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Contracts
Breach of Contract
Collective Bargaining

People Ex Rel John A. Russo, City Attorney, City of Oakland, a Municipal Corporation v. Waste Management of Alameda County Inc. and Does 1 to 20

Published: Sep. 29, 2007 | Result Date: Jul. 17, 2007 | Filing Date: Jan. 1, 1900 |

Case number: RG 07335086 Bench Decision –  Liability Only

Court

Alameda Superior


Attorneys

Plaintiff

Kandis A. Westmore

Randolph W. Hall

John A. Russo


Defendant

John L.B. Smith


Facts

For two months, Teamsters Local 70 and Waste Management of Alameda County Inc. had been attempting to negotiate a new collective bargaining agreement. However, the negotiations were unsuccessful and on July 1, 2007, the effective collective bargaining agreement expired.

On July 2, Waste Management locked out almost 500 Local 70 drivers after the union told them a strike was likely. Due to the lockout, garbage, yard waste and recycling were not picked up in the city of Oakland, even though the city had a franchise agreement with Waste Management until 2012.

On July 3, the city sent a notice of violation of the franchise agreement to Waste Management, demanding they resume its garbage-collection duties. Then, on July 5, the city sent Waste Management a notice of default.

On July 9, Waste Management responded by claiming force majeur, that the company was unable to pick up garbage due to circumstances beyond its control. Waste Management claimed had there been a strike, it would not have been able to sufficiently mobilize to collect the city's garbage.

On July 12, the city filed a complaint against Waste Management for breach of contract and violating Oakland Municipal Code.

Contentions

PLAINTIFF'S CONTENTIONS:
The city claimed Waste Management's failure to pick up garbage created a public nuisance and caused irreparable harm to the city's residents' health and safety.

Damages

The city sought injunctive relief to compel Waste Management to perform its contractual obligations and abate the public nuisance. The city also sought unspecified damages and specific performance.

Result

In a bench decision, Judge Richard O. Keller granted the city's motion seeking injunctive relief, compelling specific performance and issuing a temporary restraining order.

Other Information

Waste Management submitted proposed modifications to the court order. The city plans to submit contempt of court papers. The temporary restraining order was dropped after the union and Waste Management agreed on a new collective bargaining agreement.


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