Gene Sapper v. Lenco Blade, Inc., a California Corporation

The Master Labor Agreement (MLA) between the International Union of Operating Engineers, Local No. 12, and the Southern California General Contractors Association established four trusts to which employers must make fringe benefit contributions. In 1972, the Labor-Management Adjustment Board (LMA Board), established by the parties to interpret the MLA, adopted a resolution interpreting the MLA as requiring the employer to

(Emphasis added.)

Appellee Lenco Blades, Inc. (Lenco), is a corporation bound by the MLA under a collective bargaining agreement with Local 12. Appellants, trustees of the trusts, assert that Lenco did not make sufficient contributions to the trusts for its employee, Mr. Cuillerier.

In September 1981, the trustees filed their complaint for unpaid fringe benefit contributions pursuant to Section 301 of the Labor Management Relations Act of 1947, 29 U.S.C. § 185 , and Section 502(a)(3) of the Employee Retirement Income Security Act of 1974 (ERISA), 29 U.S.C. § 1132 (a)(3). The parties then brought cross-motions for summary judgment. Both parties requested attorneys’ fees. The district court granted Lenco’s motion for summary judgment and awarded Lenco attorney’s…