorage, 24. See Wilson v. 977 of 713, (Alaska 1999) (stating P.2d 719 that "[a] 174, Co., 20. See Local Teamsters v. Lucas Flour negligence union's mere does not rise to the level 95, 102, 571, U.S. 82 S.Ct. 7 L.Ed.2d 593 representation”). of a breach of the of fair (1962); Textile Workers Union Am. v. Lincoln of Ala., 448, 456-57, 912, Mills 353 U.S. 77 S.Ct. of Hines, 571, 25. See 424 U.S. at 96 S.Ct. 1048. (1957). 1 L.Ed.2d 972 152(2) ("The § ‘employer’ 21. See 29 U.S.C. term 171, 195, Sipes, 26. See Vaca v. 386 U.S. 87 S.Ct. political ... shall not include ... State or (1967) (noting 17 L.Ed.2d 842 that “breach ....”); Casey City subdivision thereof see also representation is not estab- Fairbanks, (Alaska 1983) merely by proof underlying griev- of lished that the (concluding city employee’s against city suit meritorious”). ance was law”). scope “falls outside the of federal DelCostello, 27. See 462 U.S. at State, e.g., Kollodge P.2d (Alaska 1988) (discussing dismissal of Alas- Department employee). ka of Labor Id. (Alaska 1983) (declining 23. 670 P.2d O’Mara, 25, 28-29, adopt requiring employee to federal rule to show See 397 U.S. Czosek (1970) representation (holding breach of union’s be- S.Ct. 25 L.Ed.2d 21 investigate thoroughly.33 summary judgment their case The em- is not entitled to that, investiga- minimal ployees alleged with this basis. matter of law on tion, the union would have uncovered evi- Breached Its Assuming C. the Union suggesting motel clerk dence Representation, a Duty fault; Fair Genu- if the had arbitrator considered of Fact Re- evidence, Material Exists might ine Issue arbitration result well Seriously garding the Breach Whether have been different.34 Integrity the Arbi- Undermined the case, argues that its union tration. represent Feichtinger failure to did not affect argues also that it deserves The union outcome of the arbitration because Feichtinger summary judgment because permitted him to arbitrate alone or CBA any showing that “failed make the breach to First, attorney. disagree. with his own seriously process, undermined arbitral suggests that if argument the union’s a CBA assuming even the Union breached go allows to arbitration without Feichtinger dis representation.”30 representation, union a union’s decision not argument. putes the union’s Before address to arbitrate never undermine the arbi- issue, we of this note that ‍‌‌​​​​‌‌‌‌‌‌‌​‌​​​​‌​‌​​‌‌‌​​​​​​​‌​‌‌‌‌​‌‌‌​​‌​‍we merits process seriously enough tral to sustain a following the lead of fedеral courts hybrid suit. to hold We decline permitting of this issue on sum resolution right grieve contractual with mary judgment.31 establishes, necessarily out union assistance law, matter as a that the union’s breach a union’s motion for To withstand process. did not undermine the arbitral question summary judgment on the wheth Second, seriously pro- undermined the to establish that er union’s breach undermined, integrity process, seriously the arbitral cess was rely only fact that present must evidence of the nature of does on the it was some argues He also how the arbitration outcome difficult arbitrate alone. breach and that in this might have been different case the lack of absent good special involved provides example tion was fatal. His case breach.32 Hines imbalance, employees, publicity, resource claim. who successful facts — overstating expenses were and access information —that made assis- accused of motel, they they tance of and the union incurred at a insisted that counsel crucial to preserving integrity process. their were innocent and that union did not *7 employees may duty support jury that sue union for evidence verdict breach of breach). representation joining proceeding by employer, fair without was tainted damages flowing that union is liable conduct). from its own Co., See, e.g., Taylor v. Ford Motor 866 F.2d (6th Cir.1989) (holding 898-99 that union’s seriously pro did undermine genuine breach arbitral that a court found issue plaintiffs who the summary cess because "the witnesses precluded of material fact on contend should have testified not have question duty whether the union its breached case”); helped their Wood v. International Bhd. representation; we denied the union’s Teamsters, (6th Cir.1986) Therefore, 807 F.2d petition we for review on that issue. (“Plaintiffs’ attorneys independent insured thаt purposes assume for of discussion that the union plaintiffs’ fairly represented. Any interests were duty. breached its representa breach of fair the Union tion therefore could not have tainted decision Airlines, Inc., Del Casal Eastern Vance, arbitrator.”); F.Supp. at 1137- (5th Cir.1981) (affirming 634 F.2d 297-300 summaiy judgment (granting the union be summary judgment grant district court to em argument employee "present[ed] cause no evi or ployer employee's wrongful discharge claim on indicating alleged dence” how breaches would repre because union’s breach of its of fair findings underlying have on affected arbitrator's seriously integrity sentation did not undermine discharge). Lobdell-Emery Mfg. process); Vance v. arbitral Co., (S.D.Ind.1996) F.Supp. 1137-39 Hines, at 33. See 424 U.S. summary judgment); (granting union Hardee cf. Serv., Inc., v. North Carolina Allstate 537 F.2d Cir.1976) (4th (finding 34. See id. insufficient “political Feichtinger alleges Damages Against D. Are that he faced How the Union animosity” during the arbitra- personal and to Be Measured? supporting In an his process. affidavit Assuming req- makes summary judgment, sug- he opposition showing deprive uisite on remand so as to that he at gested stood an immediate disad- the arbitration decision of its ef-

