Board of Trustees of the Plumbers' Local Union No. 93 U.A. Retirement Account Fund et al v. Shull Plumbing, Inc. et al
Filing
20
Enter MEMORANDUM Opinion and Order Signed by the Honorable Elaine E. Bucklo on 10/15/2013. Mailed notice (jdh)
IN THE UNITED STATES DISTRICT COURT
FOR THE NORTHERN DISTRICT OF ILLINOIS
EASTERN DIVISION
BOARD OF TRUSTEES of the
PLUMBERS’ LOCAL UNION NO.
93 U.A. RETIREMENT ACCOUNT
FUND ET AL.,
Plaintiffs,
v.
SHULL PLUMBING, INC., an
Illinois Corporation, and
SHELDON JACK SHULL, an
individual.
Defendants.
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No. 13 C 3675
MEMORANDUM OPINION AND ORDER
The Plaintiffs in this breach of contract action administer
trust funds that collect contributions from numerous employers
who have entered into collective bargaining agreements with the
Chicago Journeyman Plumbers Local Union 130 U.A., as successor in
interest to the Plumbers’ Local Union No. 93 U.A. (“Union”).1
The Plaintiffs have moved for summary judgment against Shull
Plumbing, Inc. (“Shull Plumbing”) and its owner for breaching a
settlement agreement, collective bargaining agreement, and trust
agreements.
I grant the Plaintiff’s unopposed motion for the
reasons stated below.
1
I use the general term “contributions” given that the
Plaintiffs include the trustees of a retirement fund, a pension
fund, a health and welfare fund, an apprenticeship committee
fund, and an industry advancement fund.
1
I.
The Defendants did not file a response in opposition to the
Plaintiffs’ motion for summary judgment by the court ordered
deadline or seek an extension of time.
Therefore, pursuant to
Local Rule 56.1(b)(3)(C), all facts set forth in the Plaintiff’s
statement of facts are deemed admitted.
Nonetheless, “even where
the non-moving party fails to file a timely response to a motion
for summary judgment, the district court must still review the
uncontroverted facts and make a finding that summary judgment is
appropriate as a matter of law.”
Nabozy v. Podlesny, 92 F.3d
446, 457 n.9 (7th Cir. 1996).
In July 1970, Shull Plumbing agreed to be bound by a
collective bargaining agreement (“CBA”) entered between the Union
and an employer association in Lake and McHenry counties.
Statement of Facts (“SOF”), Dkt. No. 15, ¶ 7.
Pls.’
The CBA also bound
Shull Plumbing to the terms of various Trust Agreements, which
created the trust funds responsible for receiving employer
contributions.
SOF ¶ 8.
Under the CBA and Trust Agreements, Shull Plumbing was
required to (1) submit a monthly “Contribution Report” listing
the number of hours worked by covered employees and all amounts
deducted from employees’ paychecks for union dues; (2) contribute
to the trust funds at a pre-determined rate for each hour worked
2
by a covered employee; and (3) remit payment of all union dues
collected during each reporting period.
SOF ¶¶ 9-10.
On January 4, 2013, the parties signed a Settlement
Agreement under which the Defendants agreed to pay a principal
balance of $70,363.29 over twelve months for unpaid
contributions, liquidated damages, interest, and attorney’s
fees.2 SOF ¶¶ 13-14.
The Settlement Agreement also required the
Defendants to submit timely Contribution Reports and payments for
the duration of the agreement.
SOF ¶ 15.
Sheldon “Jack” Shull
is personally liable for all obligations under the Settlement
Agreement.
SOF ¶ 16.
The Defendants failed to pay contributions, 401(k) elective
deferrals, or union dues from February 2013 through at least July
2013.
SOF ¶ 18.
Pursuant to an acceleration clause in the
Settlement Agreement, the Plaintiffs demanded full payment of all
amounts owed.
SOF ¶ 19.
The acceleration clause also provides
that in the event of a breach, the Defendants “hereby confess
judgment or any and all unpaid amounts.”
See Docket No. 1 at Ex.
3 (¶ 7).
As of July 31, 2013, the Defendants owed a total of
$148,599.39 consisting of (1) $41,511.16 from the principal
2
Under the CBA and Trust Agreements, Shull Plumbing is required
to pay (1) liquidated damages equal to ten percent of the unpaid
contributions; (2) interest of one percent per month for each
month that contributions remained unpaid; and (3) reasonable
attorney’s fees and costs. SOF ¶ 12.
3
balance of the Settlement Agreement; (2) $101,315.72 for unpaid
contributions, 401(k) elective deferrals, union dues, liquidated
damages, and interest from February 2013 through July 2013; and
(3) $5,772.51 in attorney’s fees and costs incurred in connection
with enforcing the Settlement Agreement and filing this lawsuit.
SOF ¶¶ 20-23.3
II.
The foregoing facts are undisputed and sufficient to grant
the Plaintiffs’ motion for summary judgment.
I hereby enter a
judgment for the Plaintiffs and against Shull Plumbing and
Sheldon “Jack” Shull, jointly and severally, in the amount of
$148,599.39.
I also grant the Plaintiffs leave to file a motion to amend
this judgment to reflect any damages sustained after July 30,
2013.
ENTER ORDER:
_____________________________
Elaine E. Bucklo
United States District Judge
Dated: October 15, 2013
3
The Plaintiffs have reduced the amounts owed for monthly
contributions, 401(k) elective deferrals, and union dues to
reflect partial payments received from general contractors in
exchange for partial lien waivers. See Dkt. No. 14 at 5 n.1.
4
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