ABF Freight System’s $750 million lawsuit against the International Brotherhood of Teamsters and YRC Worldwide has again been rejected by a federal court.
The U.S. Court of Appeals for the Eighth Circuit affirmed a lower court ruling to dismiss the case, which had attempted to overturn YRC Worldwide’s wage-cutting agreements with the Teamsters union. It marks the third time the case has been dismissed. The lawsuit, which was first filed by ABF, No. 6 on JOC’s list of the Top 25 Less-Than-Truckload Carriers, in November 2010, was dismissed for a second time by U.S. District Court Judge Susan Webber Wright of the Eastern District of Arkansas, on Aug. 1, 2012.
“ABF is disappointed in the court’s ruling and the fact that YRC received three rounds of concessions from the IBT that ABF did not also receive,” the company said in a written statement. “ABF is assessing the opinion and determining whether to pursue additional options.”
Meanwhile, YRC Worldwide, No. 4 in JOC’s Top 50 Trucking Companies ranking, has applauded the ruling:
“We anticipated this outcome and are pleased with the court’s decision and supporting opinion,” said Michelle Friel, executive vice president, general counsel and secretary of YRC Worldwide, in a written statement.
