Trustees of Empire State Carpenters Annuity, Apprenticeship, Labor-Management Cooperation, Pension and Welfare Funds v. Archetype Construction Corp.

Filing 16

MEMORANDUM & ORDER ADOPTING REPORT AND RECOMMENDATION; Judge Brown's R&R is ADOPTED as set forth below, Plaintiffs' motion for default is GRANTED, and the arbitrator's award is CONFIRMED with modification. Accordingly, the Court holds as follows: (1) Plaintiffs are awarded $385,240.21 plus interest in the amount of.75%, compounding monthly, from the date of the arbitration award through the date of final judgment; and (2) Plaintiffs are awarded $2,402.21 in costs and attorney's fees. The Clerk of the Court is directed to enter a Judgment consistent with this Memorandum and Order and to mark this matter CLOSED. So Ordered by Judge Joanna Seybert on 9/16/2014. C/ECF (Valle, Christine)

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UNITED STATES DISTRICT COURT EASTERN DISTRICT OF NEW YORK ------------------------------------X TRUSTEES OF EMPIRE STATE CARPENTERS ANNUITY, APPRENTICESHIP, LABORMANAGEMENT COOPERATION, PENSION AND WELFARE FUNDS, Plaintiffs, MEMORANDUM & ORDER 13-CV-1877(JS)(GRB) -againstARCHETYPE CONSTRUCTION CORP., Defendant. ------------------------------------X APPEARANCES For Plaintiffs: Charles R. Virginia, Esq. Richard B. Epstein, Esq. Elina Turetskaya, Esq. Virginia & Ambinder LLP 40 Broad Street, 7th Floor New York, NY 10004 For Defendant: No appearances. SEYBERT, District Judge: Currently pending before the Court is a motion for default judgment filed by plaintiffs Trustees of Empire State Carpenters Annuity, Cooperation, Magistrate Pension Judge Apprenticeship, Labor-Management and Gary Welfare Funds (“Plaintiffs”) R. Brown’s Report and (“R&R”) addressing the motion. and Recommendation For the following reasons, the Court ADOPTS this R&R, with one modification. BACKGROUND Plaintiffs against defendant commenced Archetype this action Construction on Corp. April 4, 2013 (“Defendant”) pursuant to Section 502(a)(3) of the Employee Retirement Income Security Act of 1974 (“ERISA”), as amended, 29 U.S.C. § 1132(a)(3); Section 301 of the Labor Management Relations Act of 1947 (“LMRA”), as amended, 29 U.S.C. § 185; and Section 9 of the Federal Arbitration Act, 9 U.S.C. § 9 to confirm and enforce an arbitration bargaining award agreement ordering (“CBA”) compliance between the with a collective Northeast Regional Council of Carpenters (the “Union”) and Defendant. Plaintiffs requested a certificate of default on January 20, 2014 (Docket Entry 6), which was entered by the Clerk of the Court the following day (Docket Entry 7). On January 22, 2014, Plaintiffs moved for default (Docket Entry 8), and, on January 24, 2014, the Court referred Plaintiffs’ motion to Judge Brown (Docket Entry 10). On August 18, 2014, Judge Brown issued his R&R. In it, he makes the following recommendations that: (1) the Court grant Plaintiffs’ motion and confirm the arbitrator’s award; (2) the Court $283,668.70 interest, award in Plaintiffs outstanding $56,733.74 in $388,384.29 contributions, liquidated (consisting of $36,956.52 in damages, $250.00 in attorney’s fees, $6,881.25 in audit costs, and $750.00 for the arbitrator’s fee) plus interest from the date of the arbitration through the date of judgment; and (3) the Court award Plaintiffs $2,402.21 in costs and attorneys’ fees. 2 DISCUSSION In reviewing an R&R, a district court “may accept, reject, or modify, recommendations made § 636(b)(1)(C). in whole by the or in part, magistrate the findings judge.” 28 or U.S.C. If no timely objections have been made, the “court need only satisfy itself that there is no clear error on the face of the record.” 606, 609-10 (S.D.N.Y. Urena v. New York, 160 F. Supp. 2d 2001) (internal quotation marks and citation omitted). Here, no party objected to Judge Brown’s R&R. The Court finds his R&R to be correct, comprehensive, well-reasoned and free of any clear error with one exception. Judge Brown’s calculation of $388,384.29 is based upon the arbitrator’s award, which determined that Plaintiffs are entitled to $283,668.70 in outstanding contributions, $36,956.52 in interest, $56,733.74 in liquidated damages, $250.00 in attorney’s fees, audit costs, and $750.00 for the arbitrator’s fees. $6,881.25 in Indeed, the arbitrator itemized each of these figures, and then held the aggregate to be $388,384.29. Ex. C.) (Turetskaya Decl., Docket Entry 9, However, addition of each of these figures comes to $385,240.21, not $388,384.29. Courts have modified awards in similar circumstances where there is an evident material miscalculation of figures on the face of the arbitrator’s award. 3 See Trs. of the Empire State Carpenters Annuity, Apprenticeship, Labor Mgmt. Cooperation, Pension & Welfare Funds v. Lynnview Constr. Corp., No. 12-CV-5644, 2013 WL 4852312, at *9 (E.D.N.Y. Sept. 10, 2013) (citations omitted); Trs. of Empire State Carpenters Annuity, Apprenticeship, Labor Mgmt. Cooperation, Pension & Welfare Funds v. The Flooring Experts, Inc., No. 12-CV-6317, 2013 WL 4042357, at *7 (E.D.N.Y. Aug. 8, 2013) (citations omitted), adopted by 2013 WL 4761151 (E.D.N.Y. Sept. 3, 2013); Trs. of the Bldg. Trades Annuity Fund, Educ. Fund, Welfare Fund & the United Serv. Workers Sec. Fund v. Prof’l Plumbing of Staten Island Corp., No. 09-CV-3812, 2010 WL 6230530, at *6 (E.D.N.Y. Nov. 17, 2010), adopted by 2011 WL 1046856 (E.D.N.Y. Mar. 17, 2011); see also 9 U.S.C. § 11. This Court will do the same. Accordingly, the Court ADOPTS Judge Brown’s R&R with the exception that the $385,240.21 figure, not $388,384.29, applies. CONCLUSION Judge Brown’s R&R is ADOPTED as set forth below, Plaintiffs’ motion for default is GRANTED, and the arbitrator’s award is CONFIRMED with modification. Accordingly, the Court holds as follows: (1) Plaintiffs are awarded $385,240.21 plus interest in the amount of .75%, compounding monthly, from the date of the arbitration award through the date of final judgment; and 4 (2) Plaintiffs are awarded $2,402.21 in costs and attorney’s fees. The Clerk of the Court is directed to enter a Judgment consistent with this Memorandum and Order and to mark matter CLOSED. SO ORDERED. /s/ JOANNA SEYBERT______ Joanna Seybert, U.S.D.J. Dated: September 16 , 2014 Central Islip, NY 5 this

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