Legal Document

516 U.S. 489116 S.Ct. 1065134 L.Ed.2d 130 VARITY CORPORATION, Petitioner,v.Charles HOWE et al. No. 94-1471. Supreme Court of the United States Argued Nov. 1, 1995. Decided March 19, 1996. Syllabus * After petitioner Varity Corporation decided to transfer money-losing divisions in its subsidiary Massey-Ferguson, Inc., a separately incorporated subsidiary, Massey Combines, it held meeting persuade employees failing change employers and benefit plans. Varity, Massey-Ferguson plan administrator as well employer, conveyed basic message that employees' benefits would remain secure when they transferred. In fact, Combines was insolvent from day created, and, ended second year receivership, who had transferred lost their nonpension benefits. Those employees, including respondents, filed this action under Employee Retirement Income Security Act 1974 (ERISA), claiming through trickery, led them withdraw old forfeit benefits, seeking have been owed not changed employers. The District found, among other things, acting ERISA fiduciaries, harmed beneficiaries deliberate deception, thereby violated § 404(a)'s fiduciary obligation administer Massey-Ferguson's "solely interest [plan's] participants beneficiaries," 502(a)(3) gave respondents right "appropriate equitable relief . redress" harm deception caused individually, such included reinstatement plan. Appeals affirmed, relevant part. Held: 1. an "fiduciary" significantly deliberately misled respondents. Court's factual findings, unchallenged by adequately support court's legal conclusion that, made misrepresentations, exercising "discretionary authority" respecting plan's "management" or "administration," within meaning 3(21)(A). court found key largely about for documents presented there described detail, explained similarity between past future plans principle, assured continue receive similar practice. To offer detailed information order help decide whether with is essentially exercise power "appropriate" carrying out important purpose. Moreover, materials used at came those firm authority communicate fiduciaries beneficiaries. Finally, reasonable circumstances Court, could thought communicating both employer administrator. Pp. __-__. 2. misleading obligations 404 imposes upon administrators. participate knowingly deceiving save money beneficiaries' expense, act beneficiaries." There no basis statute any special interpretation might insulate consequences kind conduct often creates liability even strangers. 3. authorizes lawsuits individualized breach obligations. This decision Massachusetts Mut. Life Ins. Co. v. Russell, 473 134, 105 3085, 87 96, 502(a)(2) which permits actions "for appropriate [§ ]409"—does provide individual does mean subsection (3). language limiting Russell appears 409, only itself, 409 cross-referenced Further, another remedial provision (subsection (1)) provided remedy plaintiff's injury, whereas here all were unable proceed Granting also consistent ERISA's language, structure, Subsection (3)'s broad enough cover obligation, statutory supports conclusion. Nothing structure indicates Congress intended contain exclusive set remedies every breach. 502's suggests general "catchall" provisions subsections (3) (5) safety net, offering injuries violations 502 elsewhere remedy. Contrary Varity's argument, nothing legislative history conflicts interpretation. purpose protecting interests favors reading provides Amici's concerns permitting will upset congressional purpose—the need sensible administrative system—seem unlikely materialize. 36 F.3d 746 (C.A.8 1994) 41 1263 1994), affirmed. BREYER, J., delivered opinion REHNQUIST, C.J., STEVENS, KENNEDY, SOUTER, GINSBURG, JJ., joined. THOMAS, dissenting opinion, O'CONNOR SCALIA, On Writ Certiorari Eighth Circuit. Floyd Abrams, New York City, petitioner. H. Richard Smith, Des Moines, Iowa, respondent. Edwin S. Kneedler, Washington, DC, amicus curiae, leave Court. Justice BREYER 1 A group firm's employee welfare plan, protected 88 Stat. 832, amended, 29 U.S.C. 1001 seq. (1988 ed.), sued administrator, employer. They claim seek, essence, reinstate each participant employer's lower courts entered judgment favor, we agreed review judgment. 