Opinion ID: 734209
Heading Depth: 1
Heading Rank: 1

Heading: facts

Text: 2 Collins was an ACIPCO employee and a participant in the Plan, which is self-funded and administered by ACIPCO. After Collins was seriously injured on the job in 1987, ACIPCO began paying him worker's compensation benefits. Three years later Collins retired on disability and began drawing pension benefits. ACIPCO then terminated his worker's compensation checks. Collins hired an attorney to sue ACIPCO over his worker's compensation benefits and agreed to pay the attorney 15% of any recovery plus reasonable expenses. Collins and ACIPCO settled the worker's compensation suit for $79,000, and ACIPCO tendered a check in that amount payable to Collins and his attorney. Collins received $64,091.33 of the settlement, and his attorney received $14,908.67. Two years later, ACIPCO notified Collins that, in accordance with the Plan, it would begin reducing his pension payments by the amounts received for worker's compensation disability benefits. R2-17, Exh. A. The relevant Plan provision is as follows: 3 Adjustment to Benefits. Notwithstanding the provisions of this Plan, in the event that a Participant who is receiving a pension hereunder is or becomes eligible for a disability benefit under the Alabama Workmen's Compensation Law, as amended, the amount of such pension shall be reduced by the Workmen's Compensation benefit payable to such Participant in accordance with such rules and regulations as may be adopted by the Employer. 2 4 R2-13, Exh. B, § 5.9 (emphasis added). Collins testified that he never received nor requested a copy of the Plan. However, he concedes that he received two copies of the Summary Plan Description (SPD), which addresses this issue in two places. First, under the heading Disability Retirement Pension, the SPD states: The amount of the Disability Retirement Pension will be reduced by any benefit that the disabled employee receives under the Alabama Workmen's Compensation Law. R2-13, Exh. C at 3 (emphasis added). A different section of the SPD elaborates: Workmen's Compensation Deductions. If a participant is or becomes eligible for a disability benefit under the Alabama Workmen's Compensation Law, the amount of the basic benefit will be reduced by the Workmen's Compensation benefit payable to the participant. Id. at 4 (emphasis added). 5 Collins does not contest the reduction of his pension benefits to offset his worker's compensation settlement; rather, he argues that the offset should not include the 15% of the settlement that he paid to his worker's compensation attorney. Thus, this dispute is about who pays the attorney's fees: Collins or the Plan.