Searching over 5,500,000 cases.


searching
Buy This Entire Record For $7.95

Download the entire decision to receive the complete text, official citation,
docket number, dissents and concurrences, and footnotes for this case.

Learn more about what you receive with purchase of this case.

Board of Trustees v. Metal

United States District Court, E.D. Virginia, Alexandria Division

January 15, 2016

BOARD OF TRUSTEES, NATIONAL STABILIZATION AGREEMENT OF THE SHEET M INDUSTRY TRUST FUND, et al., Plaintiffs,
v.
BURKE Metals LLC, Defendant.

PROPOSED FINDINGS OF FACT AND RECOMMENDATIONS

JOHN F. ANDERSON, Magistrate Judge.

This matter is before the court on plaintiffs' motion for default judgment pursuant to Federal Rule of Civil Procedure 55(b)(2). (Docket no. 8). Plaintiffs are the Board of Trustees of the National Stabilization Agreement of the Sheet M Industry Trust Fund ("SASMI"), the Board of Trustees of the Sheet M Workers' National Pension Fund ("NPF"), the Board of Trustees of the International Training Institute for the Sheet M and Air Conditioning Industry ("ITI"), the Board of Trustees of the Sheet M Workers' International Association Scholarship Fund ("SMWIASF"), the Sheet M Occupational Health Institute Trust ("SMOHIT"), and the National Energy Management Institute Committee ("NEMIC") and they seek a default judgment against Burke Metals LLC ("Burke"). Pursuant to 28 U.S.C. § 636(b)(1)(C), the undersigned magistrate judge is filing with the court his proposed findings of fact and recommendations, a copy of which will be provided to all parties.

Procedural Background

On September 23, 2015, the plaintiffs filed this action alleging that Burke is obligated to pay them for certain overdue contributions, liquidated damages, interest, late charges, and attorney's fees and costs. (Docket no. 1). The summons and complaint were served on Burke's president on October 13, 2015. (Docket no. 4). In accordance with Federal Rule of Civil Procedure 12(a), a responsive pleading was due on November 3, 2015, which is 21 days after Burke was served with the summons and complaint.

Burke failed to file a responsive pleading in a timely manner and on December 18, 2015, the plaintiffs filed their request for entry of default. (Docket no. 6). The Clerk of Court entered default against Burke pursuant to Federal Rule of Civil Procedure 55(a) on December 23, 2015. (Docket no. 7). On January 8, 2016, the plaintiffs filed a motion for default judgment with a supporting memorandum and declarations from Walter Shaw and Matthew Tokarsky, and a notice of hearing for January 15, 2016 at 10:00 a.m. (Docket nos. 8-10). The motion for default judgment, supporting memorandum, declarations, and notice of hearing were served on Burke by first class mail on January 8, 2016. ( Id. ). On January 15, 2016, counsel for the plaintiffs appeared at the hearing on the motion for default judgment and no one appeared on behalf of Burke.

Factual Background

The following facts are established by the complaint (Docket no. 1), the motion for default judgment (Docket no. 8), and the memorandum and declarations filed in support of the motion for default judgment (Docket no. 9).

SASMI is the collective name of the trustees of the National Stabilization Agreement of the Sheet M Industry Trust Fund, a trust established under 29 U.S.C. § 186(c)(5). (Compl. ¶ 4). The trustees are the "named fiduciary, " plan "administrator" and "plan sponsor" within the meaning of 29 U.S.C. §§ 1102(a), 1002(16), and each is an individual "fiduciary, " within the meaning of 29 U.S.C. § 1002(21), of a "multiemployer plan" and "employee welfare benefit plan" within the meaning of 29 U.S.C. §§ 1002(37) and (1). ( Id. ). The SASMI is administered in Fairfax, Virginia. (Compl. ¶ 9).

NPF is the collective name of the trustees of the Sheet M Workers' National Pension Fund, a trust established under 29 U.S.C. § 186(c)(5). (Compl. ¶ 5). The trustees are the "named fiduciary, " plan "administrator" and "plan sponsor" within the meaning of 29 U.S.C. §§ 1102(a), 1002(16), and each is an individual "fiduciary, " within the meaning of 29 U.S.C. § 1002(21), of a "multiemployer plan" and "employee pension benefit plan" within the meaning of 29 U.S.C. §§ 1002(37) and (3). (Compl. ¶ 5). The NPF is administered in Fairfax, Virginia (Compl. ¶ 9).

ITI is the collective name of the trustees of the International Training Institute for the Sheet M and Air Conditioning Industry, a trust established under 29 U.S.C. § 186(c)(5). (Compl. ¶ 6). The trustees are the "named fiduciary, " plan "administrator" and "plan sponsor" within the meaning of 29 U.S.C. §§ 1102(a), 1002(16), and each is an individual "fiduciary, " within the meaning of 29 U.S.C. § 1002(21), of a "multiemployer plan" and "employee welfare benefit plan" within the meaning of 29 U.S.C. §§ 1002(37) and (1). (Compl. ¶ 6). The ITI is administered in Fairfax, Virginia. (Compl. ¶ 9).

