# Amicus Curiae Brief — Central States, Southeast & Southwest Areas Pension Fund v. Central Transport, Inc.

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URL: https://www.frixlaw.com/law-library/documents/brief%3Amicro_IA40385012_0016%3A17

## Record

- **Collection:** Supreme Court brief
- **Document type:** Amicus Curiae Brief
- **Published:** January 1, 1985
- **Citation:** 472 U.S. 559

## Text

WOTION FILED
JUL 27 984

No. 82-2157

IN THE

Supreme Court of the United States

OCTOBER TERM, 1982

——

CENTRAL STATES, SOUTHEAST AND SOUTHWEST
AREAS PENSION FUND and CENTRAL STATES,
SOUTHEAST AND SOUTHWEST AREAS HEALTH
AND WELFARE FUND,
Petitioners,
vs
CENTRAL TRANSPORT, INC. et al.
Respondents

ON WRIT OF CERTIORARI TO THE UNITED STATES
COURT OF APPEALS FOR THE SIXTH CIRCUIT

—

MOTION OF BRICKLAYERS FRINGE BENEFIT
FUNDS — METROPOLITAN AREA, ET AL., FOR
LEAVE TO FILE BRIEF AMICI CURIAE

BRIEF OF BRICKLAYERS FRINGE BENEFIT
FUNDS — METROPOLITAN AREA, ET AL.,
AMICI CURIAE

SHELDON M. MEIZLISH*
1166 First National Building
Detroit, Michigan 48226
Phone: (313) 964-3430

MARSTON, SACHS, NUNN, KATES,
KADUSHIN AND O'HARE, P.t
(BY: ROLLAND R. OHARE)

1000 Farmer Street

Detroit, Michigan 48226

Phone: (313) 965-3464

Counsel for Amici
*Counsel of Record

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No. 82-2157

IN THE

Supreme Court of the United States

OCTOBER TERM, 1982

CENTRAL STATES, SOUTHEAST AND SOUTHWEST
AREAS PENSION FUND and CENTRAL STATES,
SOUTHEAST AND SOUTHWEST AREAS HEALTH
AND WELFARE FUND,

Petitioners,
vs.
CENTRAL TRANSPORT, INC., et al.,
Respondents.

ON WRIT OF CERTIORARI TO THE UNITED STATES
COURT OF APPEALS FOR THE SIXTH CIRCUIT

MOTION OF BRICKLAYERS FRINGE BENEFIT
FUNDS — METROPOLITAN AREA, ET AL., FOR
LEAVE TO FILE BRIEF AMICI CURIAE

The Bricklayers Fringe Benefit Funds Metropolitar
Area, the Carpenters Fringe Benefit Funds Detroit and
Vicinity, the Cement Masons Fringe Benefit Funds
Detroit and Vicinity, the Electrical Workers Fringe Benefit
Funds of Local Union #58, IBEW, and the Laborers Fringe
Benefit Funds Detroit and Vicinity move to intervene ir
this case as amici curiae for purposes of submitt'ng the

attached brief

The amici are eomposite names for trust funds? established
under, and administered pursuant to, Section 302 of the Labor
Management Relations Act of 1947, as amended, 29 U.S.

186, and the Employee Retirement Income Security Act of
1974, as amended, 29 U.S.C. 91001, ef se q In this respect, the
have the same legal status as petitioners. Amici operate to
provide pension, medical, hospitalization, dental, holiday and
vacation pay, optical and other benefits to workers in the con
struction industry in southeastern Michigan. Each is a mult

emplover, jointly administered employee benefit plan created
by collective bargaining

Amici believe that the Sixth Circuit’s opinion of January 20.
1983, was, at the vers least, overly broad and, by its sweep.
will, unless corrected, do serious damage to the public polices

favoring protection of emplovee henefit plat ~ and to the statu

| Bricklaye Fringe Bene I I MM i \rea If
Brickla rs Pens rr Fund Metr ta Area, tl B Kiaver
und Trowel Trades International Px Fund, the Bricklavers Holida

Trust Fund — Metropolitan Area, the Detroit and Vicinity Trowel Tra
Health and Welfare | : Br ver Apprentices
‘ +?

