Source: s3://data.kl3m.ai/documents/govinfo/USCOURTS/USCOURTS-cand-3_07-cv-02194/USCOURTS-cand-3_07-cv-02194-1/pdf.json

Nature of Suit Code: 791
Nature of Suit: Employee Retirement Income Security Act (ERISA)
Cause of Action: 29:1002 E.R.I.S.A.: Employee Retirement

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JUDGMENT PURSUANT TO STIPULATION 

Case No.: C07-2194 CRB 

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Muriel B. Kaplan, Esq. (SBN 124607) 

Michele R. Stafford, Esq. (SBN 172509) 

SALTZMAN & JOHNSON LAW CORPORATION 

120 Howard Street, Suite 520 

San Francisco, CA 94105 

(415) 882-7900 

(415) 882-9287 – Facsimile 

mkaplan@sjlawcorp.com 

mstafford@sjlawcorp.com 

Attorneys for Plaintiffs 

UNITED STATES DISTRICT COURT 

FOR THE NORTHERN DISTRICT OF CALIFORNIA 

GIL CROSTHWAITE, RUSS BURNS, in their 

respective capacities as Trustees of the 

OPERATING ENGINEERS HEALTH AND 

WELFARE TRUST FUND FOR NORTHERN 

CALIFORNIA, et al., 

Plaintiffs, 

v. 

EAST BAY ROCK CORPORATION, a 

California corporation and THOMAS A. 

CHASM, individually, 

Defendants. 

Case No.: 07-2194 CRB 

JUDGMENT PURSUANT TO 

STIPULATION 

 

IT IS HEREBY STIPULATED by and between the parties hereto, that Judgment may be 

entered in the within action in favor of the plaintiffs and against defendants EAST BAY ROCK 

CORPORATION, a California corporation and THOMAS A. CHASM, individually as follows: 

 1. Defendants entered into a valid collective bargaining agreement with the Operating 

Engineers Local 3 (hereinafter "Bargaining Agreement"). This Bargaining Agreement has 

continued in full force and effect to the present time. 

 2. Defendants have become indebted to the Trust Funds for amounts due and owing 

under the terms of the Collective Bargaining Agreement and Trust Agreements for the period 

Case 3:07-cv-02194-CRB Document 32 Filed 01/02/08 Page 1 of 6
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JUDGMENT PURSUANT TO STIPULATION 

Case No.: C07-2194 CRB 

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June, 2006 through November, 2007, but have failed to provide the necessary reports which define 

the amounts actually due to Plaintiffs. 

 3. Defendants have nevertheless provided payment totaling $50,000.00 on account of 

their debt. Defendants shall provide an additional $25,000.00 upon entering this Stipulation, and 

together with remaining weekly records of work performed by their employees for the period 

stated above. Defendant shall thereafter pay $75,000.00 on or before January 18, 2008. Until 

such time as the amounts actually due are determined by Plaintiffs' auditors review of Defendants' 

records, Defendants shall pay $20,000.00 per month as follows: 

 (a) Beginning on February 18, 2008, but thereafter on or before the 18th of 

each month, payment shall be made to Plaintiffs until all amounts determined due are paid. 

 (b) Defendants shall have the right to increase the monthly payments at any 

time, which can be made by joint check, if endorsed by Defendants prior to timely submission to 

Plaintiffs. 

 (c) Payments shall be applied first to unpaid interest at the rate of 12% per 

annum on the unpaid principal balance and liquidated damages, in accordance with the Collective 

Bargaining Agreement and plaintiffs' Trust Agreements. 

 (d) Payments shall be made to the “Operating Engineers Trust Funds”, and 

delivered to Michele R. Stafford, Saltzman & Johnson Law Corporation, 120 Howard Street, Suite 

520, San Francisco, CA 94105 on or before the 18th of January 2008 and on or before the 

18th of each month as stated above, or to such other address as may be specified by plaintiffs. 

In the event that any check is not timely submitted or submitted by defendants but fails to clear 

the bank, or is unable to be negotiated for any reason, this shall be considered to be a default on 

the Judgment entered. In that event, plaintiffs shall make a written demand to defendants to cure 

said default. Default will only be cured by the issuance of a replacement, cashier’s check, 

Case 3:07-cv-02194-CRB Document 32 Filed 01/02/08 Page 2 of 6
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JUDGMENT PURSUANT TO STIPULATION 

Case No.: C07-2194 CRB 

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delivered to Saltzman and Johnson Law Corporation within seven (7) days of the date of the 

notice from plaintiffs. If defendants elect to cure said default, and plaintiffs elect to accept future 

payments, all such payments shall be made by cashier’s check if the default was caused by a failed 

check. In the event default is not cured, all amounts remaining due hereunder shall be due and 

payable on demand by plaintiffs. 

 (e) Plaintiffs shall conditionally waive liquidated damages accrued by these 

delinquencies, conditioned on full and timely satisfaction of the amounts due hereunder. 

 4. Beginning with contributions due for hours worked by defendants’ employees 

during the month of December, 2007, due on January 15, 2008 and delinquent if not received by 

January 25, 2008 and for every month thereafter until this judgment is satisfied, defendants shall 

remain current in contributions due to plaintiffs under the current Collective Bargaining 

Agreement and under all subsequent collective bargaining agreements, if any, and the Declarations 

of Trust as amended. Defendants shall fax a copy of the contribution report for each month, 

together with a copy of that payment check, to Michele R. Stafford at 415-882-9287, prior to 

sending the payment to the Trust Fund office so that timely compliance can be confirmed. 

