John Leicht v. Southwest Carpenters Pension

MEMORANDUM

John Leicht appeals the district court’s order granting summary judgment to the Southwest Carpenters Pension Plan (“Plan”). Where an ERISA plan grants discretionary authority to determine eligibility for benefits or to construe the terms of the plan, we review the administrator’s interpretation for abuse of discretion and the district court’s application of this standard de novo. Tapley v. Locals 302 & 612 of the Int’l Union of Operating Eng’rs-Emp’rs Constr. Indus. Ret. Plan, 728 F.3d 1134, 1139 (9th Cir.2013). We review de novo whether the terms of an ERISA plan are plain or ambiguous. McDaniel v. Chevron Corp., 203 F.3d 1099, 1110 (9th Cir.2000). Because the Plan’s interpretation of its provisions was “not grounded on any reasonable basis,” see Tapley, 728 F.3d at 1139 , we reverse.

Interpreting the term “building inspector” as would a person of average intelligence and experience, see id. at 1140 , we conclude that the term is unambiguous and that the Plan abused its discretion when it arbitrarily construed the term to mean only publicly-employed building inspectors. “The Trustees’ interpretation need not be the one this court would have reached, but only an…