Anthony v. Int'l Ass'n of Machinists & Aerospace Workers Dist. Lodge 1

296 F. Supp. 3d 92
CourtCourt of Appeals for the D.C. Circuit
DecidedNovember 6, 2017
DocketCivil Action No. 17–1249 (ABJ)
StatusPublished
Cited by2 cases

This text of 296 F. Supp. 3d 92 (Anthony v. Int'l Ass'n of Machinists & Aerospace Workers Dist. Lodge 1) is published on Counsel Stack Legal Research, covering Court of Appeals for the D.C. Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Anthony v. Int'l Ass'n of Machinists & Aerospace Workers Dist. Lodge 1, 296 F. Supp. 3d 92 (D.C. Cir. 2017).

Opinion

AMY BERMAN JACKSON, United States District Judge

Plaintiff Gary Anthony brought this action against defendants District Lodge 1, a union affiliated with the International Association of Machinists and Aerospace Workers ("IAM"), and the International Association of Machinists and Aerospace Workers National Pension Fund ("IAM National Pension Fund" or the "Plan"). Compl. [Dkt. # 1]. He alleges that defendants violated the terms of the Plan and breached their fiduciary duties under the Employee Retirement Income Security Act of 1974 ("ERISA"), 29 U.S.C. § 1001 et seq. , when they failed to include him as a participant under the Plan and denied him benefits. Id.

In Count I, plaintiff alleges that defendants violated the terms of the Plan by denying him eligibility as directed by the "documents and instruments governing the Plan." Compl. ¶¶ 13-16. In Count II, plaintiff alleges that defendants owed him a fiduciary duty under ERISA to "observe and follow the governing terms" of the Plan, and that they breached those duties. Id. ¶¶ 17-21.

District Lodge 1 has moved to dismiss both counts pursuant to Federal Rule of Civil Procedure 12(b)(6). It argues that plaintiff has failed to allege sufficient facts to establish that District Lodge 1 is a fiduciary as defined under the statute, see Def's Mot. to Dismiss & Supporting Mem. of Law [Dkt. # 11] ("Def's Mot."), and the Court agrees.

But because fiduciary status is only a required element under Count II, the Court will only grant defendant's motion to dismiss as to Count II and it will deny the motion as to Count I. Therefore, plaintiff's ERISA claim for violation of the terms of the Plan will go forward.

BACKGROUND

Defendant District Lodge 1 is a union affiliated with the International Association of Machinists and Aerospace Workers. Compl. ¶ 3. According to the complaint, plaintiff was employed as an "Organizer" by District Lodge 1 from May 2004 until January 2012, when he became a "Grand Lodge Representative," a position he continues to hold. Id. ¶ 2. IAM National Pension Fund is a multi-employer defined benefit pension plan, and District Lodge 1 is a "Contributing Employer" to the fund. Id. ¶¶ 3-4, 8.

District Lodge 1 and the trustees of the IAM National Pension Fund executed a series of written Participation Agreements, which governed the union's participation in the Plan. Compl. ¶ 9. Plaintiff alleges that the agreements "obligated" defendants to provide coverage and make contributions for all District Lodge 1 employees, including plaintiff. Id.

Plaintiff sought participant status under the Plan in order to gain eligibility for the payment of pension benefits, but he was unsuccessful. See Compl. ¶ 12. He exhausted "all internal Plan remedies," including the appeals process, during which the Plan's appeals committee determined that plaintiff was not eligible to participate in *95the IAM National Pension Fund. Id. ; see also Ex. A to Pl.'s Opp. to Def.'s Mot. [Dkt. # 14-1] ("Denial Letter").

On June 26, 2017, plaintiff filed this action, Compl., and on August 24, 2017, defendant IAM National Pension Fund filed an Answer. Answer [Dkt. # 10]. On the same day, defendant District Lodge 1 filed a motion to dismiss under Rule 12(b)(6) for failure to state a claim upon which relief may be granted. Def.'s Mot. The motion is fully briefed.1

STANDARD OF REVIEW

"To survive a [ Rule 12(b)(6) ] motion to dismiss, a complaint must contain sufficient factual matter, accepted as true, to state a claim to relief that is plausible on its face." Ashcroft v. Iqbal , 556 U.S. 662, 678, 129 S.Ct. 1937, 173 L.Ed.2d 868 (2009) (internal quotation marks omitted); accord Bell Atl. Corp. v. Twombly , 550 U.S. 544, 570, 127 S.Ct. 1955, 167 L.Ed.2d 929 (2007). In Iqbal , the Supreme Court reiterated the two principles underlying its decision in Twombly : "First, the tenet that a court must accept as true all of the allegations contained in a complaint is inapplicable to legal conclusions." 556 U.S. at 678, 129 S.Ct. 1937. And "[s]econd, only a complaint that states a plausible claim for relief survives a motion to dismiss." Id. at 679, 129 S.Ct. 1937.

A claim is facially plausible when the pleaded factual content "allows the court to draw the reasonable inference that the defendant is liable for the misconduct alleged." Id. at 678

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296 F. Supp. 3d 92, Counsel Stack Legal Research, https://law.counselstack.com/opinion/anthony-v-intl-assn-of-machinists-aerospace-workers-dist-lodge-1-cadc-2017.