West v. Local 710, International Brotherhood of Teamsters Pension Plan

528 F.3d 1082, 44 Employee Benefits Cas. (BNA) 1845, 2008 U.S. App. LEXIS 12734, 2008 WL 2404625
CourtCourt of Appeals for the Eighth Circuit
DecidedJune 16, 2008
Docket07-2659, 07-2674
StatusPublished
Cited by6 cases

This text of 528 F.3d 1082 (West v. Local 710, International Brotherhood of Teamsters Pension Plan) 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
West v. Local 710, International Brotherhood of Teamsters Pension Plan, 528 F.3d 1082, 44 Employee Benefits Cas. (BNA) 1845, 2008 U.S. App. LEXIS 12734, 2008 WL 2404625 (8th Cir. 2008).

Opinion

RILEY, Circuit Judge.

Dennis West (West) filed this action claiming he was entitled to full pension benefits after Local 710 International Brotherhood of Teamsters Pension Plan (Local 710) determined West was not entitled to a full pension. Considering the parties’ cross-motions for summary judgment, the district court granted summary judgment in favor of Local 710, but denied Local 710’s request for attorney fees. Both parties appeal. We affirm in part and reverse in part.

I. BACKGROUND

West brings this lawsuit alleging he is entitled to a 28-year Special Regular Pension from Local 710, beginning at age 59, based upon 28 years of service, even though only 5 of those years of service were with Yellow Freight Company (Yellow Freight), the only employer which contributed to Local 710 on West’s behalf. West had worked for other trucking companies which participated in a separate plan, the Central States Southeast and Southwest Trustees Pension Plan (Central States) and had earned 22.875 years of service credits with Central States. Local 710 agreed to credit West for the total years of service, but only to pay him a reciprocal pension, beginning at age 59, based upon the fraction representing the years of service while under the Local 710 plan (5 years), divided by his total years of work as a truck driver (28 years), or 5/28, based upon a reciprocal agreement between Local 710 and Central States ($553.66 monthly). West seeks a full 28-year Special Regular Pension, or 28/28, from Local 710, beginning at age 59 ($3,100 monthly). 1

*1085 Local 710 is a multi-employer employee benefit trust fund maintained under the Employee Retirement Income Security Act of 1974, 29 U.S.C. § 1001 et seq. (ERISA). Local 710’s plan language gives the Trustees complete discretion to evaluate claims under the plan and to interpret the pension plan’s language.

West appeals the district court’s decision granting Local 710’s motion for summary judgment. Local 710 cross appeals the district court’s decision denying Local 710 an award of attorney fees.

II. DISCUSSION

A. Summary Judgment

‘We review the grant of summary judgment de novo, using the same standard as the district court, and we view the evidence in the light most favorable to the nonmoving party.” Admin. Comm, of the Wal-Mart Stores, Inc. v. Gamboa, 479 F.3d 538, 541 (8th Cir.2007) (citation omitted). “Summary judgment is appropriate when the evidence, viewed in a light most favorable to the non-moving party, demonstrates that there is no genuine issue of material fact and that the moving party is entitled to judgment as a matter of law.” Clark v. Kellogg Co., 205 F.3d 1079, 1082 (8th Cir.2000) (citation omitted); see Fed.R.Civ.P. 56(c). Here, the main factual issue is what pension payment does Local 710 owe West.

“We look to the law of trusts when interpreting ERISA plan documents.” Gamboa, 479 F.3d at 542 (citation and internal quotation marks omitted). We begin with the pension plan’s plain language. If the pension plan “contains uncertain terms, this court will not disturb the plan administrator’s interpretation of the plan, as long as it is reasonable.” Id. (citation omitted).

Our reasonableness review of a plan administrator’s interpretation is informed by the Finley factors, see Finley v. Special Agents Mut. Benefit Ass’n, 957 F.2d 617, 621 (8th Cir.1992), which guide us to consider whether the interpretation contradicts the plan’s clear language, whether the interpretation renders any plan language internally inconsistent or meaningless, whether the administrator has interpreted the words at issue consistently, whether the interpretation is consistent with the plan’s goals, and whether the interpretation conflicts with any substantive or procedural requirements of ERISA.

Gamboa, 479 F.3d at 542 (citation omitted).

The Local 710 pension plan gives the Trustees complete discretion to evaluate claims under the plan and to interpret the pension plan’s language. “Accordingly, we are limited to reviewing the [Trustee’s] interpretation of the [p]lan for an abuse of discretion.” 2 Id. at 541 (citation omitted). A decision is reasonable if it is supported by substantial evidence. See McGee v. Reliance Std. Life Ins. Co., 360 F.3d 921, 924 (8th Cir.2004). “Substantial evidence means such relevant evidence as a reasonable mind might accept as adequate to support a conclusion.” Id. (citation and internal quotation marks omitted). Under this standard, the plan administrator’s decision must be upheld “if a reasonable person could have reached a similar decision, given the evidence before him, not that a reasonable person would have reached that decision.” Gamboa, 479 F.3d *1086 at 542 (citation and internal quotation marks omitted).

At issue is whether the Trustees properly calculated West’s past and future pension credits under the pension plan’s terms in order to calculate West’s Local 710 pension. West asserts he is entitled to a Local 710 pension based upon 28 years of service. The parties agree West’s work with Yellow Freight resulted in 5.25 years of credited service with Local 710. In dispute is whether West can claim years of service credits for his non-Yellow Freight employment, thereby entitling him to a 28-year Special Regular Pension.

To be eligible for a Special Regular Pension, West needed 25 or more years of future pension credits. Local 710 Pension Plan § 3.061(c). A plan participant earns future pension credits “on the basis of his weeks of work in Covered Employment for which Employer Contributions were paid.... ” Local 710 Pension Plan § 4.04(a). Local 710 defines “Covered Employment” after the effective date as “employment by an Employer making contributions on behalf of the employee to the Trust Fund.” Id. at § 1.12(b). An “Employer” is defined as a party who either has (1) “duly executed a Collective Bargaining Agreement [CBA] which requires contributions to the Trust Fund”; or (2) “any Employer not a party to the [CBA] who satisfied the requirement for participation as established by the Trustees and agrees to be bound by the Trust Agreement.” Id. at § 1.08.

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528 F.3d 1082, 44 Employee Benefits Cas. (BNA) 1845, 2008 U.S. App. LEXIS 12734, 2008 WL 2404625, Counsel Stack Legal Research, https://law.counselstack.com/opinion/west-v-local-710-international-brotherhood-of-teamsters-pension-plan-ca8-2008.