Smith v. Transport Workers Union, Air Transport Local 556

The Dispute
Charlie Smith had a workplace dispute with his union, Transport Workers Union Local 556 (which represents airline workers). The case went to arbitration, where a panel of arbitrators made a decision. However, the arbitrators later tried to modify their original award more than three business days after they had issued it.

The Court's Decision
The Fifth Circuit Court of Appeals ruled against Smith and in favor of the union. The court found that the arbitrators had overstepped their authority when they modified their award after the three-business-day deadline specified in their arbitration agreement. The court upheld a lower court's decision to throw out the modified award, essentially saying the arbitrators couldn't change their minds after the deadline had passed.

What This Means for Workers
This ruling reinforces that arbitration agreements must be followed exactly as written, including strict deadlines. For workers involved in union disputes or any workplace arbitration, this shows that timing rules in arbitration agreements are taken seriously by courts. Once arbitrators issue their final decision and any deadline for changes passes, that decision typically cannot be altered, even if the arbitrators want to make corrections or modifications later.