Lesson learned: Put it in writing
The facts in the case are detailed, but in essence, the court held that although it has been long understood that the parties to a collective bargaining agreement may change most terms by conduct (i.e., without a signed amendment), by contrast, the precise terms of pension contributions contained in an ERISA (Employee Retirement Income Security Act) multiemployer pension plan document can only be changed in writing.
Hence, it is prudent for the written provisions of an ERISA plan document to be updated so they are consistent with operational practice and the understanding of the boards of trustees and participating employers. For many years, Bulk Transport was a party to collective bargaining agreements with Teamsters Local 142.
See attached for the full article by Tom Shaevsky, Benesys General Counsel
