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LONG ISLAND R.R. CO. v. BROTHERHOOD OF R.R. TRAINM

UNITED STATES DISTRICT COURT, EASTERN DISTRICT, NEW YORK.


April 24, 1969.

Long Island Railroad Company, Plaintiff
v.
Brotherhood of Railroad Trainmen et al., Defendants.

The opinion of the court was delivered by: BRUCHHAUSEN

BRUCHHAUSEN, D.J.: This Court in its opinion, dated March 7, 1969 ruled that the defendants, Brotherhood of Railroad Trainmen and Harold J. Pryor, violated its order, dated October 19, 1968, as supplemented by its order, dated November 22, 1968. Decision of the issue of damages was reserved. Thereafter, hearings were held to ascertain the damages sustained by violation of the said orders.

It is clear that the plaintiff, the Railroad Company, does not make a profit on any single day of its operation. Its revenue and expenses are computed monthly. The Railroad Company compared revenue and expense figures under normal operating conditions with revenue and expenses under strike conditions. No daily revenue and expense records are maintained. Estimates for the month of November 1968 were made and then allocated to a daily basis. The calculation was then compared with estimated revenue and expenses under strike conditions. The railroad's most significant variable used in these allocations was passenger train mileage. This statistic is computed on a daily basis and certain revenue and expenses of the transportation department correlate with this mileage.

The Railroad Company claims that, during the strike period, it sustained a net loss of income of Four Hundred and Nine Thousand dollars.

 Richard S. Camp, a senior financial analyst in the plaintiff's accounting department, testified in considerable detail in support of the said claim and submitted records, which were marked in evidence.

 The plaintiff claims an additional loss of income of Nineteen Thousand dollars per diem charges for holding freight cars and for extra help required to mail refunds to passengers, unable to use the line during the said period.

 The defendants contended that the plaintiff's proof of damage was largely hearsay, speculative and vague.

 The Court has broad discretion in the assessment of damages in a civil contempt proceeding. The purpose is to compensate for the damages sustained. The public rights that the said court orders sought to protect are important measures of the remedy. See McComb v. Jacksonville Paper Company, 336 U.S. 187, 191 and Parker v. United States, 1 Cir., 153 F.2d 66.

 Upon careful review and consideration of the evidence and the applicable law, it is concluded that the plaintiff is entitled to a judgment against the defendants, Brotherhod of Railroad Trainmen and Harold J. Pryor for the sum of One Hundred Thousand dollars.

 Settle findings and judgment on ten (10) days' notice.

19690424

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