vantage because his criminal ease had been fect, damages. he will be entitled to seek publicized widely and because rumors about briefly possi- given We address this issue rampant. Feichtinger him stated that were remand, bility ripe it will become on financially he unable to retain counsel to was given implicit argument the union’s that the give him substantive the arbi- assistance Feichtinger’s or dismissal settlement of He also claimed that his lack of tration. legal training employer prevents left him at a claims his him severe disadvan- arbitration, tage during he un- showing damages because from what union by the mu- familiar with the case law cited owe. Finally, nicipality. he without affied that hybrid wrongful In suits for dis- or union assistance he was unable to counsel charge of a union’s

produce necessary the evidence to counter representation, apportion the federal courts municipality’s case. damages between the and union negative surrounding publicity Given according damages each caused case, representation might his defendant.35 Federal control law does not credibility been critical to lend to the sub- urges But this case.36 the union us look to grievance. Although Feichting-' of his stance damages. assessing the federal standard of arbitrator, proa se er filed brief with the Feichtinger, hand, argues the other questionable present whether he was able malpractice attorney we should follow the fully position actually participat- without standard, damages. model for Under this hearing. apparently thought in the He it, Feichtinger desсribes a union that breach- hearing would “extend another representation es its becomes week, respond and he had wanted to suffers, liable for all Municipality’s during case hear- that second including flowing those from the ing week.” discharge. wrongful Viewing Feichtinger’s the evidence in favor permissible him giving the benefit of reject attorney malpractice inferences, he has least raised factual damage rep model assessment unfair counsel, dispute about whether his lack of hybrid cases and resentation hold that resources, time, legal expertise kept him will follow model of suits we the federal presenting his case and undermined apportioning damages in Vaca v. as set out process. subsequent Sipes37 and federal cases. reasons, For these we conclude there Vaca, Supreme squarely re- Court regarding genuine is a issue of material fact *8 jеcted imposition joint of and several any duty breach of of whether the union’s liability a of upon union for its breach its seriously representation fair undermined the Rather, duty representation.38 it process. Summary of fair re- on this appropriate. quired apportion damages to between issue was courts Vaca, 197, Tenn., 386 at 903. 881 F.2d 35. See U.S. 87 S.Ct. Allied Plant Maintenance Co. of 291, (6th Cir.1989) joint (applying of 298-99 rule supra note 36. See 21. liability indicated and several because evidence firing employer and union colluded to effect 171, 903, U.S. 87 L.Ed.2d 842 37. 386 S.Ct. 17 receiving employee prevented of him from (1967). arbitration); Hawley, impartial 807 Baskin v. 1120, (2d Cir.1986) joint 196-97, (applying F.2d 1132-33 38. id. at 87 But id. at See S.Ct. 903. see 18, liability joint participated (observing where union 197 n. 87 S.Ct. 903 several liability may appropriate wrong when underlying employer). several "the of affirmatively employer to union caused the contract”); alleged commit the breach of Allеn v. 384 directly appeal presenting an union based on fault.39 The issue and await employer and

