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CHICAGO DIST. CNCL OF CARPENTERS v. MNRCH

November 15, 1984

CHICAGO DISTRICT COUNCIL OF CARPENTERS PENSION FUND, CHICAGO DISTRICT COUNCIL OF CARPENTERS WELFARE FUND AND THE CHICAGO DISTRICT COUNCIL OF CARPENTERS APPRENTICE AND TRAINEE PROGRAM, GEORGE VEST, JR., WESLEY ISAACSON, MILTON HOLZMAN, THOMAS E. RYAN, RICHARD S. PEPPER, ALBERT KAUFMAN, DOMINIC J. VELO AND HERBERT S. CHURCH, JR., AS TRUSTEES OF THE CHICAGO DISTRICT COUNCIL OF CARPENTERS PENSION AND WELFARE FUNDS, RICHARD S. PEPPER, WESLEY ISAACSON, GEORGE VEST, JR., THOMAS D. COLEMAN, JACK BORNH BORNHOEFT, DOMONIC J. VELO, EDWARD ELLIS AND KENNETH BORG, AS TRUSTEES OF THE CHICAGO DISTRICT COUNCIL OF CARPENTERS APPRENTICE AND TRAINEE PROGRAM, PLAINTIFFS,
v.
MONARCH ROOFING COMPANY, INC., DEFENDANT.



The opinion of the court was delivered by: Aspen, District Judge:

FINDINGS OF FACT AND CONCLUSIONS OF LAW

This case having been tried without a jury, the Court has heard testimony and reviewed exhibits received in evidence, arguments of counsel, and legal briefs submitted by the parties. Based on the foregoing, we now make the following findings of fact and conclusions of law pursuant to Fed.R.Civ.P. 52.*fn*

Findings of Fact

1. The Chicago District Council of Carpenters Pension Fund, the Chicago District Council of Carpenters Welfare Fund and the Chicago District Council of Carpenters Apprentice and Trainee Program Fund ("the Trust Funds") provide health and welfare, pension and training benefits to carpenters who work within the territorial jurisdiction of the Chicago District Council of Carpenters and its successor, the Chicago and Northeast Illinois District Council of Carpenters ("the Union").

2. Monarch Roofing Company, Inc. ("Monarch") is an Illinois corporation which at all times material to this action has been engaged in the business of installing hot tar roofing, aluminum siding and asphalt roof shingles. In addition, during the winter months, Monarch also installs walls and insulated ceilings.

3. Emil Trimarco has been the President of Monarch since 1969. Before then, the business was run by Carl Fisher, then President of Monarch.

4. On or about August 4, 1967, Carl Fisher signed a one-page, two-sided Agreement (the "Hard Card") with the Union on behalf of Monarch. Pursuant to the terms on the Hard Card, Monarch agreed to be bound by (1) the Collective Bargaining Agreement ("CBA") entered into by the Union and the Builders Association of Chicago for the period of June, 1967 through May 31, 1972, and (2) the Trust Agreements which created the Trust Funds.

5. On or about September 21, 1973, Emil Trimarco executed a Hard Card Agreement with the Union. Pursuant to this Agreement, Monarch agreed to be bound by the provisions of a CBA entered into by the Union and the Mid-America Regional Bargaining Association ("M.A.R.B.A.") for the period of June 1, 1973 through May 31, 1975, and to the Trust Agreements which created the Trust Funds.*fn1

6. On or about June 11, 1975, Trimarco signed a Hard Card Agreement, again binding Monarch to the CBA entered into by the Union and M.A.R.B.A. and again agreeing to bind Monarch to future CBAs entered into by the Union and M.A.R.B.A.

7. The regular practice of the Union has been to send promptly a copy of the CBA to an employer who signs a Hard Card. There is no evidence that the Union did not follow that procedure with respect to Monarch, but no testimony or other evidence directly shows that the Union did send a copy. Monarch does not now have a copy in its files. However, copies were readily available to Monarch from the Union.

8. Pursuant to the provisions of the CBAs and the Trust Agreements, Monarch must make contributions to the Trust Funds for each hour worked by its carpenter employees at the rate and in the manner specified in the CBA and the Trust Agreements. In addition, the CBA requires Monarch to make contributions to the Trust Funds measured by the hours worked by its subcontractors who are not signatory to a CBA with the Union.

9. Monarch employed seventeen individuals to perform carpentry work during the period of July 1, 1978 through December 31, 1981, or a portion of that period of time. These workers were employed as "trainees" pursuant to a "training program" begun by Carl Fisher and continued by Trimarco. Under this program, after Monarch unilaterally determined that a trainee had developed sufficient skills, Monarch called a Union business agent and told the agent that he had a man who was ready to join the Union. The agent would meet the employee and sign him up as a member of the Union.

10. Monarch made no contributions to the Trust Funds between the period of July 1, 1978 through December 31, 1981, on behalf of the individuals mentioned in Paragraph 9. Section 1.1 of the CBA between the Union and M.A.R.B.A. includes trainees in addition to regular journeymen in the Agreement. In addition, § 1.1 provided that "shinglers" were covered by the Agreement.

11. During the period of July 1978 through December 1981, the CBAs required signatory employers to make contributions to the Chicago District Council of Carpenters Pension Fund at the rate of $1.08 for each hour worked by its employees who performed bargaining unit work.

12. During the period of July 1978 through December 1981, the CBAs required signatory employers to make contributions to the Chicago District Council of Carpenters Welfare Fund at the following rates for each hour worked by its employees who performed bargaining unit work:

                Period                           Hourly Rate
                ------
July 1, 1978 — May 31, 1979                        $.98
June 1, 1979 — May 31, 1980                        1.08
June 1, 1980 — May 31, 1981                        1.23
June 1, 1981 — August 31, 1981         ...

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