The “Carpenters Fringe Benefit Fund Detroit and \ '
he Carpenters P Trust | i Det and \ he Carpe
el \ acat und Hi ia rust | ! Lye and \ 4 i
( ary ers Health and Welfare I Det i '

The “¢ Ma Fringe B fit | Detroit and \

ide the Ceme Masons Ps lr I i Det und \ t
Brickla ! ind Trowe Trad I rna | P I ]

{ f Ma Vaca und Hi av | | ! Det i \

nd t? Detr i \ lrow Trace Health and Welfare I

The “Electrical Workers Fringe Benefit | Local | mn #58
IBEW nelude the Electrical Workers Pe n Trust Fu f Loca
#58. IBEW. the Electrical Workers Joint Board of Trustees Vaca

I ble ul Worke irance Fund, the Suppleme ,
Uonemy ment Benefit Fund f the Electrical Industry, Detroit, Mic!
ya Na al Fol ! il Benet | 1 and ti | Appr
ra g Trust |

The “Laborers Fringe Benefit | Detr , \

Laborers Pe I Detroit a ' Lat
Vaca und H la i: i L i \ i La

rv requirement. in furtherance of that poliev. that such plans
properly funded. There are critical policv and practical cor

ierations which amici beleve the Court of A} peals either

failed to consider or misapprehended. In the interests of the
irticipants Tor w hose sole and exe isive benefit il ( ePXNLTST
i? 1 Tre nousandas oT workers and heneft CIArIes sin i? ' ’
ited 1 reques Pave ft file ting ittached bmet
ae spectfu hal ttad

SHELDON M. MEIZLISH*
1166 First National Build
Detroit, Michigan 48226

=

VARSTON, SACHS, NUNN, KATES
KADUSHIN AND OHARE, P.
BY: ROLLAND R. COHAREI

(uw) }- armer Street

Detroit, Michigan 48226
Phot 5153) 965-3464

No. 82-2157

IN THE -_

Supreme Court of the United States

OCTOBER TERM, 1982
CENTRAL STATES, SOUTHEAST AND SOUTHWEST
AREAS PENSION FUND and CENTRAL STATES,
SOUTHEAST AND SOUTHWEST AREAS HEALTH
AND WELFARE FUND,

Petitioners,
va

CENTRAL TRANSPORT, ING

et al...

Respondents

ON WRIT OF CERTIORARI TO THE UNITED STATES
COURT OF APPEALS FOR THE SIXTH CIRCUIT
BRIEF OF BRICKLAYERS FRINGE BENEFIT
FUNDS — METROPOLITAN AREA, ET AL..,
AMICI CURIAE

Amici, Bricklayers Fringe B fit Funds Metroy al
Area, Carpenters Fringe Benefit | is Detroit and Vi
{ ere Ma KY ge Benefit Fund Det: ina \
ke trica \\ kers Fy pe Benet Funds ft | i
#58, IBEW, and Laborer Fringe Ben Fur
Detroit and Vicinit ar’ site i s*' To? ! is r
yo ind welfare benet ins ng workers )
I rt us : heastern Michigan a al
resp neir ta 5. A were established under and ar
dn ered pursua ™ J f the Labor-Managemet
Rela Act of 1947, as amended (“LMRA”), 29 U.S.C. $18
ind the Emplovee Retirement Income Security Act of 1974. a
umended (“ERISA”), 29 U.S LOO1, ef se
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NO. 81-3307
UNITED STATES COU RT OF APPEALS
FOR THE SIXTH CIRCUIT

THURMAN HUGHES, ANTHONY D. LIBERATORE
MARTIN MASON, CHARLES PEARL, RICHARD
STANDER. JR... PAUL SWEITZER, DREXEL J
THRASH and RICHARD L. WALLER, TRUSTEES of the
OHIO LABORERS’ DISTRICT COUNCIL-OHIO
CONTRACTORS’ ASSOCIATION INSURANCE FUND:

and
W. W. LATHROP. JR... JAMES BYRD, DONALD W
FITTON. JR.. FORREST W. HUFF, TOM MOORE
DREXEL J. THRASH, CHARLES McKEE, and JOHN
CALDWELL. TRUSTEES of the LABORERS’ DISTRICT
COUNCIL AND CONTRACTORS’ PENSION FUND OF
OHIO

and
W. JOE NIEDHARDT, DREXEL J. THRASH
MARSHALL L. FLYNN. JACK E. KUEBLER, AMOS
JACKSON. ROBERT F. BLIEILE. GERALD JONES and
WILLIAM COPELAND. TRUSTEES of the OHTO
LABORERS’ TRAINING AND UPGRADING FUND

Plaintiffs Appellants,

BAKER CEMENT CONTRACTORS, INC
Defendant -Appellee

ORDER
(Filed July 6, 1982
Before: ENGEL and BROWN, Circuit Judges; and GUY

District Judge.”

*Honorable Ralph B. Guy. Jr.. District Judg,, United States Distnet Court

for the Faster 1) ried f Michigar sitting t lesignat

‘de
wii

This matter is before this court as a result of plaintiffs’
appeal of a summary judgment granted in favor of the de
fendant in the distnet court

Plaintiffs are the Trustees of the Ohio Laborers’ District
Couneil-Ohio Contractors’ Association Insurance Fund, the
Laborers’ District Council and Contractors’ Pension Fund of
Ohio. and the Ohio Laborers’ Training and Upgrading Trust
Fund. These three funds are collectively bargained, multi
emplover, Taft-Hartley fringe benefit funds established by
agreements and declarations of trusts between the Labor
Relations Division of the Ohio Contractors’ Association, the
Associated General Contractors of America, Inc.. and Em
plovers’ Association and the Laborers’ District Counei! of Ohio
of the Laborers’ International Union of North America, AFL
CTO. an association of a local laborers’ union in Ohne.