an to explained that award us. Supreme Court damages

against a union that ineludes attrib- employer impose too only to would utable E. the Arbitration Has Even Award If union, hardship even great a on May Effect, Feichtinger Preclusive right of indemnification union had Damages Recover Union. Although employer employer.40 only the discharge if a is union contends that responsible back-pay following for just or if merits the dis- for cause subsequent wrongful discharge, federal deci- reexamined, charge cannot be union cannot it clear that the union is sions have made duty repre- be liable for breach of the fair damages, responsible increases employee sentation because the has not been by the including wages, lost caused injured. correctly union that some *9 (D.Kan. 'g F.Supp. 869-70 720 aff 1989).

48. See id. at 297. (1st Sperling,

45. 9 F.3d 4 DiPinto Wood, 502; 49. See id. at 300. 1993); Cir. F.2d Jordan Auth., Washington Metro. Area Transit A.2d (D.C.App.1988). 50. See id. Applying may here this rule result in “[w]hile [the union] ion.51 It stated that has de damages Feichtinger minimus authority under what conditions because did to decide attorney grievant, to a retain an him in attorney supplied an will Nonetheless, Feichtinger the arbitration. is not a grievant fact that the member of the opportunity should an to seek recovera- play part in that decision.”52 union can no damages. ble reasoned that even The Fifth Circuit further if the was untainted arbitration award (because hired pilot his own coun IV. CONCLUSION

sel) in pilot still loss the form of “suffered summary The judg- denial of the paid privately fees to be to his retained attorn ment motion AFFIRMED. We RE- ey.”53 jury’s It affirmed the therefore proceedings MAND for further consistent (the $35,000 damages pilot’s award at opinion. with this fees) breach, torney’s despite for the union’s decision the fact that the arbitration was not MATTHEWS, Justice, dissenting. Chief relitigated or set aside.54 support for this view Additional is found I. concurring opinion in

Justice Stevens’s Unit May an loses an who arbitration Service, Mitchell,55 ed Parcel Inc. where against employer his and then sues em- “closely explained he that the two claims are ployer claiming and his union union breach of “conceptually related” distinct”:56 duty re-try against the issue underlying discharge The fact already which has been arbitrated? The ma- not have violated collective-bar jority “yes” permit- answers because this is necessarily gaining agreement does not My ab ted law. under federal labor answer is breach, liability law, solve for its contrary the union of “no” because this is Alaska although may the size adversary system, limit of the em inconsistent with the one- Thus, sided, ployee’s recovery against needlessly the union. interferes with arbitral finality. considering employee’s while a against

