Facts

Southwest Regional Council of Carpenters, or SWRCC, filed a complaint against Drywall Dynamics Inc. Carpenters Southwest Administrative Corporation, or CSAC, filed a related complaint against Drywall Dynamics.

SWRCC's complaint seeks to confirm an arbitration award that arose out of certain bargaining agreements between SWRCC and Drywall.

CSAC's complaint seeks an audit of, and fringe benefit payments, with respect to the agreements between SWRCC and the subsequent arbitration award.

Drywall filed for summary judgment in the CSAC action. However, the trial court determined that Drywall's motion could be affected by the confirmation of the arbitration in the SWRCC action. As such, the court deferred a decision on Drywall's summary judgment motion. Drywall then filed a petition to vacate the arbitration award. Plaintiffs then filed a consolidated motion to confirm the arbitration award and for summary judgment.

PLAINTIFFS' CONTENTIONS:
This dispute arose out of Drywall's attempt to terminate certain bargaining agreements with SWRCC, which SWRCC repeatedly denied for being ineffective and untimely. As a result, Drywall remained under contract to abide by those agreements. In 2010, SWRCC filed a grievance against Drywall, raising six issues, which proceeded to arbitration. The arbitration panel issued a final award confirming that Drywall's termination was not timely. SWRCC then filed a petition to affirm the arbitration award.

DEFENDANT'S CONTENTIONS:
Drywall contended that the arbitration panel exceeded its jurisdiction in addressing the termination dispute in connection with SWRCC's grievance complaint. With respect to CSAC's claim, Drywall contended that CSAC waived its right to pursue the claims.

Result

Following a hearing, the court determined that although the arbitration panel did not exceed the scope of SWRCC's grievance submission as Drywall had contended, the panel's decision regarding the termination issue was nevertheless implausible. As such, the court denied SWRCC's petition to confirm the arbitration award, and granted Drywall's petition to vacate the arbitration award. Then, the court determined that Drywall's claim that CSAC waived its right to purse claims for fringe benefit contributions failed. As such, the court granted in part, and denied in part, and granted in part Drywall's motion for summary judgment. It also granted in part, and denied in part CSAC's motion for summary judgment.

Other Information

Southwest Regional Council of Carpenters has filed an appeal.