Failure by defendants to remain current in contributions shall constitute a default of the 

obligations under this agreement and the provisions of Paragraph 6 shall apply. Any such unpaid 

or late paid contributions, together with 15% liquidated damages and 12% per annum interest 

accrued on the total contributions and liquidated damages, shall be added to and become a part of 

this Judgment and subject to the terms herein. Plaintiffs reserve all rights available under the 

applicable Bargaining Agreement and Declarations of Trust of the Trust Funds for collection of 

current and future contributions and the provisions of this agreement are in addition thereto. 

 5. Plaintiffs shall advise defendants in writing, of the total amounts owed pursuant to 

this Stipulation, which shall include, but not be limited to, any additional attorneys fees, auditors 

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JUDGMENT PURSUANT TO STIPULATION 

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fees, and costs incurred in this matter. Said amount shall be paid in accordance with the terms 

herein. 

 6. In the event that defendants fail to make any payment required under Paragraph 3 

above, or fail to remain current in any contributions under paragraph 4 above, then, 

 (a) The entire balance of all amounts due plus interest, reduced by principal 

payments received by Plaintiffs, but increased by any unpaid contributions then due, plus 15% 

liquidated damages and 12% per annum interest thereon as provided in above paragraph 4 shall be 

immediately due, together with any additional attorneys’ fees and costs under section (d) below. 

 (b) A writ of execution may be obtained against defendants without further 

notice, in the amount of the unpaid balance, plus any additional amounts under the terms herein, 

upon declaration of a duly authorized representative of the plaintiffs setting forth any payment 

theretofore made by or on behalf of defendant and the balance due and owing as of the date of 

default. Defendants specifically consent to the authority of a Magistrate Judge for all proceedings, 

including, but not limited to, plaintiffs’ obtaining a writ of execution herein. 

 (c) Defendants waive notice of entry of judgment and expressly waive all rights 

to stay of execution and appeal. The declaration or affidavit of a duly authorized representative of 

plaintiffs as to the balance due and owing as of the date of default shall be sufficient to secure the 

issuance of a writ of execution, without further notice to defendants. 

 (d) Defendants shall pay all additional costs and attorneys' fees incurred by 

plaintiffs in connection with collection and allocation of the amounts owed by defendants to 

plaintiffs under this Stipulation. 

 (e) In consideration of the payment terms herein, Gerry Ninnis, principal of 

Defendant East Bay Rock Corporation, hereby personally guarantees payments provided herein, 

and agrees to the personal jurisdiction of this court in this action. 

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JUDGMENT PURSUANT TO STIPULATION 

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 7. Any failure on the part of the plaintiffs to take any action against defendants as 

provided herein in the event of any breach of the provisions of this Stipulation shall not be deemed 

a waiver of any subsequent breach by the defendants of any provisions herein. 

 8. Plaintiffs specifically reserve all rights to bring a subsequent action against 

defendants for the collection of any additional contribution delinquencies found to be due for the 

hours worked during the periods preceding the date of this Stipulation. Defendants specifically 

waive the defense of the doctrine of res judicata in any such action. 

9. In the event of the filing of a bankruptcy petition by either or both of the 

defendants, the parties agree that any payments made by defendants pursuant to the terms of this 

judgment, shall be deemed to have been made in the ordinary course of business as provided under 

11 U.S.C. Section 547(c)(2) and shall not be claimed by defendants as a preference under 11 

U.S.C. Section 547 or otherwise. Defendants nevertheless represent that no bankruptcy filing is 

anticipated. 

10. Should any provision of this Agreement be declared or determined by any court of 

competent jurisdiction to be illegal, invalid, or unenforceable, the legality, validity, and 

enforceability of the remaining parts, terms or provisions shall not be affected thereby and said 

illegal, unenforceable or invalid part, term, or provision shall be deemed not to be part of this 

Agreement. 

 11. Defendants each represent and warrant that they have had the opportunity to be or 

have been represented by counsel of their own choosing in the analysis of this Agreement and the 

terms and conditions set forth herein, that they have read this Agreement with care and are fully 

aware of and understand that they enter into this Agreement voluntarily. 

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JUDGMENT PURSUANT TO STIPULATION 

Case No.: C07-2194 CRB 

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 12. This Agreement may be executed in any number of counterparts and by facsimile, 

each of which shall be deemed an original and all of which shall constitute together one and the 

same instrument. 

Dated: December 26, 2007 EAST BAY ROCK CORPORATION, 

 a California corporation 

 By: ______________/s/_______________ 

 

Dated: December 26, 2007 THOMAS A. CHASM 

 __________________/s/_______________ 

 Individually 

Dated December 26, 2007 GERRY NINNIS 

 _________________/s/_________________ 

 Individually, as Guarantor 

Dated: December 26, 2007 OPERATING ENGINEERS LOCAL 3 TRUST 

FUNDS 

 ________________/s/__________________ 

 Wayne E. McBride, Collections Manager 

Dated: December 26, 2007 SALTZMAN & JOHNSON LAW CORPORATION 

 _________________/s/________________ 

 Muriel B. Kaplan 

 Attorneys for Plaintiffs 

IT IS SO ORDERED. 

Dated: _________________, 2008 _______________________________________ 

 UNITED STATES DISTRICT COURT JUDGE 

January 2

UNITED STATES DISTRICT COURT

NORTHER

CALIFORN

I

A

IT IS SO ORDERED

Judge Charles R. Breyer

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