Longwood Investment Co., Inc.

138 DECISIONS OF NATIONAL LABOR RELATIONS BOARD Longwood Investment Co., Inc. and The Government Service Employees Union, Local 536 of the Building Service Employees International Union , AFL-CIO, Petitioner. Case 5-RC-5817 May 31,1967 DECISION AND DIRECTION OF ELECTION BY MEMBERS FANNING, JENKINS, AND ZAGORIA Upon a petition duly filed under Section 9(c) of the National Labor Relations Act, as amended, a hearing was held before Hearing Officer M. Louise Felton, on January 5, 1967. The Hearing Officer's rulings made at the hearing are free from prejudicial error and are hereby affirmed. Thereafter, the Employer filed a brief with the National Labor Relations Board. Pursuant to the provisions of Section 3(b) of the National Labor Relations Act, as amended, the National Labor Relations Board has delegated its powers in connection with this case to a three- member panel. 1. The Employer, Longwood Investment Co., Inc., a Maryland corporation, herein called Longwood, is engaged in the business of owning and operating the Medical Arts Building located at 101 W. Read Street, Baltimore , Maryland. The building is occupied generally by doctors and dentists although several dental and medical laboratories are located there. The Medical Arts Pharmacy, Inc., is located on the main floor. Gross receipts of Longwood for the fiscal year ending September 30, 1966, amounted to approximately $300,000. Of this amount $10,000 was received in rent from the pharmacy (which had gross receipts of $169,000 for the calendar year 1965). The parking garage is leased to Haar-win Parking Company from which Longwood received $20,000 last year in rent. S.L. Hammerman Organization, Inc., herein called Hammerman,' is the rental agent for the Medical Arts Building and is engaged in property management , mortgage banking, and real estate investments . Both Employers stipulate that Hammerman is engaged in interstate commerce, receiving gross receipts in excess of $50,000 from companies outside the State of Maryland.2 Nevertheless the Employers contend that the Board should not assert jurisdiction herein on the grounds ' Hammerman was served with a notice of hearing and participated in the proceedings. 2 The stipulation was signed by Herman Hammerman, secretary of Longwood , and Herman Hammerman , also, as vice president of Hammerman. 3 S L Hammerman Organization , Inc , maintains its offices at 10 Light Street, Baltimore , Maryland 4 The shareholders of Longwood are the trustees (not identified in the record) of the S Lawrence Hammerman Il, Trust, Amy Sue Hammerman , Trust , Mark Hammerman, Trust, and landye Hammerman, Trust The above-named are the minor children of that Longwood is a separate business operation entirely independent of Hammerman and standing by itself does not meet the Board's applicable jurisdictional standard for office buildings, requiring gross yearly revenue of at least $100,000, of which at least $25,000 must be derived from organizations which meet the Board's jurisdictional standards. The record herein shows that Longwood's offices are located in the Medical Arts Building and their books and records are kept there. Hammerman's offices are not located in the building but, at the time of the hearing there was a sign in front which read, "S.L. Hammerman Organization, Inc., Manage- ment." 3 Hammerman and Longwood have common officers.' Eney, the building superintendent for Longwood, when asked by whom he was hired, replied that "as far as he knew" he was hired by S.L. Hammerman. The record shows that at the time Longwood purchased the Medical Arts Building, it entered into a contract with Hammerman. The contract was signed by I.H. Hammerman II, on behalf of Longwood, and Herman Hammerman, on behalf of Hammerman. The contract is to be in force until 1971, and is then automatically renewable for a 10- year term, and for succeeding 10-year terms, unless either party exercises its option to terminate the agreement by giving a written 60-day notice at the end of the initial or succeeding 10-year terms. Under the contract, Hammerman is given the exclusive agency for managing the building and is responsible for performing advertising, rental, collections, and purchasing functions, as well as for hiring, discharging, directing, and supervising the work of employees. As consideration for discharging these responsibilities and for services rendered by Hammerman to Longwood in connection with Longwood's purchase of the building, the contract provides for the payment of $20,000 plus 5 percent of