claim a union will evaluate the validity employer’s underlying con II. duct, that is not central evaluation argued In the court the union duty-of-fair-representation resolution of the had because the arbitrator found that im.[57] cla municipality just Feichting- cause to had fire to follow those We choose federal er, the union not have breached that, courts that reason even the arbitra representation. The union con- employee’s upholding tion decision dis tended that it was therefore entitled to sum- effect, charge preclusive does not nec mary judgment. proper- essarily suit employee’s bar the ly rejected noting argument, union. A union is liable union’s breach of its damages flowing its breach of might have caused to lose cases, therefore, representation. and, In most such arbitration arbitration will be limited to decision should not have effect on attorney’s expended Feichtinger’s the union. fees and costs claim process. trial court observed: See Id. at 55. 451 U.S. S.Ct. 67 L.Ed.2d 732 301. (1981). Casal, at 301. Del 634 F.2d (Stevens, J., 72-73, Id. at S.Ct. 1559 con- curring dissenting part). in the 53. Id. 1559; S.Ct. see also id. at Id. at 73 n. 72-74, 54. See id. at 101 S.Ct. 1559. 301-02. *10 theory employer get is an does ‍‌‌​​​​‌‌‌‌‌‌‌​‌​​​​‌​‌​​‌‌‌​​​​​​​‌​‌‌‌‌​‌‌‌​​‌​‍not the benefit of adopted

If the of law Union’s finality union only were successful at ar- where a claim of employees who made, duty repre- fair pursue express of I feel bitration could is constrained to in my This result “the disagreement sentation claim. the merits. dog” effectively the neu- wagging

