Northwest Administrators, Inc. v. San Bruno Garbage Co.
Docket: No. 07-16509
Court: Court of Appeals for the Ninth Circuit; February 22, 2009; Federal Appellate Court
Northwest Administrators, Inc. appeals a summary judgment favoring San Bruno Garbage Co., Inc. regarding allegations of breach of a collective bargaining agreement (CBA) under ERISA and the National Labor Relations Act. Northwest claims San Bruno failed to make required pension contributions to the Western Conference of Teamsters Pension Trust Fund for employees on workers’ compensation. The court affirms the summary judgment, stating that the Trust's interpretation of the CBA lacks deference and is reviewed de novo. The court finds that the CBA does not mandate pension contributions for employees receiving workers’ compensation. Contributions are only required for “straight-time hours worked” and “compensable hours,” with “compensable hours” interpreted as hours for which San Bruno pays wages, irrespective of whether employees are working. There is no evidence that San Bruno self-insured or calculated workers’ compensation on wage hours. The court also dismisses Northwest's claim regarding the introductory paragraph of Article C, Section 4 of the CBA as creating an entitlement to contributions for workers’ compensation payments, noting that even if the CBA were ambiguous, the extrinsic evidence provided does not present a genuine issue. Testimony from Robert Morales, the union's negotiator, suggested an intention for contributions during workers’ compensation, but the court found no evidence that San Bruno was made aware of this intent. The court acknowledges that gaps in CBAs may be addressed by industry practices but finds that Morales's references to another CBA with San Francisco Nor-Cal, which allegedly requires contributions for workers’ compensation, lack supportive evidence regarding its applicability to San Bruno. The appeal is affirmed, with the court indicating that this disposition is not intended for publication and does not set a precedent except as allowed by specific circuit rules.