DocketNumber: Appeals, 261-263
Citation Numbers: 19 A.2d 588, 144 Pa. Super. 449, 1941 Pa. Super. LEXIS 147
Judges: Keller, Cunningham, Baldrige, Stadteeld, Parker, Rhodes, Hirt
Filed Date: 10/21/1940
Status: Precedential
Modified Date: 11/13/2024
Argued October 21, 1940. Plaintiffs are members of the Musicians Protective Association, Local 77, American Federation of Musicians, an unincorporated association of musicians united for mutual protection through establishment of a minimum scale of prices, the granting of sick and death benefits, and the burial of the dead. The association is a defendant in an equity proceeding brought by plaintiffs wherein they sought injunctive relief against so-called disciplinary measures adopted by defendant association, and damages for loss of employment thereby resulting. After hearing testimony, the chancellor filed an adjudication in favor of plaintiffs. The findings of fact and the conclusions of law made by the chancellor were affirmed by the court in banc, and the decree nisi made final. From the final decree defendants have appealed.
The facts which give a background of the controversy may be summarized from the averments of the amended bill and the answer of the defendant association.
The by-laws of defendant association provide penalties for any deviation from the established scale of prices or any agreement
by a member to rebate a part of his wages paid in accordance with the scale. The by-laws also establish a trial board for hearing of complaints against members, and from the decision of that body an appeal lies to the International Executive Board of the American Federation of Musicians, the national organization of which the defendant association is a local unit functioning in Philadelphia. Such an appeal, however, by article XI of the by-laws of the national organization must be filed by the one appealing within thirty days of receipt of notice of the decision of the trial board. The power of the International Executive Board to hear such appeals is derived from various sections of the by-laws of the national organization, incorporated by reference in the by-laws of defendant association. *Page 452
The executive management of defendant association is reposed in its own executive committee, whose powers and duties are defined in article VII, sections 6 and 8 of its own by-laws.1
Plaintiffs were members of an orchestra engaged to perform at the Carmen Theatre from September 4, 1936, to December 3, 1937, excepting, as to two of the plaintiffs, certain lay-off intervals during the summer of 1937. The engagement was agreed upon between the theatre and defendant association in a writing which did not identify any of the persons to be hired other than as members of defendant association, but set their number as "nine musicians and one contracting-leader," and in considerable detail fixed their hours and wages. It then provided: "The contracting-leader must make his individual contract but such contract must be subject to this trade agreement."
The position of "contracting-leader" referred to in this agreement was from September 4, 1936, to July 8, 1937, filled by one Leon Saporeta, who led the orchestra in which plaintiffs played. In May, 1937, all the members of the orchestra, including Saporeta, were charged by the executive committee of defendant association with agreeing to rebate wages to the theatre management. On May 26, 1937, they were tried before *Page 453 the trial board of defendant association. Plaintiffs were acquitted, but Saporeta and the other members of the orchestra were convicted and fined. On June 4, 1937, however, the executive committee filed the same charges again against two of the plaintiffs, Gordon and Schatz. On the same date, June 4, 1937, the executive committee adopted a resolution that "the entire Carmen Theatre Orchestra be withdrawn from the Carmen Theatre as of July 8, 1937," and a copy of this resolution was sent to the owner of the theatre, Saporeta, and every musician in the orchestra, including plaintiffs.
The sections of the by-laws of defendant association which bear upon the authority of the executive committee to take this action are sections 16 (a) and 16 (b) of article XVIII.2
The hearing on the renewed charges before the trial board was held on June 9, 1937, and the result was again an acquittal of the two plaintiffs. On June 14, 1937, plaintiffs perfected an appeal to the International Executive Board from the resolution of the executive committee withdrawing them from the theatre. It *Page 454 was not until July 16, 1937, that the executive committee of defendant association filed its appeal to the International Executive Board from the finding of the trial board acquitting plaintiffs. The International Executive Board on December 22, 1937, denied plaintiffs' appeals from the resolution ending the engagement of the orchestra, and on January 20, 1938, reversed the trial board's acquittal of plaintiffs, found them guilty of the charges, imposed fines of $100 on each, and ordered in default of payment within thirty days erasure of their names from the membership rolls of defendant association.
It is admitted that plaintiffs had exhausted all remedies available within the association before they filed their bill in equity. Lodge No. 19, Svete Ime Isusovo v. Svi Sveti et al.,
The bill prayed, inter alia, the court to enjoin defendants from carrying out the order of the International Executive Board, to declare void the board's reversal of their acquittal, to decree plaintiffs members of defendant association in good standing, and to award plaintiffs damages for loss of employment.
