Opinion ID: 465260
Heading Depth: 3
Heading Rank: 2

Heading: Mandatory Attorney Fees

Text: 20 Under ERISA, the award of attorney fees to a pension plan is mandatory in all actions to collect delinquent contributions. 29 U.S.C. Sec. 1132(g)(2); Lads Trucking v. Board of Trustees, 777 F.2d 1371, 1373 (9th Cir.1985); Operating Eng. Pen. Trust v. Beck Eng. & Surveying, 746 F.2d 557, 569 (9th Cir.1984); Operating Engineers Pension Trust v. Reed, 726 F.2d 513, 514 (9th Cir.1984); Kemmis v. McGoldrick, 706 F.2d 993, 997-98 (9th Cir.1983); San Pedro Fishermen's Welfare v Di Bernardo, 664 F.2d 1344, 1346 (9th Cir.1982). 3 This mandatory attorney fees provision applies in all actions to collect delinquent contributions owed under 29 U.S.C. Sec. 1145, including actions to collect unpaid employer withdrawal liabilities. Lads Trucking, 777 F.2d at 1374. 21 Geltman contends that because the Fund brought an action under Secs. 1401(b)(2) and 1451 to confirm the arbitrator's award, this is not an action to collect delinquent contributions under Secs. 1132 and 1145 and, therefore, the mandatory attorney fees provision does not apply. 22 However, 29 U.S.C. Sec. 1401(d) treats an employer's failure to make timely payments in accordance with the arbitrator's final decision as a delinquent contribution. 4 29 U.S.C. Sec. 1401(d). As this court said in Lads Trucking, [f]ees are mandatory in a collection action where there has been 'any failure of the employer to make any withdrawal liability payments within the time prescribed.'  Lads Trucking, 777 F.2d at 1374 (quoting 29 U.S.C. Sec. 1451(b)) (emphasis added). 23 Geltman further argues that it was not delinquent in its contributions because it was not required to make any payments pending a final decision by the arbitrator. However, [w]e have enforced the requirement of payment during arbitration. Lads Trucking, 777 F.2d at 1375; Bd. of Trustees v. Thompson Bldg. Materials, Inc., 749 F.2d 1396 (9th Cir.1984), cert. denied, --- U.S. ----, 105 S.Ct. 2116, 85 L.Ed.2d 481 (1985). See also Textile Workers Pension v. Standard Dye & Finishing, 725 F.2d 843 (2d Cir.), cert. denied, --- U.S. ----, 104 S.Ct. 3554, 82 L.Ed.2d 856 (1984); Trustees of Retirement Fund v. Lazar-Wisotzky, Inc., 550 F.Supp. 35, 38 (S.D.N.Y.1982), aff'd, 738 F.2d 419 (2d Cir.1984). Under ERISA, an employer must make payments within 60 days of the pension plan's demand, regardless of the pendency of arbitration. 29 U.S.C. Sec. 1399(c)(2); Lads Trucking, 777 F.2d at 1374.  '[A]ny failure of the employer to make any withdrawal liability payment within the time prescribed' shall be a delinquency, 29 U.S.C. Sec. 1451(b), with mandatory attorneys' fees to be awarded to the pension plan, 29 U.S.C. Sec. 1132(g)(2). Lads Trucking, 777 F.2d at 1375. 24 Geltman also points out that the arbitrator's initial decision contemplated payment to the Fund within 30 days of the date of the decision. The Fund's application for confirmation of the arbitrator's award was filed only 29 days after the award was issued. Therefore, argues Geltman, no delinquency existed at that time. However, Lads Trucking indicates that a delinquency is not determined in relation to the timing of arbitration. Rather, an employer is delinquent 60 days from the pension plan's demand. Geltman had made no payments within that 60-day period. Therefore, it was delinquent. 25 Finally, Geltman argues that the Fund was not a prevailing party and may not be awarded attorney fees. We disagree. Sections 1132, 1145, and 1401(d) all contemplate that mandatory attorney fees shall be awarded to the pension plan if there is any failure of the employer to make any withdrawal liability payment. It has been admitted by all parties that regardless of the outcome of the case, Geltman owed some withdrawal liability. Therefore, Geltman's failure to make any withdrawal liability payment within the time prescribed requires us to award the pension plan mandatory attorney fees. 26 For the reasons stated above, we AFFIRM the district court's order confirming the arbitration award in favor of the Fund, REVERSE the district court's order denying the Fund attorneys' fees, and REMAND.