tail representation. duty the fair

ter III. Today’s aspect of the opinion affirms this Judge begin I with Link’s well-reasoned it To the extent that trial court’s decision. Judge Link decision. wrote: so, I it. agree with does pivotal duty case in federal opinion today’s not But real effect is the representation v. Sipes, is Vaca cases holding. unexceptional in found this 903, 17 U.S. L.Ed.2d 842 goes employ- rule that when an opinion on to (1967), the in which court held that a union that the Feichtinger claims union ee such represent has to the interests of the representation of fair has breached its members, including op- all the those who arbitration, only respect with does to pose membership. A breach of this preclusive the arbitration decision not have duty occurs whenever: union, respect with it also effect is union’s conduct toward member [the] binding respect to with the claim bargaining collective arbi- the unit is Moreover, in against employer. its dis- the trary, discriminatory, or in faith. bad concerning apportionment of dam- cussion Id. at 190 S.Ct. [101 1559].2 today’s employee that an ages, opinion states at can never be who has lost majority representation In the of fair simply proceeding against made whole cases, alleged has based misconduct been upon allegations of racial discrimination. rulings. disagree I with Their In the union.1 these 1900’s, early discrimination within the unions finality will effect be to eliminate origin upon quite based race national were employers arbitration decisions favorable fairly requiring rule common. The unions to relitigate the and create incentives to merits originally all members was established problem. to combat this This that an of such decisions. means em- arbitration, ployer, having again at must won In the Court Vaca held where defend the claim when the same adequately represent union has failed badly charges repre- grievances in their employ- members with union. sented er, employer cannot to hide be allowed behind the flawed In arbitration decision. Judge Link decided that the arbitration essence, in cases in which unions violate decision in this case would have representation, their duties the arbi- respect municipality. effect with It is void, tration decisions are rendered aspect with this of the decision below which subject to become collateral attack. See today’s opinion Feichtinger’s takes issue. As also, Fairbanks, City Casey v. P.2d appeal dismissing from the final 1983). (Alaska municipality has his claims now prejudice by stipulation, been with cases dismissed cites these question proposition judicata of whether union breach should that res and collateral vacating in estoppel result arbitration award cannot bar his civil suit longer squarely remaining employer favor of an is no defendants because he alleged repre- us. than on this before Rather rule issue a violation However, discretionary proceeding, part. would be sentation on Union’s better, me, distinguished Feichtinger’s seems until it case wait comes Casey way. before a case in which inter- Vaca and a fundamental presented Casey an employer ests of Vaca unions were сonsid- bringing grievances against eration. But since the has ruled conduits "[0]nly responsible for back- pay following wrongful discharge....” Op. *11 employers. In recognition this case inconsistent with Alaska’s aof bring grievance against scope employee could and did rights. broader arbitration, through Department albeit case, process, applies Due as it to this does without assistance from the Union. require provide aggrieved that the Union employers In in those cases which the employee attorney. require with an Nor does it that the just arbitrator reach correct and have not 'been insulated from collateral Rather, process requires, result. all due is that attack, accepted the unions have either employee given the terminated be notice and an responsibility bringing grievances for opportunity present to his case in front of assistance, provided inadequate party. Feichtinger neutral provided third opportunities these in the context of the arbitra or bring the unions have refused to hearing. tion grievances, employees and the were unable public A policy arguments number of bring grievances approv- to without union denying favor the Union’s Second Motion al. In each these scenarios the arbitra- Summary Judgment sustaining tion was either flawed or did not occur. summary judgment remaining fairly had no chance to First, policies judicial defendants. ef- litigate the issues on the merits. ficiency require enforcement of the doc- here, In although contrast the Union did judicata trines of res and collateral es- provide Feichtinger, counsel for he was toppel. litigant To the extent that a opportunity bring afforded the to try multiple allowed to his case in tribu- grievance represented and could have been nals, inviting the court shоp- forum by counsel. ping litigation. and nuisance pol- Such a provides public employees Alaska law icy employee would invite an loses scope rights with a broader and reme- suit, novo, to file de in su- Casey City dies than does federal law. perior alleging a breach of the Fairbanks, supra. recog- Alaska law representation. This would persons employed nizes in situations destroy finality binding arbitra- other than at will: tion. ... property have sufficient in interest It would also discredit entire arbitra- continuing employment, just their absent system. Employers would be far less removal, cause for their require to likely arbitration, to submit issues to they given opportunity notice and an knowing simply that the arbitration would process to be heard under the due clause expense be an additional might to what of the Alaska Constitution. eventually superior become a case court. Casey at 1138. Plaсing the financial burden for failure public employee A in Alaska has the fairly represent fully its members on the option advantage to either take refusing Union will deter unions from grievance procedure