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LIPTON v. CONSUMERS UNION OF U.S., INC.

No. 98 Civ. 1599(LAK).

37 F.Supp.2d 241 (1999)

Barry LIPTON and Edward Lopez, as the Union Trustees of the Newspaper Guild of New York Consumers Union Pension Fund, Plaintiffs, v. THE CONSUMERS UNION OF THE UNITED STATES, INC., and Maurice Eskenazi, Norman Leonarczyk, and Rick Lustig, as the Employer Trustees of Newspaper Guild of New York Consumers Union Pension Fund, Defendants.

United States District Court, S.D. New York.

January 20, 1999.

Attorney(s) appearing for the Case

Brian O'Dwyer, O'Dwyer & Bernstein, New York City, for Plaintiff.

Myron D. Rumeld, Proskauer Rose, New York City, for Defendants.

MEMORANDUM OPINION

KAPLAN, District Judge.

This case presents the question whether an employer pension fund, established with a provision that limits investment of plan assets in certain securities to serve the employer's business interests, violates Section 302(c)(5) of the Taft-Hartley Act. Plaintiffs allege that the plan violates the Act because it was not established for the sole and exclusive benefit of the participants of the plan and their beneficiaries...

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