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American Federation of State v. Miami-Dade County Public Schools

Citations: 95 So. 3d 388; 2012 WL 3101617; 2012 Fla. App. LEXIS 12356Docket: No. 3D11-1572

Court: District Court of Appeal of Florida; August 1, 2012; Florida; State Appellate Court

Narrative Opinion Summary

The case involves a dispute between a union and a school board regarding wage payments under a Collective Bargaining Agreement (CBA). The union alleged that the school board failed to comply with the salary schedules stipulated in the CBA, potentially resulting in a $9 million shortfall over three years. The school board contended that the discrepancies were due to a mutual mistake in the salary schedules. The arbitrator found in favor of the school board, reforming the schedules to reflect the actual agreement. The union sought to vacate the arbitration award, arguing it constituted a modification of the CBA, violating a no-modification clause. Initially, the trial court vacated the award but later reinstated it upon rehearing, concluding that reformation due to mutual mistake is not a modification. The appellate court upheld this decision, emphasizing that the arbitrator did not exceed his authority and that reformation was appropriate to align the document with the parties' true intentions. The union's failure to show any statutory grounds for vacating the award under Florida law resulted in the confirmation of the arbitration award in favor of the school board.

Legal Issues Addressed

Arbitrator's Authority and Contractual Reformation

Application: The arbitrator's decision to reform the salary schedule due to mutual mistake was deemed appropriate as it reflected the true intent of the parties, not a modification of the agreement.

Reasoning: The arbitrator concluded that...the Union was aware or should have been aware of the discrepancies and thus reformed the schedules to reflect the actual agreement of both parties.

Grounds for Vacating Arbitration Awards

Application: The Union failed to establish any of the statutory grounds under Florida Statutes section 682.13(1) to vacate the arbitration award, particularly that the arbitrator exceeded his powers.

Reasoning: A party seeking to vacate an arbitration award must prove one of five specific grounds outlined in section 682.13(1) of the Florida Statutes (2007).

Reformation in Cases of Mutual Mistake

Application: The court found that reformation was necessary to correct mutual mistakes and align the written document with the parties' true intentions, as supported by precedent.

Reasoning: Reformation due to mutual mistake corrects errors in the written embodiment of an agreement without altering the parties' original intent.

Reformation versus Modification under Arbitration

Application: The court held that reformation due to mutual mistake is not equivalent to a modification, thereby upholding the arbitration award despite the Union's objections.

Reasoning: The court determined it does not and upheld the arbitration award.