provided potentially their members in bargaining agreement collective or to sue grievance meritorious actions. Union ad- wrongful discharge. court for likely will ministrators be far less to allow Id. prejudice against one of them members to case, plaintiffs pursue elected equation enter rep- into the of whether to directly arbitration and not sue member, they resent the know that the general court. The rule is that the arbi union will monetary be held liable for binding trator’s decision is pre- and has a losses attributable to their refusal to fulfill Borg-Warner clusive effect. See Corp. v. their duties. Avco, (Alaska 1993). This effect insulates the Judge remain Link’s observation that an liability.3 defendants from furthеr who loses an arbitration will have little rea- However, Alaska law does not foreclose son not to in superior file suit under opportunity collaterally ruling today’s establish like bears elaboration. The that a rep union breached its suit will include the union one contrary holding resentation. A would be allege defendant. The will *12 termined, regard they duty represen- without to how were breached its union has by the resolved arbitrator. the em- and that the breach caused tation But the em- ployee to lose the arbitration. above, today’s ruling what As noted under employer usually name the as ployee also will employee prove in to set an has to order employer, (1) the the re- Without defendant. aside an arbitration decision is breach employer part duty as to the sult of the arbitration on the the union its (2) pro- that representation and the breach today’s aрpor- not be set aside. Given an in the arbitration which duced outcome ruling, damages employee the tionment of what resulted was different from would have by an be made whole award cannot had there been no breach. This is a devia- alone, never union since the union is the respect from our current case law with tion up pay wages to the time required lost finality of labor arbitration decisions. hypothetical that a arbitration award should law, existing can Under labor arbitration the ob- employee’s made.2 have been Since only has be set aside when arbitrator jective will be full reimbursement for fraud, “gross negligence, corrup- committed losses, join employ- him to expect we can the tion, gross error or misbehavior” or “when er as a defendant. are the arbitrator’s mistakes both obvious significant.”5 The standard reflected First, will the issues in the suit be? What today’s opinion affecting error the re- prove union employee the must that the —union existing considerably broadens stan- fairly employee the sult — dards. breached its Second, employee him. the must “seriously unfairly the The new standard seems one-sid- show that breach undermined employer poorly represented If an is meaning, ed. process”3 I under- the arbitral representative commits a breach it, the stand breach caused an erroneous result, the which affects arbitration employer Thus arbitration decision.4 stands. arbitration decision nonetheless (and also) may union defend the suit Why more should an be treated by discharge of the the basis favorably than an when a similar justified, justification employer was employ- by act or omission is committed by mean that union did would representative? ee’s cause an erroneous decision. not Further, arbitration, litigation, like court is Judge description Link’s wоuld what adversary process. by par- A mistake system adopted if a like the happen one ty’s representative may party result in the today apt. employ- were effect seems The so, losing the case. If a matter redress is er, having convinced the arbitrator party representative. and his between justified, discharge quickly it- will find party a claim for litigating in the self the identi- representative. And he is entitled to be observed, again. Judge cal issue As Link by whole full loss made for the caused finality binding arbitration representative. breach of destroyed, system but dis- representative’s ground breach is simply credited. Arbitration becomes setting litigation. today, aside the Until stepping-stone view, my court where is the model we have followed.6 In litigated finally it. identical issues are de- we should continue to follow 6.See, Co., Op. at 414-15. Sauer v. Home Indem. 841 P.2d (Alaska 1992) (holding where the company obligation Op. аt 412. insurance has an to defend it, its insured and breaches it is liable to the judgment); Op. v. at 412. insured the cost of Bohna Gantz, Brundin, Thorsness, Hughes, Powell & 1992) (Alaska Lees, Sys. (noting City P.2d that if an Mun. Fairbanks Util. 1985). (Alaska attorney's malpractice causes incur a client to P.2d 459-60 In Butler (Alaska 1997), liability, attorney Dunlap, then can for that 931 P.2d we be liable amount); judicial Bayless applied Ins. Co. & Rob- described review standard Continental error, erts, Inc., (Alaska (hold- 1980) labor-management “gross arbitration as legal.” either factual or that an insurer who undertakes a defense and true, analogy expect one particularly exists where would A close members by by employee grievances decided not arbi- victimized union breaches of in ad- hearing.7 In adjudications litiga- an administrative ministrative or in tration aggrieved cases have the such be entitled to have also decisions right to counsel. If an attor- of those forums set aside. But this is not рrivately case, ney Representational be either selected or nor should be. fail- —who employee’s union —in an supplied ad- ings adversary system in an can be redressed *13 hearing ministrative breaches which by an action the victim between lose, the decision of causes the representative. is no need There to disturb is not set the administrative tribunal aside. origi- finality of the between decision employee’s remedy is attor- parties. nal This is as true in as arbitration may ney and the obtain a full adjudication in is administrative recovery. why I no the result see reason litigation. be different similar breach is

