Eisenbacher v. City of Tacoma

333 P.2d 642, 53 Wash. 2d 280, 1958 Wash. LEXIS 311
CourtWashington Supreme Court
DecidedDecember 18, 1958
Docket34239
StatusPublished
Cited by27 cases

This text of 333 P.2d 642 (Eisenbacher v. City of Tacoma) is published on Counsel Stack Legal Research, covering Washington Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Eisenbacher v. City of Tacoma, 333 P.2d 642, 53 Wash. 2d 280, 1958 Wash. LEXIS 311 (Wash. 1958).

Opinions

Finley, J.

This is an action against the city of Tacoma and the Firemen’s Pension Board of that city to compel the payment of certain pension benefits allegedly due plaintiffs under the Firemen’s Relief and Pension Act in force prior to 1935, and for judgment for pension benefits allegedly accrued thereunder. Plaintiffs in this action are retired Tacoma firemen or the surviving widows of Tacoma firemen. Defendants’ demurrers to the complaints were overruled. When defendants elected to stand on their demurrers, the trial court entered judgment for the plaintiffs. The defendants have appealed.

The legislature first passed a firemen’s relief and pension act in 1909; Laws of 1909, chapter 50, p. 88. The original act was amended by Laws of 1919, chapter 196, p. 668; Laws of 1929, chapter 86, p. 144; and Laws of 1935, chapter 39, p. 100. In 1947, the legislature completely revised the law (Laws of 1947, chapter 91, p. 581), but we are not concerned with this enactment, since, by its own terms, it does not apply to firemen who were employed prior to 1947. All of the respondents commenced drawing pensions prior to the enactment of the 1955 amendment to the 1947 act; therefore, that amendment does not concern us in the instant case.

The pensions provided for under the 1909 and 1919 acts were to equal one half of the salary attached to the rank held by the fireman for one year prior to the commencement of the pension. Under the 1929 act, the pensions were to equal one half of the salary received by the fireman prior to the commencement of the pension. Under the 1935 act, the pensions were to be computed on the basis of one half of the salary attached to the rank held by the fireman prior to the commencement of the pension, but no pension could [282]*282exceed a maximum limitation of one hundred twenty-five dollars per month. Respondents or respondents’ husbands, as the case may be, all commenced work as firemen for the city of Tacoma prior to the 1935 act. Each respondent meets the pension qualifications established by the 1935 act. Since they also meet the qualifications of the earlier enactments, their pension rights are determined by the latest act which can constitutionally be applied to them. All of the various respondents commenced drawing pensions between 1948 and 1954, and all are presently drawing pensions. In each instance, the pension was authorized by the firemen’s relief and pension board in the sum of one hundred twenty-five dollars per month. Thus, the board applied the above-noted maximum pension limitation provisions of the 1935 act. The pensions payable to respondents would be in higher amounts, if computed under the statutes as they existed prior to the 1935 amendment.

The present appeal as to all respondents other than Mr. Eisenbacher raises the question of whether the 1935 amendment to the firemen’s relief and pension act, as applied by the board to the respondents, violates constitutional prohibitions against the impairment of contracts. The appeal relative to respondent Eisenbacher requires a determination of the meaning of the word rank as that word has been used in the firemen’s relief and pension act,

In Bakenhus v. Seattle (1956), 48 Wn. (2d) 695, 296 P. (2d) 536, this court stated:

. . the employee who accepts a job to which a pension plan is applicable contracts for a substantial pension and is entitled to receive the same when he has fulfilled the prescribed conditions. ...”

We held in Bakenhus that contractual pension rights of the claimant' (a policeman who had retired after having been employed for the requisite statutory period of service) could not, constitutionally, be modified in such a manner as to greatly reduce the value of those pension rights. We decided that the 1937 amendment to the police relief and pension act could not, constitutionally, he applied to Mr. Bakenhus as. a limitation on his pension rights.

[283]*283Apparently, in an effort to follow the Bakenhus case, appellants have conceded that respondent Eisenbacher, who retired on the basis of length of service, is entitled to more than the one hundred twenty-five dollars per month maximum pension provided by the 1935 amendment to the firemen’s relief and pension act. (There is still a dispute as to the exact amount of Eisenbacher’s pension, and this aspect of the appeal will be discussed infra when we deal with the meaning of the word rank.)

Appellants vigorously contend, however, that the principle announced in the Bakenhus case must be restricted to factual situations which specifically involve retirement for service. They urge that the decision simply stands for the proposition that the legislature cannot make unreasonable modifications of the retirement for service pension benefits which were in force when an employee commenced work. Thus, it is their position that the Bakenhus principle is not applicable to contractual rights for pensions based upon the disability or death of a fireman while in line of duty.

With this we do not agree. Through the various firemen’s relief and pension acts, the legislature has established a comprehensive relief and pension system for firemen. Among other things, these acts grant: (a) a service pension, if the fireman works the requisite number of years and fulfills the other statutory requirements; or (b) a disability pension, if he becomes disabled in the line of duty; or (c) a pension for his widow, if he dies as a result of injuries he received in the line of duty. The provisions for the three foregoing categories of pension relief are all couched in the same language. It would violate the manifest purpose of the legislature to do as appellants request; i.e., to chop up a comprehensive pension relief system by applying different rules of statutory construction to identical language when used in different sections of the same statute.

The proper interpretation of the firemen’s relief and pension act and of the decision in Bakenhus, supra, is as follows: An employee who accepts a job to which a pension and relief plan or system is applicable contracts for a pension and relief plan or system substantially in accord [284]*284with the then existing legislation governing the same; modifications of a pension plan or system cannot be imposed on the employee unless the changes are equitable to the employee. Permissible modification could, in some cases, completely destroy inchoate benefits of third parties. Packer v. Board of Retirement (1950), 35 Cal. (2d) 212, 217 P. (2d) 660. The contractual rights of the employee to a. “substantially similar” pension and relief system belong only to the employee until all- contingencies have been fulfilled.

The specific question, therefore, to be decided is whether the 1935 amendment to the firemen’s relief and pension act results in permissible (i.e., reasonable and equitable) changes in the act as it bxisted prior to the amendment as applied to respondents or respondents’ husbands, as the case may be. '

In our opinion, the 1935 amendment provides ho corresponding benefit, to the employee to counter!)glance the loss of pension rights resulting from the imposition of the one hundred twenty-five dollars'maximum pension limitation. The amendment,1 considered as a whole, is clearly detrimental- as applied to respondents, or respondents’ husbands.

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Bluebook (online)
333 P.2d 642, 53 Wash. 2d 280, 1958 Wash. LEXIS 311, Counsel Stack Legal Research, https://law.counselstack.com/opinion/eisenbacher-v-city-of-tacoma-wash-1958.