The bill included various other complaints of defendants' conduct, which were, at the hearing before the chancellor, withdrawn, and it was there stated of record that the issue was restricted to the tardiness or timeliness of the executive committee's appeal to the International Executive Board from plaintiffs' acquittal by the trial board. On this issue the secretary of defendant association, A. Rex Riccardi, testified that on July 2, 1937, he wrote to the secretary of the national organization, and requested an extension of time for the filing of an answer to plaintiffs' appeal of June 14 from the order of the executive committee ending the engagement at the Carmen Theatre. He also testified that on July 6 he wrote the same individual *Page 455 a letter, which is printed below.3 This letter is unexplained unless it refers to an oral conference between members of the local executive committee and the International Executive Board at a convention in Tampa, Florida, during the week of June 13, 1937, in which was discussed the intention of the executive committee to appeal from the action of the trial board in acquitting plaintiffs and in not imposing heavier fines on the members convicted, together with the advisability of combining these appeals with answers to appeals if taken by the members. The witness testified that he was advised by the International Executive Board to adopt such a combined procedure, and "subsequently through telephonic communications when we met with the secretary again" that this procedure could be made to include also answers to appeals of plaintiffs, by that time filed, from the order withdrawing the orchestra from the theatre.
Although nothing appears specifically in answer to the inquiry of July 6, on July 16, the executive committee sent the national secretary one written argument in support of its own appeals, both from the acquittal of plaintiffs and the trial board's failure to fine more heavily those found guilty, and in answer to the appeals by the members from their conviction and to the appeals by plaintiffs from the withdrawal order. Defendants' answer admits the averments of the bill that the appeals of all the plaintiffs were filed on June 14, 1937.
In his adjudication the chancellor made various findings of fact, among them the following: "The issue before the court concerns the tardiness or non-tardiness of the appeal to the International Executive Board taken by the defendant local's executive committee *Page 456 from the decision of its trial board, all other issues raised by the amended bill of complaint and the defendants' answer thereto having been resolved in favor of defendants by agreement." This was defendants' first request for finding of fact, as qualified. He also found as facts that the executive committee of defendant association had notice of the acquittals more than thirty days prior to its appeals therefrom; and that it did not perfect an appeal until July 16, 1937; that it adopted a resolution withdrawing the entire orchestra (including plaintiffs) from the Carmen Theatre; that the by-laws of defendant association authorized such a step only if the trial board had referred the case to the executive committee; and that no reference of the cases of plaintiffs had been made by the trial board. As a matter of law he concluded that the appeals were tardy; that the International Executive Board was without jurisdiction; and that its orders fining plaintiffs and directing their names to be stricken from the membership rolls in default of payment were void. He held that plaintiffs were entitled to wages lost through interference with their employment, and ordered them compensated by defendant association, and enjoined defendants from enforcing the fines and from striking their names from the membership list of defendant association.
Defendants' exceptions to the findings and conclusions of the chancellor having been dismissed by the court in banc, the decree nisi was made final.
Defendants having appealed, submit twenty-six assignments of error. These assignments raise the questions whether the court below erred (1) in concluding the appeals were tardy and the action of the International Executive Board void; (2) in holding defendant association liable to plaintiffs for wages lost by its interference with their employment, regardless of their guilt or innocence; (3) in holding plaintiffs' loss established without testimony as to what other employment *Page 457 they had or might have secured during the period of their original engagements.
(1) Article XI of the by-laws of the American Federation of Musicians, the national organization, provides: "An appeal must be filed with the secretary of the American Federation of Musicians within thirty days of the time that the Local advised appellant of the decision in the case."
The by-laws of a corporation have been called "its private statutes for its own government, unless contrary to the laws of the land": Bagley v. Reno Oil Co.,
It is one of the recognized standards of statutory construction that the word "must" ordinarily is used *Page 458 in a mandatory or obligatory sense. There is no apparent reason why the term should not be given this interpretation in the present instance, and in our judgment the chancellor did not err in considering the local executive committee originally to be under a strict obligation to perfect its appeal within the time fixed in the by-laws. The testimony which we have above summarized was sufficient to justify the chancellor's finding of fact that the executive committee did nothing to discharge this obligation effectively until July 16, 1937, more than thirty days after notice of the action of the trial board.
