Custom Mfg., Co.

CUSTOM MFG. CO. Custom Manufacturing Company (Successor to Zion Industries, Inc. - Curtain and Drapery Division); Bobbe Drapery Products Co., Inc.; Concepts in Drapery Design, Inc.; and their agents Frank Florence and Roberta Florence and The Interna- tional Chemical Workers Union, Local 665. Cases 13-CA-13630, 13-CA-13796, and 13-CA-13998 July 7, 1977 SUPPLEMENTAL DECISION AND ORDER BY MEMBERS JENKINS, PENELLO, AND MURPHY On October 14, 1975, the National Labor Relations Board issued its Decision and Order in the above- entitled proceeding' in which it directed, inter alia, that Custom Manufacturing Company (Successor to Zion Industries, Inc. - Curtain and Drapery Divi- sion); Bobbe Drapery Products Co., Inc.; Concepts in Drapery Design, Inc.; and their agents Frank Florence and Roberta Florence, herein called the Respondents, make whole certain employees and the pension and insurance funds of The International Chemical Workers Union, Local 665, herein called the Union, for losses resulting from the Respondents' unfair labor practices in violation of Section 8(a)(1), (3), and (5) of the National Labor Relations Act, as amended. On August 23, 1976, the United States Court of Appeals for the Seventh Circuit enforced in full the backpay provisions of the Board's Order. A controversary having arisen over the amounts of backpay due under the terms of the Order, the Regional Director for Region 13 issued backpay specifications and notice of hearing setting forth allegations with respect to the amounts of backpay due. The Respondents failed to file an answer to the specifications. On April 6, 1977, counsel for the General Counsel filed directly with the Board a Motion to Transfer Proceeding to the Board and Motion for Summary Judgment. Subsequently, on April 20, 1977, the Board issued an order transferring the proceeding to the Board and a Notice To Show Cause why the General Counsel's Motion for Summary Judgment should not be granted. Respondents have not filed a response to Notice To Show Cause and therefore the allegations of the Motion for Summary Judgment stand uncontroverted. Pursuant to the provisions of Section 3(b) of the National Labor Relations Act, as amended, the National Labor Relations Board has delegated its authority in this proceeding to a three-member panel. Upon the entire record in this proceeding, the Board makes the following: Ruling on the Motion for Summary Judgment Section 102.54 of the Board's Rules and Regula- tions, Series 8, as amended, provides in pertinent part: (a) . . . The respondent shall, within 15 days from the service of the specification, if any, file an answer thereto .... (c) . . . If the respondent fails to file any answer to the specification within the time prescribed by this section, the Board may, either with or without taking evidence in support of the allegations of the specification and without notice to the respondent, find the specification to be true and enter such order as may be appropriate .... The backpay specifications duly served on Respon- dents on February 18, 1977, by registered mail specifically state that, pursuant to Section 102.54 of the Board's Rules and Regulations, the Respondents shall file an answer with the Regional Director and to the extent that such answer fails to deny the allegations of the specifications in the manner required under the Board's Rules and Regulations, and the failure to do so is not adequately explained, such allegations shall be deemed to be admitted to be true, and the Respondents shall be precluded from introducing any evidence controverting them. Ac- cording to the uncontroverted allegations of the Motion for Summary Judgment, on February 18, 1977, Respondents' counsel's law firm advised that it no longer represented the Respondents. Thereafter, on March 18, 1977, counsel for the General Counsel telegraphically advised Respondents' agents, Frank and Roberta Florence, that the answer was due March 8, 1977, and that the failure to file an answer immediately would necessitate the filing of a Motion for Summary Judgment. On March 23, 1977, the Florences were personally served with a letter from counsel for the General Counsel advising them again that a Motion for Summary Judgment would be filed unless an answer was filed immediately. As of April 6, 1977, the date of the Motion for Summary Judgment, Respondents have not filed an answer to the specifications, nor have they filed a response to the Notice To Show Cause. Since Respondents have not filed an answer to the specifications and have not offered an explanation for their failure to do so, in accordance with the rules set forth above, the allegations of the specifications are deemed admitted and are found to be true by the I 220NLRB 1256. 230 NLRB No. 108 691 DECISIONS OF NATIONAL LABOR RELATIONS BOARD Board without taking evidence in support of said allegations. Accordingly, on the basis of the allegations of the specifications herein found to be true, the Board finds the facts as set forth therein and concludes that the net backpay due the discriminatees, Letha Baxter, Lorraine Burns, Janina Duklas, Daisy Gabri- el, Opal Garrison, Zereda Houston, Lottie Johnson, Vivian Michael, Irene Morris, and Betty Pruett, and the amounts of payments and contributions due and owing to the pension plan as amended in the collective-bargaining agreement with The Interna- tional Chemical Workers Union, Local 665, are as stated in the computations of the specifications and orders the payment thereof jointly and severally by Respondents to the discriminatees and to the pension plan. ORDER Pursuant to Section 10(c) of the National Labor Relations Act, as amended, the National Labor Relations Board hereby orders that the Respondents, Custom Manufacturing Company (Successor to Zion Industries, Inc. - Curtain and Drapery Division); Bobbe Drapery Products Co., Inc.; Concepts in Drapery Design, Inc.; and their agents Frank Florence and Roberta Florence, make whole the discriminatees named below, by payment to them of the amount following their names and by payment to the pension plan of The International Chemical Workers Union, Local 665, the amount following its name, plus interest accrued at the rate of 6 percent per annum to be computed in the manner set forth in Isis Plumbing & Heating Co., 136 NLRB 716 (1962), until payment of all backpay due is made, less Federal and state tax withholdings: Letha Baxter Lorraine Burns Janina Duklas Daisy Gabriel Opal Garrison Zereda Houston Lottie Johnson Vivina Michael Irene Morris Betty Pruett International Chemical Workers Union, Local 665, pension plan $3,480.00 2,893.20 3,600.00 3,480.00 3,360.00 2,600.00 50.00 3,232.50 150.00 3,056.40 9,887.80 $35,791.90 692