Handee T. Lee v. Robert Nesbitt

Lee commenced this action in the District Court against the Trustees of the National Maritime Union Pension Trust, seeking a judgment declaring invalid one of the rules prescribing eligibility requirements for a retirement pension, specifically the “break-in-employment” rule (hereinafter “the rule”), and further declaring him to be entitled to a pension. Federal jurisdiction was based on the diversity of citizenship of the parties. Dersch v. United Mine Workers of America Welfare and Retirement Fund, 309 F.Supp. 395 (S.D.Ind.1969). Both parties made motions for summary judgment, the Court granted Lee’s and this appeal followed.

The National Maritime Union Pension Trust (hereinafter “the Trust”) was established by the National Maritime Union in 1953, pursuant to § 302(c) (5) of the Taft-Hartley Act ( 29 U.S.C. § 186 (c) (5) (1964) ), to provide pensions for the benefit of unlicensed seamen members. As required by that section, the Trust is administered by an equal number of employer and employee representatives, as trustees, for the benefit of those seamen whose employers contribute to the Trust fund. Under the Trust provisions, the trustees are vested with discretion to establish…