SMWIASF is the collective name of the trustees of the Sheet M Workers' International Association Scholarship Fund, a trust established under 29 U.S.C. § 186(c)(5). (Compl. ¶ 7). The trustees are the "named fiduciary, " plan "administrator" and "plan sponsor" within the meaning of 29 U.S.C. §§ 1102(a), 1002(16), and each is an individual "fiduciary, " within the meaning of 29 U.S.C. § 1002(21), of a "multiemployer plan" and "employee welfare benefit plan" within the meaning of 29 U.S.C. §§ 1002(37) and (1). (Compl. ¶ 7). The SMWIASF is administered in Fairfax, Virginia. (Compl. ¶ 9).

The NEMIC is a labor management committee established pursuant to the Labor Management Cooperation Act of 1978 and 29 U.S.C. § 186(c)(9) that is funded by contributions under collective bargaining agreements. (Compl. ¶ 10).

SMOHIT is the collective name of the trustees of the Sheet M Occupational Health Institute Trust, a trust established under 29 U.S.C. § 186(c)(5) that is a joint labor-management health and safety organization serving the sheet m industry. (Compl. ¶ 11).

Burke is a New Jersey limited liability company and is an employer in an industry affecting commerce as defined by 29 U.S.C. § 152(2) and 29 U.S.C. § 1002(5), (11), and (12). (Compl. ¶ 15). Burke does business with the plaintiffs in this district and a substantial part of the events or omissions giving rise to the plaintiffs' claims occurred from transactions with the plaintiffs' offices in this district. ( Id. ). Burke employs employees represented for the purposes of collective bargaining by the International Association of Sheet Metal, Air, Rail and Transportation Workers f/k/a Sheet M Workers' International Association and/or one or more of its affiliated local unions, which are labor organizations representing employees in an industry affecting interstate commerce (collectively, the "Union"). (Compl. ¶ 16). Burke was a party to or agreed to be bound by the terms and conditions of a collective bargaining agreement with the Union (the "Labor Contract"). (Compl. ¶ 17). Burke also entered into or agreed to be bound by the terms of the agreements and declarations of trust of SASMI, NPF, ITI, and SMWIASF (the "Trust Agreements") made between certain employers and employee representatives. (Compl. ¶ 18).

Under the Labor Contract, Trust Agreements, rules and regulations, and applicable law, Burke agreed to make full and timely contributions to the plaintiffs on behalf of employees who were covered by those agreements; to file monthly remittance reports detailing all employees or work for which contributions were required; to produce, upon request, all books and records deemed necessary to conduct an audit of Burke's records concerning its obligations to make payments to the plaintiffs; and to pay liquidated damages, late charges, interest, audit costs, and all costs of litigation, including attorney's fees, expended by the plaintiffs to collect any amounts due as a consequence of Burke's failure to comply with its obligations detailed above. (Compl. ¶ 19). Plaintiffs allege that the payments due to each of them are calculated separately on monthly remittance reports that are required to be prepared by each contributing employer. (Compl. ¶ 20). A complete report and payment must be submitted by the twentieth day of each month following the month in which the work was performed, and a payment is deemed delinquent if the payment and report are not received within that time period. (Compl. ¶ 21).

Under the Labor Contract, Trust Agreements, NPF Rules and Regulations, SASMI Rules and Regulations, and other benefit plans, Burke is required to pay the plaintiffs interest on any delinquent contributions at a rate of eight and one-half percent (8.5%) per annum; late charges of $50.00 for each month of contributions paid after the due date and before any lawsuit is filed or ten percent (10%) of the contributions due for those months; liquidated damages of twenty percent (20%) of the contributions that were unpaid on the date the lawsuit was filed; and all attorney's fees and costs incurred by the plaintiffs as a result of Burke's failure to comply with its obligations. (Compl. ¶¶ 22, 23).

In Count I of the complaint, for Burke's violation of 29 U.S.C. § 1145, the SASMI, the NPF, the ITI, and the SMWIASF ("the ERISA Funds") seek a judgment in the amount of $21, 698.38 in unpaid contributions during the period from May 2014 through July 2015, plus any additional amounts that become due and owing during the pendency of this litigation together with interest from the due date until the date of payment, liquidated damages, and reasonable attorney's fees and costs incurred in this action or the collection or enforcement of any judgment. (Compl. ¶¶ 28, 29; Ex. 2). In Count II of the complaint, for Burke's breach of contract, all plaintiffs seek a judgment in the amount of $21, 771.08 in unpaid contributions during the period from May 2014 through July 2015, plus any additional amounts that become due and owing during the pendency of this litigation, along with late charges, liquidated damages, interest, audit fees, and attorney's fees and costs. (Compl. ¶¶ 32, 33; Ex. 2).

In the memorandum in support of plaintiffs' motion for default judgment, the ERISA Funds state that they are owed the amounts as detailed below under Count I for ...


Buy This Entire Record For $7.95

Download the entire decision to receive the complete text, official citation,
docket number, dissents and concurrences, and footnotes for this case.

Learn more about what you receive with purchase of this case.