Cole v. International Union, United Automobile, Aerospace & Agricultural Implement Workers

533 F.3d 932, 44 Employee Benefits Cas. (BNA) 2393, 184 L.R.R.M. (BNA) 2710, 2008 U.S. App. LEXIS 15197, 2008 WL 2756943
CourtCourt of Appeals for the Eighth Circuit
DecidedJuly 17, 2008
Docket06-3205
StatusPublished
Cited by39 cases

This text of 533 F.3d 932 (Cole v. International Union, United Automobile, Aerospace & Agricultural Implement Workers) is published on Counsel Stack Legal Research, covering Court of Appeals for the Eighth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Cole v. International Union, United Automobile, Aerospace & Agricultural Implement Workers, 533 F.3d 932, 44 Employee Benefits Cas. (BNA) 2393, 184 L.R.R.M. (BNA) 2710, 2008 U.S. App. LEXIS 15197, 2008 WL 2756943 (8th Cir. 2008).

Opinion

MELLOY, Circuit Judge.

Appellants, 119 recently retired employees of DaimlerChrysler Corporation (Chrysler) plants in St. Louis, brought suit against Chrysler and their local and international unions (the Unions) after Chrysler offered an early retirement opportunity through an Incentive Program for Retirement (IPR) that failed to apply retroactively to recent retirees. Appellants alleged that past practices created an implied contract term requiring Chrysler to include recent retirees in any IPR offers and that failure to do so constituted a breach of contract. As to the Unions, Appellants alleged the Unions breached a duty of fair representation by failing to require Chrysler to comply with past practices. The district court 2 granted summary judgment in favor of Chrysler and the Unions, reasoning that the IPR is part of an employee pension benefits plan governed by the Employee Retirement Income Security Act (ERISA), 29 U.S.C. § 1001 et seq., and that Appellants failed to allege a breach of a written contract term, as required under ERISA. Because the appellants could not establish a breach of contract by Chrysler, the court concluded the claim against the Unions also failed because a breach of contract by the employer is an essential element of a claim alleging a breach of a union’s duty of fair representation. We affirm.

*935 I. Background

Appellants worked at Chrysler plants in St. Louis, Missouri, and retired from Chrysler between September 30, 2003 and November 30, 2004. All were members of the Unions. During the time Appellants worked at Chrysler, the terms of their employment were governed by a Collective Bargaining Agreement entered into by Chrysler and the Unions. A Pension Agreement setting forth the terms of a Pension Plan was incorporated into the Collective Bargaining Agreement. In addition, a Letter Agreement Chrysler and the Unions reached in 2001 outlined the IPR, which was designed to encourage eligible workers to retire so as to reduce Chrysler’s costs in certain markets. The 2001 Letter Agreement was incorporated into the Pension Agreement when it was renewed in 2003.

Chrysler made IPR offers available to St. Louis Chrysler workers twice in 2001 and twice in 2002. The terms of these offers followed those outlined in the 2001 Letter Agreement. Despite contrary terms in the Letter Agreement, however, each of these offers was made available to recent retirees, a practice widely known as a “sweep in.” Between September 30, 2003 and December 10, 2004, Chrysler offered IPR incentives in markets other than St. Louis, and most or all of these offers did not include sweep in provisions. On December 11, 2004, Chrysler and the Unions agreed to the new IPR offer for St. Louis workers; the offer did not include a sweep in provision for recent retirees. The terms of the December 2004 offer were more generous than those previously offered in St. Louis and differed from the terms included in the 2001 Letter Agreement.

After Chrysler and the Unions announced the St. Louis retirement incentive offer in December 2004, Appellants requested retroactive inclusion into the plan. Chrysler rejected the addition of a sweep in to the offer, and the Unions declined to pursue a grievance based upon that decision.

Appellants filed suit. They alleged Chrysler breached an implied term of the Collective Bargaining Agreement to sweep in recent retirees in IPR offers. They asserted the Collective Bargaining Agreement was amended by Chrysler’s past practice of retroactively applying IPR offers to recent retirees. Appellants also brought a claim against the Unions, alleging the Unions breached the statutory duty of fair representation by failing to require Chrysler to comply with the past practice of including sweep ins in IPR offers. Both causes of action arise under section 301(a) of the Labor Management Relations Act, 29 U.S.C. § 185(a).

Chrysler and the Unions moved for summary judgment, arguing that because the IPR is part of a pension plan governed by ERISA, and such plans can only be amended in writing, Appellants could not rely on an alleged breach of an implied term of the Collective Bargaining Agreement for their cause of action. In responding to the motion for summary judgment, Appellants did not address whether ERISA governed the IPR. Appellants claimed that ERISA coverage was irrelevant, and instead argued that ERISA does not preempt federal labor law. The district court concluded the IPR is part of a pension plan governed by ERISA and granted summary judgment in favor of Chrysler and the Unions. This appeal followed.

II. Discussion

A. Waiver

Chrysler contends Appellants are barred from challenging the applicability *936 of ERISA to the IPR on appeal because they did not contest the issue below. Appellants contend they did contest ERISA’s applicability.

In general, “this court will not consider arguments raised for the first time on appeal.” Wiser v. Wayne Farms, 411 F.3d 923, 926 (8th Cir.2005) (quotation omitted). As such, a party cannot assert arguments that were not presented to the district court in opposing summary judgment in an appeal contesting an adverse grant of summary judgment. See Action Tapes, Inc. v. Mattson, 462 F.3d 1010, 1014 (8th Cir.2006) (declining to reverse a grant of summary judgment based upon an argument not raised below); O.R.S. Distilling Co. v. Brown-Forman Corp., 972 F.2d 924, 926 (8th Cir.1992) (stating that the party opposing summary judgment waived arguments by failing to present them to the district court). We may notice plain error despite a failure to raise the issue below, “but we generally do so only to prevent a miscarriage of justice.” Matthews v. Riverwood Int’l Corp., 37 F.3d 1502 (8th Cir.1994) (unpublished) (per curiam); see also St. Mary’s Hosp. v. Leavitt, 416 F.3d 906, 915 n. 8 (8th Cir.2005) (noting the court found no plain error after rejecting a party’s attempt to raise an issue on appeal that was not presented to the district court).

Chrysler based its motion for summary judgment on the application of ERISA to the IPR, squarely presenting the issue to Appellants. Appellants chose not to address the issue of ERISA’s applicability to the IPR, describing the question as “interesting,” but concluding “it is ultimately irrelevant in deciding [Chrysler’s] Motion for Summary Judgment in the case at bar.” Appellants noted that their complaint did not “invoke ERISA coverage, or dispute ERISA coverage for that matter.” Appellants stated they were “tempted to concede that the IPR is within the purview of ERISA,” but they did not explicitly so concede.

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Bluebook (online)
533 F.3d 932, 44 Employee Benefits Cas. (BNA) 2393, 184 L.R.R.M. (BNA) 2710, 2008 U.S. App. LEXIS 15197, 2008 WL 2756943, Counsel Stack Legal Research, https://law.counselstack.com/opinion/cole-v-international-union-united-automobile-aerospace-agricultural-ca8-2008.