SOURCE: 14 Penn Plaza LLC

June 18, 2009 18:00 ET

Andrew Borrok Pleased With Supreme Court Decision in 14 Penn Plaza LLC v. Pyett

NEW YORK, NY--(Marketwire - June 18, 2009) - Andrew Borrok, investor, attorney, philanthropist, and former owner of 14 Penn Plaza, New York, NY, celebrated victory in the United States Supreme Court case titled 14 Penn Plaza LLC v. Pyett. 14 Penn had been sued by building workers but who were employees of Temco Service Industries Inc. The employees had claimed that they were victims of conduct that violated the Age Discrimination in Employment Act of 1967 (ADEA). The employees argued that their union, the Service Employees International Union Local 32BJ, didn't have the right to bargain away their rights to litigate employment discrimination claims, while Borrok and his team argued otherwise. In the end, Andrew Borrok, 14 Penn and Temco came out on the winning side.

"I am thrilled that the Court vindicated our position," said Andrew Borrok, the former owner of 14 Penn Plaza.

Borrok acquired 14 Penn Plaza, an approximately 550,000 square foot office building on 34th Street in New York City, in 2003. Before selling the building, Andrew refinanced the building, made significant capital improvements, and increased occupancy. The building's cleaning contractor, Temco, had been providing security services. With the union's consent, the building engaged a unionized security contractor and Temco affiliate to have licensed security guards provide security services, rendering the plaintiffs' services unnecessary, and causing them to be reassigned to positions they considered less desirable. The employees grieved the reassignments, claiming, among other things, age discrimination.

The action was brought despite a collective bargaining agreement negotiated between the union and the Realty Advisory Board on Labor Relations, Inc., stating that the sole and exclusive remedy for all employment discrimination claims is the union's grievance and arbitration procedure. The Supreme Court held that a provision in a collective bargaining agreement that clearly requires union members to arbitrate ADEA claims is enforceable as a matter of law.

About Andrew Borrok:

Andrew Borrok is a real estate entrepreneur. He attended Columbia College, Georgetown University Law Center and Columbia Business School. He has served on the board of directors of the 34th Street Partnership and as a general partner to 425 Park Avenue Company, where Andrew is currently the general counsel. He is also on the Citymeals-on-Wheels board of directors, a Delta Society "pet partner" and a former volunteer District Attorney in Kings County. http://www.andrewborrok.org/

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