Forrish v. Kennedy

• Decision Date: 24 May 1954
• Citation: 105 A.2d 67,377 Pa. 370
• Parties: FORRISH v. KENNEDY et al. Appeal of KENNEDY.
• Court: Pennsylvania Supreme Court

Page 67

105 A.2d 67

377 Pa. 370

FORRISH v. KENNEDY et al.

Appeal of KENNEDY.

Supreme Court of Pennsylvania.

May 24, 1954.

Frank J. Gormley, Martin B. Gormley, Hazelton, for appellant.

Andrew Hourigan, Jr., Allan M. Kluger, George A. Spohrer, Pittston, White, Rowlands & Hourigan, Leo W. White, Wilkes-Barre, for appellee.

Before STERN, C. J., and STEARNE, JONES, BELL, CHIDSEY, MUSMANNO and ARNOLD, JJ.

CHIDSEY, Justice.

This appeal arises out of an action in equity tried upon a case stated to compel the trustees of the Anthracite Health and Welfare Fund to pay the plaintiff a retirement pension out of the fund.

The relevant facts as agreed to by the parties are as follows: In 1909 the plaintiff, Vincent Forrish, a miner in the anthracite coal industry in Pennsylvania, became a member of the United Mine Workers of America, District 1, after he fulfilled the necessary qualifications and paid the required initiation fee. From that time until the present he has continuously maintained such membership by paying the necessary dues and assessments and by otherwise meeting the obligations of membership. From on or about June 17, 1947 to June 23, 1950 he held a Restaurant Liquor License for certain premises in Luzerne County, Pennsylvania.

The constitution of the International Union, United Mine Workers of America, effective November 1, 1948, in Article XIV, Section 2 contains a provision that persons engaged in the sale of intoxicating liquors shall not be eligible for membership. Notwithstanding the fact that he engaged in the sale of intoxicating liquors, of which the local officers of the Union were well aware, he continued to pay the requisite dues to such officers until June, 1952 in order to maintain his membership in the Union.

The stipulation between the parties further recites that by an agreement entered into on June 7, 1946 between the International Union and Districts 1, 7 and 9, United Mine Workers of America, parties of the first part, and the Anthracite Operators, parties of the second part, an irrevocable trust was created, known as the Anthracite Health and Welfare Fund, with funds thereafter provided by the signatory anthracite operators. This agreement and three supplemental agreements provided that the fund was to be managed by three trustees. The several agreements provided that the fund was to be used for making payments to members of the United Mine Workers of America, and their dependents and survivors with respect to wage loss and other related welfare purposes and for the establishment of a separate fund to be used for pensions or annuities. The agreement also provided that '* * * Subject to the stated purposes of the Fund, the Trustees shall have full authority with respect to questions of coverage and eligibility, priorities among classes of benefits, amounts of benefits, methods of providing or arranging for provisions of benefits and all related matters.' (Emphasis supplied.)

On July 26, 1948 the defendants, Thomas Kennedy, Robert L. Birtley and Mart F. Brennan, as the duly appointed trustees of the fund, acting in pursuance of the authority vested in them by the several agreements, adopted a resolution which, as amended on April 18, 1949, reads as follows: 'Be It Further Resolved, that a pension of One Hundred Dollars ($100.00) per month shall be paid, subject to amendment or modification at any time as experience in the operation of the Fund may dictate or require, to each eligible and qualified member of the United Mine Workers of America, Districts 1, 7 and 9, who, on June 1st, 1946, attained or thereafter attains the age of 60 years and who has served 20 years in the Anthracite Coal Industry in the State of Pennsylvania and who has retired from service in the Anthracite Coal Industry in the State of Pennsylvania on a date subsequent to June 1st, 1946; * * *'.

On July 26, 1948 the defendants, as trustees, in order to effectuate the payment of pensions in accordance with the terms and conditions of the foregoing resolution, inter alia, adopted the following rule as to proof of membership: 'Membership in the United Mine Workers of America must be certified to by the Local Union and confirmed by the District in accordance with rules and laws of the United Mine Workers of America. The International Union shall have final say in all matters pertaining to membership in the United Mine Workers of America.'

On July 17, 1950 the plaintiff, having sold his liquor business and having returned to his former occupation a short time before, became 60 years of age. Some two months later he was compelled to retire from the anthracite coal industry due to the effects of an injury which he had previously sustained while working as a miner. In November, 1950 plaintiff applied to the trustees, defendants, for his pension of $100 a month. After due investigation, his membership in the United Mine Workers of America was certified to by the Local Union and confirmed by District 1 as set forth in the following letter from the Secretary-Treasurer of the District to the Fund: 'In accordance with your request of January 3, 1951, an investigation was made of...