2 conducting our review, do question courts' findings serious but instead consider three questions. First, (as determined courts), capacity beneficiaries? Second, beneficiaries, did violate administrators? Third, authorize bring lawsuit, one, seeks administrator's obligations? 3 We answer these questions therefore affirm Appeals. 4 facts, after trial, include following: Charles Howe, work farm equipment manufacturer, wholly-owned petitioner, Corporation. (Since "alter egos," shall refer interchangeably.) These in, of, self-funded plan—an ER ISA-protected itself administered. mid-1980's, became concerned some losing too much developed business deal problem. 5 plan—which called "Project Sunshine" amounted placing many eggs one financially rickety basket. It divisions, along various debts, newly Combines. foresaw possibility fail. But viewed failure, perspective, closer victory than defeat. That because Combine's failure eliminate several poorly performing eradicate debts which, absence reorganization, more profitable subsidiaries pay. 6 Among hoped reorganization arising promises pay medical divisions. Rather terminate directly retained do), attempted avoid undesirable fallout accompanied cancellation inducing divisions' switch voluntarily release (effectively substituting new, former plan). Insofar so, subsequent eliminate—simply automatically, without distressing remaining employees—what otherwise 7 accept together talked Combines' outlook, likely financial viability, security thrust remarks (which discuss greater detail infra, __-__) if As knew, however, reality very different. Indeed, creation hid $46 million negative net worth overvaluing assets underestimating liabilities. 8 presentation, 1,500 accepted assurances transfer. (Varity unilaterally assigned 4,000 workers retired prior requesting permission informing assignment). Unfortunately first loss $88 million, Many (along retirees whose others claims now consider) brought old, 9 deception. ERISA-imposed inter est beneficiaries" 404(a). added individually. considered relief," into own continued divisions). ordered certain monetary issue here. later affirmed determinations, 1994). 10 granted certiorari case primarily Courts disagreed proper 502(a)(3), authorized lawsuit case. Some section, applied awards individuals, suits obtain (as, example, beneficiary sues representative capacity, compel dishonest return embezzled funds See McLeod Oregon Lithoprint 46 956 (C.A.9 1995); Simmons Southern Bell Telephone Telegraph Co., 940 F.2d 614 (C.A.11 1991). Other Appeals, Circuit case, read limitation statute. Bixler Central Pennsylvania Teamsters Health & Welfare Fund, 12 1292 (C.A.3 1993); Anweiler American Electric Power Service Corp., 986 (C.A.7 1993). 11 has raised two additional issues. points section fiduciaries; argues deceived employees. event, standard imposes. issues be fairly scope posed petition certiorari, although respect construe petition, sufficiently call holding breached duty involuntarily With limitations mind, turn presented. II 13 protects pensions providing insurance (for vested pension rights, see 4000 seq.), specifying characteristics (such how vest, §§ 201-211), setting forth duties applicable management 404. interpret apply related provisions. 14 doing recognize draw content common law trusts, governed most before enactment. States, Southeast Southwest Areas Pension Fund Transport, 472 559, 570, 2833, 2840, 86 447 (1985) ("[R]ather explicitly enumerating powers trustees invoked trusts define responsibility"); H.R.Rep. 93-533, pp. 3-5, 11-13 (1973), Legislative History Employment (Committee Print compiled Senate Subcommittee on Labor Committee Public Library Congress), Ser. 93-406, 2350-23 52, 2358-2360 (1976) (hereinafter Leg. Hist.); G. Bogert Bogert, Law Trusts Trustees 255, p. 343 (rev.2d ed.1992). 15 recognize, trust tell entire story. all, standards procedural protections partly reflect determination completely satisfactory protection. 