Advocates for Labor and Progressive Institutions

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District of Alaska rejects employer’s claim for union indemnification for withdrawal liability

April 3, 2020

The United States District Court for the District of Alaska rejected Chicago Bridge & Iron Company’s claim to indemnification for withdrawal liability under the terms of a multi-union collective-bargaining agreement it had negotiated with the International Brotherhood of Electrical Workers Local 1547 and the Fairbanks Joint Crafts Council, as well as several other unions.

The Court granted the defendants summary judgment, reasoning that the plain language of the contract precluded such a claim and that the extrinsic evidence was entirely consistent with the plain reading of the provision. Bredhoff & Kaiser represented Local 1547. Chicago Bridge & Iron Co. v. Fairbanks Joint Crafts Council, Case No. 3:18-cv-00100-SLG, 2020 WL 1660066 (D. Alaska Apr. 3, 2020).