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Friday, November 21, 2008

A collective bargaining agreement can shorten the statute of limitations for bringing a breach of contract action set by law

A collective bargaining agreement can shorten the statute of limitations for bringing a breach of contract action set by law
Sheriff Officers Assn. Inc. v County of Nassau, 2008 NY Slip Op 52288(U), decided on October 7, 2008, Supreme Court, Nassau County, Justice Edward W. McCarty [Not selected for publication in the Official Reports]

The Sheriff Officers Association, representing correction officers employed by the Nassau County Sheriff's Department, filed a grievance on April 1, 2005 alleging that the County had violated overtime provisions set out in Section 23.1 of the collective bargaining agreement because Nassau only paid a shift differential to unit members after they work at least seven hours on a second shift either immediately before or after working the 8:00 a.m. to 4:00 p.m. shift.

Ultimately the matter was submitted to “advisory arbitration.” The arbitrator found that under the terms of the contract, Association's members who work at least four hours on a second shift either immediately before or after working the 8:00 a.m. - 4:00 p.m. shift were entitled to payment of a shift differential for those hours actually worked on the second shift. Nassau County rejected the arbitrator's advisory arbitration award.

The Association then sued, contending that Nassau County “breached and continues to breach Section 23.1 of the Agreement.” It asked the court to an order Nassau to comply with Section 23.1 of the Agreement retroactive to April 2001 and to pay their attorneys' fees and costs.

Justice McCarty ruled that Nassau’s interpretation of Section 23.1 of the Agreement -- that the Association’s members are not entitled to shift differential pay unless they work at least seven hours before or after the 8:00 a.m. to 4:00 p.m. shift -- is unsupported by the plain language of the Agreement when taken as a whole. Further, said the court, Nassau could have modified the language of the Agreement during negotiations to support its position on payment of shift differential, but failed to do so.

Accordingly, the County was, and is, required to pay shift differential to plaintiff's members who work at least four hours immediately before or after the 8:00 a.m. to 4:00 p.m. shift and its failure to make such payments constitutes a breach of the Agreement.

There was another issue to be resolved however: the time period for which damages should be assessed.

Typically an action for breach of contract is governed by a six-year statute of limitations. Here, however, the COB provides that "the President [of the Association] may initiate a grievance... within one (1) calendar year after the occurrence of the event grieved, provided it does not merely affect an individual." This, said Justice McCarty, “effectively shortens the statutory period set forth in CPLR 213(2) of six years, to one year with regard to class action grievances brought by the president of plaintiff union....”

Therefore, the period for which damages may be claimed with respect to this action is from one year prior to the filing of the grievance, that is April 1, 2004, to the present.

The full text of the decision is posted on the Internet at:

http://www.courts.state.ny.us/reporter/3dseries/2008/2008_52288.htm
Permission is granted to readers to copy and distribute items published in NYPPL except those items attributed to another publication or source provided the following statement is included at the end of each item copied or distributed:

Source: Initially published on the Internet in New York Public Personnel Law. Reproduced with permission. Copyright© 2006, 2007, 2008, 2009 by the Public Employment Law Press.