3rd Circ. Backs $14.7M Award to Ex-Railroad Employees
By Martin Bricketto
Law360, New York (August 14, 2013, 8:19 PM ET) -- The Third Circuit on Wednesday upheld a nearly $15 million arbitration award for former Penn Central Transportation Co. employees and their estates against successor company American Premier Underwriters Inc., ruling in the 44-year-old dispute that PCTC's reorganization didn't modify wage and benefit obligations to the workers.
Despite that vintage, it was only in 2009 that an arbitration panel awarded 32 claimants $564,820 in benefits based on a 1964 merger protection agreement, along with more than $13.4 million in prejudgment interest, according to Wednesday's opinion. By the...