should where Since I believe that we should continue in the context arbitration. made of an finality, adhere to Alaska norms of arbitral I dissent. IV. today’s opinion can be said for is that

What

it is consistent with federal labor law. But governed by

this case is not federal labor system strengths One of the our

law. sovereignties

parallel federal and state is areas, are, states some free to do

things differently govern- than the federal Sometimes a method is better.8

ment. state ACEVEDO, Appellant, Gustavo keeping aspect In with of our federal this justifica- I system do ‍‌‌​​​​‌‌‌‌‌‌‌​‌​​​​‌​‌​​‌‌‌​​​​​​​‌​‌‌‌‌​‌‌‌​​‌​‍not think is sufficient say tion that we will function a certain BURLEY, Denise Denise N/K/A merely way.

way because it the federal Liberty, Appellee. case, I show have tried to that there are S-8079. No. duplicate good reasons not to federal law. law, Alaska Under labor arbitration deci- Supreme Alaska. Court sions have been at least as difficult to set Dec. adjudications as aside administrative and tri- Today’s changes al court decisions. decision

this and holds that in cases where a union is

guilty representing of a breach of

union member and the affected the result, arbitration decision needed, according

must be set aside.' This majority, because interests of deci- finality way give

sional must to the interests

of union have been members who victimized duty. their If union’s breach of this were pressed impose uniformity good ordinary fails to exercise faith and care reluctance to judgment). be held liable for the suppression states where would risk of "ef- programs” quoting fective and creative Jus- Dist., Anchorage Romulus v. Sch. description tice Brandeis’s classic states (Alaska 1996); P.2d v. Bai Pederson-Szafran experimenta- laboratories of and economic social 1992). (Alaska ly, 837 P.2d 124 Liebmann, Ice Co. v. from New State 262, 311, (1932) Stake, Reeves, U.S. 76 L.Ed. 747 example, 52 S.Ct. See for Inc. v. U.S. 429, 441, (Brandéis, J., (1980), dissenting). 65 L.Ed.2d 244 Supreme where United States Court ex- notes breach.41 supports position.45 case But con- law this upon agreed The federal courts have not trary authority exists; also indicates apportionment. Two mod- precise method of recover some currently apportion- fees) els exist. One bases attorney’s (usually from the union even upon hypothetical on the date which ment wrongful discharge.46 absent a rеinstated had been authority example An line this latter the union fulfilled its of fair Airlines, Del v. Inc.47 A Casal Eastern employer in- tion.42 The is liable for losses sought pilot there set aside the arbitration date; union is curred before that liable discharge upholding by suing decision his incurred after date.43 The for losses wrongful discharge pi and the apportions damages per- model other lots’ union for breach of basis, centage comparative similar fault.44 representation.48 He claimed that the union represent need not decide now which of refused to him because he was not two Although Alaska follow. Be- a union member.49 Fifth federal models should Cir yet justification setting cuit no aside cause the has not had an found emp opportunity par- consider whether one is the arbitration decision favor of the ticularly loyer,50 union appropriate to these facts be- it held that the breached squarely parties’ representation do cause the briefs ad- discriminatori question, ly refusing pilot dress this we do not address in arbitrat Czosek, Vaca, 196-98, 28-30, S.Ct. S.Ct. 39. See 386 U.S. at 87 397 U.S. 90 (implying availability damages indepen 770 197, 903; id. at 87 S.Ct. also Interna- See see discharge employee’s wrongful dent of merits of Foust, 42, Co., tional Bhd. Elec. Workersv. U.S. claim); Caterpillar Dutrisac Tractor 50, 2121, (1979). 99 S.Ct. 60 L.Ed.2d 698 (9th Cir.1983) (affirming F.2d 1274-76 damage attorney award of fees union for Serv., 41. See Bowen v. United States Postal representation, despite breach of 212, 223-24, U.S. 103 S.Ct. 74 L.Ed.2d 402 finding wrongful discharge, no because union's (1983). fairly represent employee failure to in arbitration Drivers, lawyer); forced hire him to Self Chauf 588; id. at 42. See 230 n. Bowen feurs, Helpers Warehousemen & Local Union No. Serv., F.Supp. United States Postal 439, 441, (4th Cir.1980) (find 620 F.2d (W.D.Va.1979). 1129-31 wrongful discharge holding no expenses liable for incurred Bowen, F.Supp. 43. See at 1129-31. properly press griev result union’s failure to against employer). ance Aguinaga v. & 44. See United Food Commercial Cir.1993), Int'l, (10th ‍‌‌​​​​‌‌‌‌‌‌‌​‌​​​​‌​‌​​‌‌‌​​​​​​​‌​‌‌‌‌​‌‌‌​​‌​‍Workers 993 F.2d 1475-77 (5th Cir.1981). 634 F.2d

Case Details

Case Name: Anchorage Police Department Employees Ass'n v. Feichtinger
Court Name: Alaska Supreme Court
Date Published: Dec 30, 1999
Citation: 994 P.2d 376
Docket Number: S-8069
Court Abbreviation: Alaska
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