14 Misc. 2d 268 | N.Y. Sup. Ct. | 1956
The motion and cross motion, the former to confirm and the latter to vacate the award of an arbitrator, reveal some trivial and certain very important questions. It would be simple to dispose of the former variety first. Objection is made to the award in that the complete machinery of adjustment was not exhausted prior to demanding arbitration. The occasion of the dispute was whether respondent was in fact removing its plant from New York City to Oklahoma. The omission complained of was that this question was not first taken up on the shop steward level. Obviously this objection lacks substance. Upon the question here involved discussion on the level suggested would be less than a formality. The contract must be read with that in mind and the obvious construction is that it does not require what would be useless.
The second objection is not significant legally, though its social implications are ever looming larger. It concerns the impartiality of the arbitrator. As in many industries, the arbitrator is a permanent official called the “ impartial chairman”. The title, of course, represents a sincere hope and doubtless it is realized as closely as is humanly possible where the tenure in office depends on continuing to be generally acceptable to the stronger party. Respondent claims that the chairman’s partiality was demonstrated throughout the proceedings, particularly with regard to a press release almost simultaneous with the decision. The instances demonstate nothing and the arbitrator’s manners are as unsusceptible of review as are his findings.
Coming now to the important questions, the arbitrator disposed of the matter by enjoining the respondent from moving outside the city, directing that it procure the return of machinery already shipped out and making provisions for the wages of those people who are losing work due to the absence
“ 27d. The impartial chairman is hereby given the powers of determining all complaints or controversies arising out of the terms of this agreement, and of determining the damages that the employer may be obliged to pay to the union, or to the workers, for the violation of any clause under this agreement.” “ g. It is the sense of this agreement that the machinery of adjustment provided for in this agreement is the exclusive means of adjusting all complaints, disputes and grievances between the employer, the workers and the union.”
“ 30b. The union shall be entitled, as a matter of right, to equity relief enjoining and restraining the employer from breaching or threatening to breach the provisions of this agreement during the term provided for in this agreement.”
Of the above, the first two paragraphs are a portion of section 27, entitled ‘ ‘ Machinery of Adjustment ’ ’ and the last is from section 30, entitled “ Strikes and Lockouts.”
The purposes of the last provision must be that in the event the union wishes to apply to a court for injunctive relief it will not be faced with the argument that the expression “ all controversies ” in the earlier clause makes arbitration the sole forum and deprives the court of jurisdiction and, further, it is an expression of the intent of the parties that specific performance of the contract may be enforced. But the jurisdiction of the arbitrator is neither increased nor limited by this provision j and the arbitrator’s conclusion that it is, is erroneous. What is | meant is that whatever is arbitrable according to law should be so heard. The contract being of no peculiar aid in this respect, inspection of the law is called for.
The fact that an arbitration contemplates or involves equitable relief does not in and of itself make it nugatory. (Matter of Freydberg Bros. v. Corey, 177 Misc. 560, affd. 263 App. Div. 805.) But in such cases it is the court that fashions the decree based on the determination of the arbitrator. (Matter of Albert, 160 Misc. 237.) And equity will not “render a decree which shocks good conscience or is otherwise offensive to equity.” (Matter of Young [Deschler], 202 Misc. 811, 813.) Here certain difficulties, practical and logical, are encountered. Arbitrators make no findings and are not required to have minutes made of
While this is the main objection to the award, there are others of some import. The demand for arbitration was based on a shorter notice than the rules permit. The arbitrator granted an adjournment and the objection was not renewed. If valid, it was waived.
Lastly respondent claims this court lacks jurisdiction to entertain the application. This is based on section 301 of the Labor Management Relations Act (U. S. Code, tit. 29, § 151 et seq., § 185) which gives the Federal courts jurisdiction of actions involving breaches of labor-management actions in all cases where the employer is engaged in interstate commerce. Whether or not that jurisdiction is exclusive, Employees v. Westinghouse Elec. Corp. (348 U. S. 437) does not affect this application. Nothing in the statute limits the right to arbitration and this proceeding does not determine a labor controversy, it merely determines whether the arbitration was proper and, if so, implements it.
Motion granted, cross motion denied, settle judgment as indicated.