The defendant is an Olio corporation engaged in the building
and construction industry within the State of Ohio

On June 1. 1975. defendant became signatory to a collective
hargaining agreement that had been negotiated hetween the
Butler County Area Contractors’ Association of Hamilton,
Ohio. an assomation of emplovers and Laborers’ Local No. 534,
a local union affiliated with the Ohio Laborers’ District Council

This colleetive bargaining agreement obligated the defendant

fey VF nAKe coynytra i? ’ ’ certail trial finds on hehalf of ife«
aborers who work within the geographical jurisdiction of
Toeal 534. whether or not such laborers were in fact union

members. Subsequent to entering into this collective bargaining
agreement, the defendant, on Or toher 13. 1975, executed another
agreement ent tied “Assent of Participation,” which agreement
hound the defendant insofar as trust fund contributions were
concerned to the Ohio Laborers’ District Counei! and the local
minions of which it is comprised. Pursuant to these two agree
ments. the defendant made monthiv fringe henefit contributions
to the trust funds in question on hehalf of those members of

95, 1977

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ta

Although this appeal poses interesting questions which are
being raised with increasing frequency as a result of the
passage of the Employees’ Retirement Income Security Act of
1974 (ERISA), this court concludes that it is unnecessary to
reach those questions in order to determine this appeal The
decision of the trial court that the plaintiffs were entitled to
the type of information that they sought in this lawsuit but
eould obtain it from other sources is erroneous and not sup
ported by the record

The trial court recognized that plaintiffs should not be
wholly dependent upon the defendant's identification of who
was working as a laborer and thus entitled to fringe benefit
fund contributions. The court concluded, however, that hecause
there was a Union security agreement in the collective bar
gaining agreement requiring all laborers to he Union members
and. further, because the collective bargaining agreement
provided for union stewards to be at each job site, that the
Union would thus be able to definitively ascertain ....d identify
those emplovees performing laborers’ work on whose behalf
eontributions had to be made. This conclusion ts fatally defective
for two reasons

First. defendant's collective bargaining agreement with Local
534 contained a “grandfather clause” which required that only
those laborers hired after the effective date of the agreement,
June 1. 1975. become members of Local 534. Thus, the de
fendant could have non-Union laborers on its payroll without
being in violation of its agreement with Local 534

Second. although the Assent of Participation agreement
signed by the defendant also obligated it to make trust fund
contributions in the geographic areas covered by Locals 423,
410. and 265, the defendant was not in fact signatory to any
collective bargaining agreements with these other three umions
Thus. although the standard collective bargaining agreements
of Locals 423, 410, and 265 contained “union security clauses,”

they were not binding upon the defendant because it had no

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direct contractual relationship with these umons Thus, the
defendant could perform work in the geographic areas of these
unions and use non-union labor. These two examples clearly
demonstrate that there were at least two groups of employees
of indefinite size for whom the employer was required to make
trust fund contributions but whose eligibility for same could
not be determined from Union records

In addition, undue emphasis is placed upon the fact that in
the geographic area under the jurisdiction of Local 534 there
was to be a union steward on the job. One of the significant
purposes achieved by the passage of ERISA was to set up
independent trust funds and trustees with fiduciary respon
sibilities. This was for the purpose of protecting the employee
against both management and the union. To suggest that the
union steward is the ultimate safeguard as to who is doing
laborers’ work overlooks the fact that Congress, by the passage
of ERISA. legislatively determined that employee retirement
income and fringe benefits should not be left to the protection
solely of management or union, but required the protection of
an independent board of trustees

Since the major premises on which the trial court determined
that the plaintiffs could in fact achieve access to the information
they needed are incorrect, it is necessary to reverse the sum
mary judgment by the district court and remand for such
further proceedings as will enable the plaintiffs to secure the
information necessary for them to meet their fiduciary respor
sibilities under ERISA

Rv wav of further guidance to the parties on remand, this
court would further note that it would not appear that a
veferral of this matter to arbitration is an appropriate vehicle
for the resolution of this dispute at its current level. It may be
that ultimately the parties will have a disagreement as to
whether a given emplovee is performing laborers’ work Such a
determination may or may not be properly referrable to

arbitration based upon the provisions of the particular bar

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ENTERED RY

ORDER OT

THE COURT
IOHN P. HEHMAN

{ rk

---

Source: Frix Law Library, https://www.frixlaw.com/law-library/documents/brief%3Amicro_IA40385012_0016%3A17. Public record. Not legal advice.
