McGinnes v. O'Hara

51 Pa. D. & C. 229, 1943 Pa. Dist. & Cnty. Dec. LEXIS 160
CourtPennsylvania Court of Common Pleas, Dauphin County
DecidedNovember 1, 1943
StatusPublished

This text of 51 Pa. D. & C. 229 (McGinnes v. O'Hara) is published on Counsel Stack Legal Research, covering Pennsylvania Court of Common Pleas, Dauphin County primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
McGinnes v. O'Hara, 51 Pa. D. & C. 229, 1943 Pa. Dist. & Cnty. Dec. LEXIS 160 (Pa. Super. Ct. 1943).

Opinion

Woodside, J.,

This comes before us on a motion to quash an alternative writ of mandamus. The writ was issued upon petition of the widow of Percy R. McGinnes, who is seeking to recover $2,-816.16, which she alleges is due from the State Employes’ Retirement Board.

[230]*230Percy R. McGinnes was an employe of the Commonwealth of Pennsylvania, and a member of, and contributor to, the State Employes’ Retirement System for some years prior to August 4, 1936, on which date he retired upon disability from said employment and was granted a disability retirement allowance of $117.50 per month.

The accumulated deductions1 from his salary were $4,167.41.

The State Employes’ Retirement Act of June 27, 1923, P. L. 858, was amended by the Act of May 18, 1937, P. L. 683, 71 PS 11742, by adding to section 12(5)6 the following:

“Should a disability annuitant die before the total allowance received for disability shall be at least equal to the amount of his or her accumulated deductions at the time of disability retirement, then the board shall pay to the named beneficiary or to the annuitant’s estate an amount equal to the difference between the allowance received and the annuitant’s accumulated deductions . . .”

On July 18, 1937, two months after the aforesaid provision became law, McGinnes died. The total allowance received by him to the date of his death was $1,-351.25. The widow, whom decedent had named as his beneficiary, obtained the writ to compel payment to be made by the State Employes’ Retirement Board, the State Treasurer, and Auditor General, of the difference between the accumulated deductions and the total allowance received by McGinnes during his lifetime, which payment she claims she is entitled to under the act amended as aforesaid.

[231]*231Thirteen reasons why the writ should be quashed were filed by the board. Some of the objections have been removed by the filing of an amended petition by plaintiff.

The main question for us to determine now is whether the aforesaid amendment applies to a person granted a disability retirement allowance prior to its passage and who, without returning to State employment, died subsequent to its passage, or whether the amendment refers only to those parties who are granted a disability retirement subsequent to- the effective date of the amendment.

We believe it was the intent of the legislature to have this amendment apply to cases where a party had already been granted a disability retirement and it was not unconstitutional for it to do so.

In the first place, the language of the amendment indicates that it refers to all disability annuitants, whether they became such before or after the passage of the act.

A “disability annuitant” is not defined specifically by the act but it must relate to one who is under “disability retirement”, which the act (sec. 1, par. 14) says is “retirement as defined in section 12 of this Act”.

McGinnes had been retired upon disability and was therefore a “disability annuitant” when he died. The provision in the law that says “Should a disability annuitant die” would clearly apply to him. Furthermore, he died before the total allowance received for disability equaled the amount of his accumulated deductions at the time of disability retirement. The case before us fits precisely into the wording of the act as amended. We can find nothing in the amendment which indicates any intention on the part of the legislature to limit its application to employes who retire after its effective date.

If the legislature had intended the amendment to apply only to those who retire subsequent to its pas[232]*232sage, it could easily have said: “Should a person, who hereafter becomes a disability annuitant, die before the total allowance, etc.” To accept the Commonwealth’s contention would be to write .into the amendment the words quoted above. This we have no right to do.

In the second place, we think there was sound reason for the legislature to change the law and to make it applicable to cases already on disability annuity. The purpose of the Retirement Act is “to obtain efficient public servants by making them happier, more secure and satisfied”: Commonwealth, etc., v. Dauphin County, 335 Pa. 177, 184, 46 Dauph. 175 (1938) ; Johnston v. State Employes’ Retirement Board, 39 Dauph. 231, 242 (1934); Demming v. State Employes’ Retirement Board, 345 Pa. 489 (1942), 52 Dauph. 378, 380. To carry out this purpose the act should operate equitably as to all the members of the retirement system, but there was at least one class of cases in which it did not do so.

Prior to 1937 an employe might pay into the fund for many years, become physically incapacitated before reaching superannuation retirement age, be retired upon his application, or even upon the application of the head of his department, on what is known as a disability allowance; and die shortly thereafter, having received only a very small part of the sum which he paid into the fund. Neither his beneficiary nor his estate would have had claim to the money which he had been saving for years by deductions from his salary for his own and probably his wife’s old age. This, although occurring in comparatively few cases, created a situation which was anything but beneficial to the unfortunate employe who became physically incapacitated.

It is reasonable to assume that the legislature considered the situation of a disability annuitant inequi[233]*233table and that in correcting it they intended to have the amended law relate to those already on disability, as indeed their language indicates.

In interpreting the act we should remember that this court and the Supreme Court have on various occasions reviewed the purpose of the Retirement Act and have concluded that it should be liberally construed: Commonwealth, etc., v. Dauphin County, supra; Johnston v. State Employes’ Retirement Board, supra; Demming v. State Employes’ Retirement Board, supra.

The Retirement Board contends that our interpretation causes the amendment to operate retroactively, but it relates only to annuitants who die after its effective date, and thus operates prospectively. It cannot be considered retroactive because it relates to disability annuitants who were such at the time of its passage any more than it could be considered so because it relates to people who were or had been employes at the time it was passed. At the time of its passage the provisions did not relate to any case but it did apply to all cases where thereafter a disability annuitant died.

It is suggested that to allow this claim would not be fair to other members of the system. If the sum which they, or any of them, would receive might vary as a result of this interpretation, this might be a matter for consideration, probably after the taking of testimony to show wherein it would vary. But as we read the act the amount which any who have.retired, or who hereafter retire, receive would be in no way reduced by this payment. ’ McGinnes himself received no more from the fund than he would have received had the act been amended prior to his retirement, for the amendment to section 12 does not change the amount which a disability annuitant receives in monthly payments. Neither does the amendment affect a superannuation retirement. Thus there seems to be no very [234]

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Bluebook (online)
51 Pa. D. & C. 229, 1943 Pa. Dist. & Cnty. Dec. LEXIS 160, Counsel Stack Legal Research, https://law.counselstack.com/opinion/mcginnes-v-ohara-pactcompldauphi-1943.