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Employment Law
Labor Code Violation
Breach of Contract

David Adkins v. Teamsters Local 952

Published: Nov. 18, 2006 | Result Date: Jun. 13, 2006 | Filing Date: Jan. 1, 1900 |

Case number: SACV 98979 AHS Verdict –  Defense

Court

USDC Central


Attorneys

Plaintiff

Lee A. Wood


Defendant

Fern M. Steiner
(Smith Steiner Vanderpool & Wax APC)

Thomas L. Tosdal


Facts

In 1998, Lucky Stores closed one of its warehouses, resulting in the loss of jobs for over 100 employees. Defendant, Teamsters Local 952, a labor union, represented the warehouse employees, and had a labor contract with Lucky Stores for those employees. Plaintiff David Adkins and 82 other former warehouse employees filed suit against the union.

Contentions

PLAINTIFFS' CONTENTIONS:
The plaintiffs claimed that the defendant entered into a secret agreement with Lucky Stores, allowing Lucky to close the warehouse and terminate the employees, in exchange for jurisdiction over a new, larger warehouse that Lucky would build nearby. The plaintiffs alleged that the defendant therefore negotiated inadequate job protection language in their contracts, and failed to vigorously negotiate with Lucky about the effects of closing the warehouse for employees. They further claimed that the defendant entered into another contract that provided fewer protections for workers, which was a prototype contract for the new warehouse.

DEFENDANT'S CONTENTIONS:
The defendant denied the existence of the secret agreement. It claimed the language it negotiated in the contract was superior to other contracts, and provided ample protection. The effects of closure it negotiated for the warehouse workers, it claimed, were generous, providing severance pay of three and a half weeks for each year of service, and/or other employment. It denied that the other contract was a prototype, and claimed it was an effort to prevent work from being transferred away from other union warehouses.

Damages

The plaintiffs sought between $75 and $100 million.

Injuries

The plaintiffs claimed emotional distress and loss of their jobs.

Result

The jury found for the defense.

Other Information

The case was bifurcated as to liability and damages. The plaintiffs have filed an appeal.

Deliberation

one hour

Length

nine days


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