Nesse et al v. Central Minnesota Sawing LLC
Filing
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ORDER FOR ENTRY OF JUDGMENT. IT IS ORDERED: 1. That Plaintiffs' Motion for Entry of Judgment is granted. 2. That judgment in the amount of $9,181.37 be entered against Central Minnesota Sawing LLC and in favor of Plaintiffs. LET JUDGMENT BE ENTERED ACCORDINGLY. (Written Opinion) Signed by Judge Michael J. Davis on 4/13/17. (GRR)
UNITED STATES DISTRICT COURT
DISTRICT OF MINNESOTA
John Nesse and Tim Mackey as Trustees
of the Minnesota Laborers Health and
Welfare Fund, Tim Mackey and John
Nesse as Trustees of the Minnesota
Laborers Pension Fund, Tammy Braastad
and Todd Pufahl as Trustees of the
Minnesota Laborers Vacation Fund, Todd
Pufahl and Fred Chase as Trustees of the
Construction
Laborers’
Education,
Training, and Apprenticeship Fund of
Minnesota and North Dakota, Mark Ryan
and Dave Borst as Trustees of the
Minnesota
Laborers
Employers
Cooperation and Education Trust, the
Minnesota Laborers Health and Welfare
Fund, the Minnesota Laborers Pension
Fund, the Minnesota Laborers Vacation
Fund,
the
Construction
Laborers’
Education, Training, and Apprenticeship
Fund of Minnesota and North Dakota, and
the Minnesota Laborers Employers
Cooperation and Education Trust,
Case No: 16-CV-3871 (MJD/KMM)
ORDER FOR
ENTRY OF JUDGMENT
Plaintiffs,
v.
Central Minnesota Sawing LLC,
Defendant.
This matter was heard before the undersigned on April 13, 2017. Christy E.
Lawrie of McGrann Shea Carnival Straughn & Lamb, Chartered, appeared for and on
behalf of the Plaintiffs. There was no appearance on behalf of the Defendant.
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FINDINGS OF FACT
1.
The Complaint was filed with the Court on November 10, 2016.
(Court
Docket No. 1)
2.
The Complaint was served on Defendant Central Minnesota Sawing LLC,
(“Central Minnesota Sawing”) on November 14, 2017. (Court Docket No. 4)
3.
Central Minnesota Sawing failed to file an Answer with the Clerk of Court
or serve an appropriate Answer upon the Funds’ counsel, and the time allowed by law
for Central Minnesota Sawing to answer the Complaint lapsed.
4.
The Clerk entered Default on December 7, 2016. (Court Docket Nos. 6-8)
5.
Central Minnesota Sawing was served with this Motion on January 4,
2017 and served with the Amended Notice on February 8, 2017. (Court Docket No. 15,
17)
6.
Plaintiffs are Trustees and fiduciaries of the Minnesota Laborers Health
and Welfare Fund, the Minnesota Laborers Pension Fund, the Minnesota Laborers
Vacation Fund, the Construction Laborers Education, Training, and Apprenticeship
Fund of Minnesota and North Dakota, and the Minnesota Laborers Employers
Cooperation and Education Trust (“the Funds”).
7.
The Funds are multi-employer, jointly-trusteed fringe benefit plans created
and maintained pursuant to Section 302(c)(5) of the Labor Management Relations Act
of 1947 (“LMRA”), as amended 29 U.S.C. § 186(c)(5).
8.
The Funds are administered in accordance with the provisions of the
Employee Retirement Income Security Act of 1974, as amended 29 U.S.C. § 1001, et
seq. (“ERISA”).
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9.
The Funds are exempt from federal taxation pursuant to the Internal
Revenue Code.
10.
Central Minnesota Sawing accepted and agreed to be bound to the terms
of a collective bargaining agreement negotiated between the Highway Railroad and
Heavy Construction Division of the Associated General Contractors of Minnesota and
the Laborers District Council of Minnesota and North Dakota on behalf of its affiliated
local Unions covering the period of May 5, 2014 through April 30, 2017 (“CBA”).
11.
The CBA requires Central Minnesota Sawing to submit contributions to
the Funds in an amount per hour specified in the CBA for each hour worked by its
employees covered by the CBA.
12.
The CBA requires Central Minnesota Sawing to set forth the amount due
and owing for contributions on a remittance report form to be submitted to the Funds
with its monthly payment.
13.
The CBA requires Central Minnesota Sawing to submit the remittance
report and payment to the Funds by the fifteenth day of the following month for which
the contributions are due. Any employer whose remittance reports and contributions
are not postmarked on or before the fifteenth is considered delinquent.
14.
Central Minnesota Sawing breached the terms of the CBA by failing to
timely submit the remittance reports and contributions due and owing for the period of
April 2016 through July 2016 (“Delinquency Period”).
15.
Following the filing of this lawsuit, Central Minnesota Sawing untimely
submitted its remittance reports for the Delinquency Period. Pursuant to the reports
untimely submitted, $25,241.51 is due and owing for unpaid contributions.
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16.
Central Minnesota Sawing submitted a partial payment in the amount of
$20,254.59 for which it is entitled to a credit. After application of the credit, $4,986.92
remains due and owing for unpaid contributions for the Delinquency Period.
17.
The CBA provides that if a payment for contributions is not submitted to
the Funds on or before the fifteenth day of the month following the month for which the
contributions are due, the employer is subject to a penalty in the amount of ten percent
of the contributions as liquidated damages.
18.
Liquidated damages in the amount of $2,524.15 are due and owing for
the Delinquency Period.
19.
The CBA further provide that a delinquent employer shall be required to
pay all reasonable attorneys’ fees and court costs incurred by the Funds.
20.
The CBA further provides that a delinquent employer shall be required to
pay all reasonable attorneys’ fees and court costs incurred by the Funds.
21.
The Funds incurred reasonable attorneys’ fees and costs in pursuing this
delinquency in the amount of $1,670.30.
CONCLUSIONS OF LAW
1.
Central Minnesota Sawing is in default and the Funds are entitled to entry of
judgment.
2.
Central Minnesota Sawing is liable to the Funds in the amount of $4,986.92
for unpaid contributions for the Delinquency Period.
3.
Central Minnesota Sawing is liable to the Funds in the amount of $2,524.15
for liquidated damages for the Delinquency Period.
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4.
Central Minnesota Sawing is liable to the Funds in the amount of $1,670.30
for attorneys’ fees and costs.
ORDER
IT IS ORDERED:
1.
That Plaintiffs’ Motion for Entry of Judgment is granted.
2.
That judgment in the amount of $9,181.37 be entered against Central
Minnesota Sawing LLC and in favor of Plaintiffs.
LET JUDGMENT BE ENTERED ACCORDINGLY.
Dated: April 13, 2017
BY THE COURT:
s/ Michael J. Davis
The Honorable Michael J. Davis
United States District Court Judge
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