Source: s3://data.kl3m.ai/documents/govinfo/USCOURTS/USCOURTS-azd-2_09-cv-00638/USCOURTS-azd-2_09-cv-00638-1/pdf.json

Nature of Suit Code: 791
Nature of Suit: Employee Retirement Income Security Act (ERISA)
Cause of Action: 29:1145 E.R.I.S.A.

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WO

IN THE UNITED STATES DISTRICT COURT

FOR THE DISTRICT OF ARIZONA

Dean Wine and Debra Margraf, trustees

of the Plaintiff Taft-Hartley trust funds;

IBEW Local Union No. 640 and Arizona

Chapter NECA Health & Welfare Fund;

IBEW Local Union No. 640 and Arizona

Chapter NECA Pension Fund; National

Electrical Benefit Fund; Phoenix

Electrical Industry Joint Apprenticeship

and Training Committee; and NECAIBEW National Labor-Management

Cooperative Fund, Taft-Hartley trusts,

Plaintiffs,

vs.

Winifred Electric, Inc., an Arizona

corporation,

Defendant.

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No. CV-09-638-PHX-DGC

ORDER AND DEFAULT JUDGMENT

Plaintiff IBEW Local Union No. 640 (“Union No. 640”) is a labor organization within

the meaning of federal labor laws. The Taft-Hartley trust fund Plaintiffs (“Trust Funds”) are

designated payees of certain employee benefit contributions required to be made by each

employer signatory to a collective bargaining agreement (“CBA”) with Union No. 640. The

Trust Funds were established pursuant to an agreement and declaration of trust which is

incorporated by reference into the CBA. Plaintiffs Dean Wine and Debra Margraf are dulyappointed trustees for the Trust Funds. Defendant Winifred Electric, Inc., transacts business

in Arizona as a construction contractor and is a signatory to the CBA.

Case 2:09-cv-00638-DGC Document 10 Filed 07/02/09 Page 1 of 3
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Plaintiffs filed a complaint against Defendant on March 31, 2009, asserting

various federal law claims brought to enforce the terms of the CBA. The complaint alleges

that Defendant is bound by the terms of the CBA, that the CBA requires Defendant to pay

fringe benefit contributions to the Trust Funds based on the number of hours an employee

of Defendant has worked, that Defendant has failed to honor its obligation to pay

contributions for the period of November 1, 2006 through March 31, 2007, and that

Defendant owes certain sums for the unpaid contributions and liquidated damages as

provided in the CBA. The complaint asserts claims under the Labor Management Relations

Act, 29 U.S.C. 185 (“LMRA”), and the Employee Retirement Income Security Act, 29

U.S.C. § 1132 (“ERISA”). Plaintiffs seek compensatory and liquidated damages and an

award of attorney fees and costs. Dkt. #1.

Plaintiffs have filed a motion for default judgment pursuant to Rule 55 of the Federal

Rules of Civil Procedure. Dkt. #9. No response has been filed, and the time for doing so has

expired. See LRCiv 7.2(c); Fed. R. Civ. P. 6(a). For reasons that follow, the Court will grant

the motion.

Because Defendant’s default has been properly entered under Rule 55(a) (see Dkt.

##4-6), the Court has discretion to grant default judgment against Defendant pursuant to

Rule 55(b). See Aldabe v. Aldabe, 616 F.2d 1089, 1092 (9th Cir. 1980); Draper v. Coombs,

792 F.2d 915, 924 (9th Cir. 1986). Factors the Court should consider in deciding whether

to grant default judgment include the possibility of prejudice to Plaintiffs, the merits of the

claims, the sufficiency of the complaint, the amount of money at stake, the possibility of a

dispute concerning material facts, whether default was due to excusable neglect, and the

policy favoring a decision on the merits. See Eitel v. McCool, 782 F.2d 1470, 1471-72

(9th Cir. 1986).

Having considered Plaintiffs’ motion, which addresses each Eitel factor (see Dkt. #9),

and having reviewed the supporting evidence (Dkt. #9-2) and the well-pled factual

allegations of the complaint (Dkt. #1), the Court concludes that the requested default

judgment (Dkt. #9-3) is appropriate. See Wine v. SCH Elec., L.L.C., No. CV-08-0874-PHXCase 2:09-cv-00638-DGC Document 10 Filed 07/02/09 Page 2 of 3
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LOA, 2008 WL 4073853 (D. Ariz. Aug. 28, 2008) (granting default judgment against

employer on LMRA and ERISA claims for its failure to make fringe benefit contributions

to trust funds as required by collective bargaining agreement).

IT IS ORDERED AND ADJUDGED:

1. Plaintiffs’ motion for default judgment (Dkt. #9) is granted. Default judgment

is entered in favor of Plaintiffs and against Defendant on the LMRA and

ERISA claims asserted in the complaint (Dkt. #1).

2. Plaintiff IBEW Local Union No. 640 and Arizona Chapter NECA Health &

Welfare Fund is awarded $9,717.50 for unpaid contributions and $1,026.38 for

liquidated damages.

3. Plaintiff IBEW Local Union No. 640 and Arizona Chapter NECA Pension

Fund is awarded $8,005.10 for unpaid contributions and $837.62 for liquidated

damages.

4. Plaintiff National Electrical Benefit Fund is awarded $2,291.01 for unpaid

contributions and $229.10 for liquidated damages.

5. Plaintiff Phoenix Electrical Industry Joint Apprenticeship and Training

Committee is awarded $782.52 for unpaid contributions and $81.77 for

liquidated damages.

6. Plaintiff NECA-IBEW National Labor-Management Cooperative Fund is

awarded $35.06 for unpaid contributions and $3.50 for liquidated damages.

7. Plaintiffs are awarded $650.00 for attorney fees and $350.00 for costs.

8. The Clerk is directed to terminate this action.

DATED this 2nd day of July, 2009.

Case 2:09-cv-00638-DGC Document 10 Filed 07/02/09 Page 3 of 3