It is urged that the thirty-day limitation for appeal provided in the by-laws was relaxed or suspended (a) by the plaintiffs' failure to object to the International Executive Board's
entertaining the tardy appeal, or (b) by the International Executive Board itself under its authority to "prescribe and change the method and procedure for any trial or hearing." (Article I, § 6B, By-Laws, American Federation of Musicians.) Defendants refer to a number of authorities from other jurisdictions holding it possible to waive various protections afforded members of unincorporated associations by their by-laws. By acquiescence and participation in trial, members have been held to have waived a constitutional provision that the charge against the accused be made in writing (Clark v. Morgan et al.,
In Weiss et al. v. Musical Mutual Protective Union et al.,
Appeal of Sperry et al.,
In Lodge No. 19, Svete Ime Isusovo v. Svi Sveti et al., supra, p. 294, it was recognized that an adjudication by the highest tribunal of a society was decisive of the members' rights, once it had been determined that the laws of the society had been strictly complied with, and that the officers acted reasonably and in good faith. *Page 460
It is essential that the legal position of members of an association in relation to intra-organization tribunals be clearly recognized. The by-laws being a contract among the members, quasi judicial bodies, as well as the administrative officers of the association, are the agents of the entire membership, under authority designated by and restricted in the contract of membership, to wit, the by-laws. As said inLeatherman et al. v. Wolf et al., supra,
We are unable to conclude therefore that by mere inaction the plaintiffs in the present case deprived themselves of a restriction upon the authority delegated their constituted officers by a plain provision of their fundamental contract with their fellow members.
For the same reason a conclusion that the International Executive Board itself could dispense with the restriction on its own authority cannot be sustained. Although it has been held that a court has power to suspend its own rules for the relief of hardship (Lance v. Bonnell,
Considering the matter from another angle, it would seem logical that a body to which an appeal lies can *Page 461
have no control over it until the appeal is perfected, and cannot absolve a suitor from his failure to invoke its authority during the period prescribed for so doing. The section of the by-laws, article XI (American Federation of Musicians), which authorizes appeals to the International Executive Board does not in any way suggest that the board is empowered to extend the period for taking that step; in fact, by contrast with the language of a later sentence of the same section fixing the time allowed for answers to appeals, "ten days to make answer thereto, unless an extension of time in which to reply is granted," it suggests the contrary. We find no support to defendants' position in the section of the by-laws which authorizes the International Executive Board to "prescribe and change the method and procedure for any trial or hearing," although it may be conceded that there is authority that a limitation of action may be within the meaning of the term "procedure." See Rosenzweig v. Heller,
In Hemphill v. Enterprise Lodge No. 75,
In Manning v. Klein et al., supra, *Page 462
The finding and conclusion of the chancellor that the appeal to the International Executive Board by the local executive committee from the acquittals of plaintiffs was tardy, therefore void, and insufficient as a foundation for its finding them guilty and imposing penalties, are fully supported and justified by the record.
(2) The next question for review is the correctness of the conclusion that defendant association was liable in damages to plaintiffs for terminating their employment at the Carmen Theatre by the resolution of its executive committee on June 4, 1937.
The statement of record at the hearing before the chancellor that the issue was solely the tardiness or non-tardiness of the appeal from the acquittals of plaintiffs by the trial board is made the basis of an argument by defendants' counsel that the permissibility of the resolution withdrawing the entire orchestra from the theatre was excluded from the consideration of the court below. We are not convinced that this was intended or that such was the fact. From the adjudication filed the chancellor would not seem to have understood the statement to have this effect. Neither from the record would defendants' counsel, since he proceeded to introduce testimony concerning the resolution, and referred to its adoption in numerous requests for findings of fact. But the contention is now made that even if the propriety of the resolution under the by-laws was before the court, that question was independent of determination of the tardiness of the appeals and plaintiffs consequently and finally established innocence of the charges against them. Our examination of the record leads us to the conclusion that it does not permit the inference that the resolution was independent of plaintiffs' guilt or innocence in the minds of the members *Page 463 of the local executive committee. Speaking of the date (June 4, 1937) on which the resolution was passed and renewed charges were filed against the two plaintiffs, the secretary of defendant association, Riccardi, said: "The Executive Board felt reasonably sure [plaintiffs] were also in collusion with the employer and entitled to appeal to the International Executive Board insofar as their not being found guilty was concerned." This witness also testified: "Q. Now, if you had an appeal pending before the International Board, why did you file charges the second time on June 4th and have a second trial against two of the men on June 9th? A. Because we felt reasonably sure that the men were equally as guilty as the ones that were found guilty."