Longwood's annual gross income. Herman Hammerman testified that he discharges Hammerman's responsibilities under the contract. Though he testified that not all of the provisions of the contract are being followed by Hammerman, he conceded that Hammerman continues to receive the consideration provided for in the contract. Moreover, he also conceded that although Eney has been given responsibility for day-to-day supervision of the working force and management of the building, he, Herman Hammerman, has the ultimate I H Hammerman 11, who is president of Longwood The children's grandmother, Esther Hammerman, is vice president The shareholders of Hammerman are I H Hammerman II and Esther Hammerman The corporate officers of the two companies are as follows Longwood Investment Co , Inc., I H Hammerman II, president, Esther Hammerman, vice president-treasurer, and Herman Hammerman , secretary, and S L. Hammerman Organization , Inc , I H. Hammerman II, president , Herman Hammerman , vice president, and Esther Hammerman, secretary- treasurer 165 NLRB No. 18 LONGWOOD INVESTMENT CO. responsibility for these functions, and that Eney consults him about various matters including proposed wage increases. Eney also performs the rental agent duties which Hammerman contracted to perform. Herman Hammerman admitted that if Eney goes "haywire," he steps in. As the foregoing demonstrates: Longwood and Hammerman have common officers; Longwood is operated for the beneficial interest of the minor children and grandchildren of the controlling owners and managers of Hammerman; Hammerman has contracted to manage and operate the Medical Arts Building, and to supervise and direct Longwood's working force; Hammerman receives the payments specified in the contract for performing such services; and Herman Hammerman admittedly exercises ultimate control over Eney's day-to-day responsibilities in discharging Hammerman's contractual responsibilities. In view of the foregoing, we find, contrary to the Employer, that under the management contract Hammerman is sufficiently involved in the management and operation of the Medical Arts Building, including the supervision and direction of Longwood's working force, to justify treating the two enterprises as joint employers of the employees involved herein.5 Accordingly, since we find that Longwood and Hammerman are joint employers of Longwood's employees, and, on the 5 See Anderson-Rooney Operating Company, 134 NLRB 1480, 1485 6 Hammerman engages in the mortgage banking business, the management of real estate , and in real estate investment In view of its banking operations , we find that the standards governing nonretail operations set forth in Stemons Mailing Service, 122 NLRB 81, apply to Hammerman's operations. r An election eligibility list, containing the names and addresses of all the eligible voters, must be filed by the Employer 139 basis of the record stipulation, that Hammerman is engaged in interstate commerce, and that it annually receives revenues in excess of $50,000 from companies outside the State of Maryland, we find that it will effectuate the policies of the Act to assert jurisdiction herein.6 2. The Petitioner is a labor organization, claiming to represent certain employees of the Employer. 3. A question affecting commerce exists concerning the representation of certain employees of the Employer within the meaning of Section 9(c)(1) and Section 2(6) and (7) of the Act. 4. We find that the following employees of the Employer, as stipulated by the parties at the hearing, constitute a unit appropriate for the purposes of collective bargaining within the meaning of Section 9(b) of the Act: All doormen, elevator operators, porters, charwomen, painters, and maintenance employees employed by the Employer at the Medical Arts Building, 101 W. Read Street, Baltimore, Maryland, but excluding licensed engineers, telephone operators, office clerical employees, watchmen and guards, professional employees, night forelady, and other supervisors as defined in the Act. [Text of Direction of Election' omitted from publication.] with the Regional Director for Region 5 within 7 days after the date of this Decision and Direction of Election The Regional Director shall make the list available to all parties to the election. No extension of time to file this list shall be granted by the Regional Director except in extraordinary circumstances Failure to comply with this requirement shall be grounds for setting aside the election whenever proper objections are filed Excelsior Underwear Inc, 156 NLRB 1236