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June 11, 2015

Pension Fund’s use of Social Security Administration’s decision to determine an applicant’s eligibility for disability pension benefits permitted



Pension Fund’s use of Social Security Administration’s decision to determine an applicant’s eligibility for disability pension benefits permitted
USCA, Second Circuit, Docket #14-877

The Federal District Court dismissed an ERISA action brought by a pension plan participant seeking a pension on the basis of permanent disability. The applicant had challenged the Pension Plan Fund’s [Fund] reliance on a determination made by the Social Security Administration [SSA] as to his eligibility for disability pension benefits available to enrollees in the Plan.

The U.S. Circuit Court of Appeals affirmed the District Court’s ruling, explaining that the terms of the pension plan at issue gave the Fund discretion to determine an applicant's eligibility for benefits under the plan and the Fund reliance on the Social Security Administration’s determinations with respect to applicant’s disability and eligibility for disability retirement benefits in accordance with the Plan’s policies and procedures was neither arbitrary nor capricious.

The decision is posted on the Internet at:
http://www.ca2.uscourts.gov/decisions/isysquery/01595904-aa2e-47ce-84fb-00511c19d71f/1/doc/14-877_opn.pdf#xml=http://www.ca2.uscourts.gov/decisions/isysquery/01595904-aa2e-47ce-84fb-00511c19d71f/1/hilite/

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