There was evidence, it is true, of a distinction between the plaintiffs and the members found guilty in the notices sent them by defendant association, plaintiffs being advised only that the orchestra had been withdrawn from the theatre. Theoretically this may have left them free to seek employment with a new "contracting-leader," while the others were forbidden to play for the same management, or for Saporeta, or at the same place for a year. However, there was no distinction made in the notice of the resolution sent the theatre, or in the resolution itself, even though admittedly the trial board's reference of the proceedings to the executive committee was only as to the convictions of the others. There was also testimony that the president of defendant association, on being asked why the plaintiff Gordon, who had been found not guilty, was included in the removal order, answered that he was guilty, and that there was no reason why he should not have been found so. The plaintiff Gordon testified that either the secretary or the president of defendant association insisted that he was guilty, and told him that he would keep him out of the theatre if he could.
On this view of the testimony, the refusal of defendants' *Page 464 request for a finding of fact that the resolution of June 4, 1937, was independent of the verdicts, and the chancellor's finding that no reference had been made to the executive committee of any further action respecting plaintiffs, appear equally correct.
We may assume that if Saporeta were in fact the employer of plaintiffs and the executive committee did not exceed its authority in forbidding his continuance of the engagement, plaintiffs would have suffered no actionable wrong, and under their contract of membership their position, however distressing, would be beyond remedy. This is the effect of O'Keefe et al. v.Local 463 of United Association of Plumbers and Gasfitters of theUnited States and Canada et al.,
In Heasley et al. v. Operative Plasterers' and CementFinishers' International Ass'n et al., supra,
The courts in disputes over matters of fundamental rights must make their own interpretation of the bylaws of an association and the legal relations of the members. In Manning v. Klein et al., supra, the plaintiff was a member of a master barbers' union, and was expelled for informing against his fellow members for violations of the Act of 1794 in keeping their shops open on Sunday. The plaintiff was the vice-president of a "Sunday Closing Association," and the union found his action was in good faith for conscientious reasons, but nevertheless expelled him as guilty of conduct tending to the injury of a fellow member, forbidden by the constitution. Despite this interpretation of the constitution by the union, the court below interpreted "injury" to mean "the unlawful infringement or privation of rights," and ordered his reinstatement. The judgment was affirmed by this court.
In Wiggin v. Knights of Pythias, 31 F. 122, the bylaws of the order provided that life insurance of a member whose dues were in arrears six months was to be voided. Dues were assessed for two terms, ending at the last meeting of June and December, respectively, and might be paid at any time during the term, but *Page 467 payment was required at the end of the term only. Wiggin died in October, leaving unpaid $4 of his dues for the first term of that year, and the question arose whether he was not six months in arrears. The order refused to pay his insurance, and there was a judgment for the plaintiff in the court below. The Circuit Court for the Western District of Tennessee affirmed the judgment in language which is, in part, as follows (p. 124): ". . . . . . benevolent associations or fraternities, not more than other parties to contracts, cannot be allowed to construe the words they use in making agreements otherwise than according to their plain and unambiguous meaning, in the English language they employ, whether of the words of the contract itself or of the rules and regulations which become, by the principle they insist on, embodied in the contract as a part of it. They cannot be permitted to interpret the contract as they please, and become their own judges of what they mean by the use of the words employed that have either a technical or well-defined signification, known of all men who use the language."
We think that plaintiffs' right to recover from defendant association for its executive committee's interference with the relation of employer and employee existing between them and the Carmen Theatre must under all the facts be sustained. The right to freedom from wrongful interference with one's employment has been recognized in many decisions in the appellate courts of this state and of the United States Supreme Court. Erdman et al. v.Mitchell et al.,
The element of conduct essential for recovery in such *Page 468
cases is malice, which has been held to be "the intentional doing of a wrongful act without legal or social justification":Eddyside Co. v. Seibel et al.,
(3) The chancellor had before him every element necessary to permit plaintiffs the recovery of damages as prayed for, and the only error appearing in his adjudication is in the amount of damages awarded the plaintiff Tipton. The principle is well established that in an action to recover damages for wrongful discharge from employment the defense that the claimant earned or could have earned a livelihood during the term of his discharge is an affirmative one, and the burden of proof rests upon the defendant. King Graham v. Steiren,
Defendants in their brief attempt to raise an additional question which is not covered by the statement of questions involved or by any assignment of error. It is that the American Federation of Musicians, the national organization, should have been joined in these proceedings as an indispensable party. Defendants *Page 470 refer to the docket entries printed in the record of the case as indicating the raising of this question in the court below, but the only entry suggestive of any such step is the filing and dismissal of preliminary objections to the bill. None of defendants' assignments of error are directed to this ruling.
