H.C. Elliott, Inc. v. Carpenters Pension Trust Fund for Northern California

This is an action by a housing contractor against the Carpenters Pension Trust Fund for Northern California. The contractor, H.C. Elliott, Inc., sought declaratory and injunctive rulings that it had no liability to the Trust Fund under the withdrawal liability provisions of ERISA, the Employee Retirement Income Security Act of 1974, 29 U.S.C. §§ 1001 et seq. The Trust Fund counterclaimed seeking an order directing Elliott to pay its delinquent withdrawal liability payments, to submit disputes concerning withdrawal liability to arbitration and to pay installments as they become due. The case came before the district court on cross motions for summary judgment. The district court granted the Trust Fund’s motion and ordered the parties to proceed to arbitration as to the amount of the liability. Chief Judge Peckham’s careful opinion is reported at 663 F.Supp. 1016 (N.D.Cal.1987). We affirm.

The case calls for interpretation of 29 U.S.C. § 1383 (b)(2). ERISA provides that when an employer withdraws from obligations under a collective bargaining agreement requiring trust fund contributions, the employer must pay an assessment to the fund. 29 U.S.C. § 1381 (a). In the construction…