2(a). supra, 11-13, Hist. 2350-2352; 2358-2360; H.R. Conf. Rep. 93-1280, 295, 302 (1974), 4562, 4569. And, trust-like imposes, "expect[ed] prudent man rule (and standards) bearing mind nature plans," id., 302, 4569, "develop 'federal rights ERISA-regulated plans.' " Firestone Tire Rubber Bruch, 489 101, 110-111, 109 948, 954, 103 80 (1989) (quoting Pilot Dedeaux, 481 41, 56, 107 1549, 1557-1558, 95 39 (1987)). 16 Consequently, believe inform, necessarily determine outcome effort duties. instances, starting point, must go ask whether, what extent, statute, purposes require departing common-law requirements. may take account competing purposes, Congress' desire enhanced protection hand, other, create system so complex costs, litigation expenses, unduly discourage place. Compare Curtiss-Wright Corp. Schoonejongen, 514 ----, 115 1223, 1228-1229, 131 94 (1995), Mertens Hewitt Associates, 508 248, 262-263, 113 2063, 2071-2072, 124 161 (1993). 17 followed approach interpreting, applying, us. 18 begin status. part, says "person plan," subject duties, "to extent" he she "exercises discretionary control management" "has responsibility administration" 19 permits. (employer is, circumstances, default administrator) NLRB Amax Coal 453 322, 329-330, 101 2789, 2794-2795, 69 672 (1981) (common prohibits positions conflict beneficiaries); 543, 218, 264 (same). But, obviously, activities involved administration. communicated transferring administering managing plan; rather, 20 misrepresentations regarding made, wearing "fiduciary," "employer," hat. reviewing conclusion, give deference recognizing comparative advantage understanding specific context events occurred. beli eve challenge) "administration" independently reviewed. 21 spring 1986, summoned corporate headquarters 30-minute presentation. saw 90-second videotaped Mr. Ivan Porter, vice-president newly-appointed president. received four documents: (a) several-page, comparison offered Combines; (b) question-and-answer sheet; (c) transcript Porter videotape; (d) letter acceptance form. Each discussed plans, briefly terms, length detail: 22 longest document, side-by-side comparison, contained description Its object show transfer, same. says, "Diagnostic x-ray laboratory expenses paid customary charges services." App. 70. then repeats same sentence describing expenses" Ibid. describes different way. 23 eight answers sheet relate administered: 24 "Q. What happens my pension, etc.? 25 "A. When you MCC [Massey Combines], levels programmes unchanged. seniority pensionable service. 26 4. Do expect terms conditions employment change? 27 depend ability make success changes are necessary appropriate, made. 28 8. Are MCC? 30 Responsibility earned being assumed Plan. 31 "The Ferguson Plan fund actuarial calculations, Such legislation protect 32 "There result your Corporation." Id., 75-77. 33 videotape repeated sheet, adding viability: 34 "This restructuring created ensure viability. I can successful enterprise want for. 35 ". Corporation, programs should deemed necessary, "Finally, despite depression persists North economy, am exc ited 79-80. 37 letter, five short paragraphs, verbatim benefit-related assurances: 38 "To enable us process payment you, complete below letter. "When success, 40 "We optimistic new company, bright future, excited challenges facing "In uninterrupted continuation please signed employment. ." 82-83. 42 Given record material, determined, matter, meeting, considerable concluded undermine given view reached correct namely, spoke, significant 43 fall definition acts, limit activity acts "administration." words self-defining, neither falls clearly nor outside words. dissent looks dictionary interpretive assistance. post, __. Though dictionaries sometimes matters, look law, over years, normally presume, meant refer. See, e.g., Nationwide Darden, 503 318, 112 1344, 1347-1348, 117 581 (1992). ordinary perform imposed, conferred, documents. Restatement (Second) 164 (1957); 76 Am.Jur.2d, 321 Cf. understands document implicitly confer "such purposes" trust. A. Scott W. Fratcher, 186, (4th ed.1988). 551, 41; U.S., S.Ct., 2840. Conveying informed choice participation, seem specifically requires administrators 102, 104(b)(1), 105(a). And administrators, part responsibilities, frequently minimum requires—for answering te rms easily plan-related activity. Agency 229(1) (1957) (determining "scope employment" examining "of authorized"). 