But even if the point were properly raised, there is grave doubt that it could be maintained under the authorities cited in its support. In Fineman v. Cutler et ux.,
That part of the decree awarding damages to George W. Tipton in the amount of $663 is modified by a reduction of $250 to $413.
The decree and judgments, as modified, are affirmed, at the cost of appellants.
Sec. 8. "They shall investigate all charges against or complaints of any member or members, and shall have the power to interrogate and refer to the Trial Board any and all matter for trial evolving from such investigation, with a copy of the minutes pertaining to such cases, including all testimony and papers."
Section 16 (b). "Any member who is found guilty of evading the Price List, may, in addition to other fines imposed, be forbidden by the Executive Committee to play for the same contractor or the same management for a period not exceeding one year. This procedure may be followed only if the Trial Board, in its decision, refers the case to the Executive Committee for such action. The contractor likewise may be forbidden to use the member for such period."
Lodge No. 19 v. Svi Sveti , 323 Pa. 292 ( 1936 )
Heasley v. Operative Plasterers & Cement Finishers ... , 324 Pa. 257 ( 1936 )
Emery v. Steckel , 126 Pa. 171 ( 1889 )
Schrenkeisen v. Kishbaugh , 162 Pa. 45 ( 1894 )
Meadville Telephone Co. v. Shafer , 1928 Pa. Super. LEXIS 169 ( 1928 )
Coates v. Allegheny Steel Co. , 234 Pa. 199 ( 1912 )
Heyer v. Cunningham Piano Co. , 1898 Pa. Super. LEXIS 188 ( 1898 )
Hemphill v. Enterprise Lodge No. 75 , 1917 Pa. Super. LEXIS 210 ( 1917 )
Spayd v. Ringing Rock Lodge , 1920 Pa. Super. LEXIS 111 ( 1920 )
King & Graham v. Steiren , 1862 Pa. LEXIS 212 ( 1862 )
Leatherman v. Wolf , 240 Pa. 557 ( 1913 )
Singer v. Delaware, Lackawanna & Western Railroad , 254 Pa. 502 ( 1916 )
Hutchinson v. Goshorn , 256 Pa. 69 ( 1917 )
Babayan v. Reed , 257 Pa. 206 ( 1917 )
Manning v. Klein , 1896 Pa. Super. LEXIS 150 ( 1896 )
Speier v. Locust Laundry , 1916 Pa. Super. LEXIS 111 ( 1916 )
DeJoseph v. Standard Steel Car Co. , 1930 Pa. Super. LEXIS 359 ( 1930 )
Kearns v. Howley , 188 Pa. 116 ( 1898 )
Erdman v. Mitchell , 63 L.R.A. 534 ( 1903 )
Highway Truck Drivers and Helpers Local 107 v. Cohen , 182 F. Supp. 608 ( 1960 )
Palumbo v. Unemployment Compensation Board of Review , 148 Pa. Super. 289 ( 1941 )
Linaka v. Firemen's Pension Fund , 149 Pa. Super. 458 ( 1941 )
Berberian v. Lancaster Osteopathic Hospital Ass'n , 395 Pa. 257 ( 1959 )
Devlin v. Grabler Manufacturing Corp. , 151 Pa. Super. 216 ( 1942 )
Kensington National Bank v. Cedarbrook Country Club , 161 Pa. Super. 407 ( 1947 )
Lucacher v. Kerson , 158 Pa. Super. 437 ( 1945 )
Constructors' Assn. of W. Pa. v. Furman , 165 Pa. Super. 248 ( 1949 )
Russell v. Barnes Foundation , 52 F. Supp. 827 ( 1943 )
Williams v. Yellow Cab Co. Of Pittsburgh, Pa. Appeal of ... , 200 F.2d 302 ( 1952 )
Williams v. Masters, Mates & Pilots of America, Local No. 2 , 384 Pa. 413 ( 1956 )