44 far reveals, Porter's videotape, documents, connected speak 402(b)(2) (a describe "procedure allocation responsibilities operation administration plan"). 45 Reasonable distinguished consciously roles. known expert knowledge worked. central ("your secure") drawn strength awareness expertise, reasonably aware importance intended. conclude, therefore, statements combined activity, engaged sufficient fiduciary. 47 raises contrary arguments. disclosure ERISA, instruments, 5-26, required statements. engaging making them, seems suggest. __-__, n. 12. (or trust) simply complying imposed regime; includes "ordinary natural means" achieving "objective" 41-52. primary function constrain controlled instrument regime. If already serve 48 worried Court—the "bright future"—it speaking fiduciary), subsidiary's virtually argument parses meeting's communications finely. ultimate convey—"your secure" —depended "unchanged," "bright" future. focused underlying supporting statement separately, interested truthfulness adversely affect present (see __-__), intentionally closely linked (some concerning viability corporation) 49 hold, suggests, acted expected condition "an turn[ed] adverse impact plan." Post, Instead, undisputed facts inferences drawn, namely health communication rendered materially misleading. Pet. Cert. 64a-65a, &Par; 65, 68. hold intentional representations 50 amend do) ---- - 1228-1229. How then, asks, conveying likelihood termination administration? While true amending terminating beyond trustee)—and, cannot "administration"—it follow above, have, commonly exercise, B 51 question—whether obligations—calls brief, affirmative answer. "discharge his solely held, "[l]ying inconsistent loyalty codified 404(a)(1) ERISA," Peoria Union Stock Yards Penn 698 320, 326 1983). 570-571, 2840-2841 (ERISA loyalty); 218-219 (duty trustee honestly 2A 170, 311-312 (same); 170 Because uphold below, reach disclose truthful initiative, response inquiries. 52 mentioned "bearing plans." find adequate here, otherwise, fiduciary, (intentional misrepresentation) 53 aware, o f possible reason departure principles. arguing breaches integrity intent, shown fact individuals breaches; limited itself. fails, because, view, duty, next discuss. C 54 invoked, relief. third six "Civil Enforcement" stood times lawsuit): 55 "Sec. 502. civil — 56 "(1) 57 "(A) 58 [providing liquidated damages request], 59 "(B) recover due him 60 enforce clarify 61 "(2) Secretary, participant, [entitled "Liability Breach Fiduciary Duty"]; 62 "(3) beneficiary, (A) enjoin practice violates title (B) (i) redress (ii) 63 "(4) violation 105(c) [requiring tax registration statements]; 64 "(5) except (b), Secretary title, title; 65 "(6) collect penalty (i)." 502(a), 1132(a) ed.) (emphasis added). 66 subsection, italicized, suit awarded. concedes plaintiffs satisfy provision's requirements, "participants" "beneficiaries," suing "equitable" "redress" 404(a), "provision title." agree, "appropriate." makes complicated, four-step argument: 67 Step One: Section 502(a)'s plaintiff 409." Two: 409(a), turn, reads: 68 Duty Sec. 409.(a) Any person obligations, personally liable good losses resulting breach, restore profits use deem removal (Emphasis added.) 70 Three: 96 (1985), pointed above-italicized companion provision, two) compensatory punitive against wrongfully delayed her claim. italicized phrases, said, 409's "draftsmen misuse assets, rather beneficiary." 142, 3090 context, last phrase ("other relief") "authorize itself." 144, 3091. 71 Four: light (the us) "appropriate") action—an individual, excluded two. disagree Varity. reexamined Varity's. 72 discusses (§ 409) third, cross-references. Russell's expressly disavowed reliance 139, 5., 3088 n.5, perhaps Mertens, 256-258, 8, 2068-2070, (compensatory "equitable relief" three); 409(a) (authorizing "other complicating factor ) sort injury suffered (wrongful denial benefits), said "nothing recovery extracontractual damages, delay administrators' processing disputed claim." differences lead conclude control, either explicitly, 73 three's favor three—"appropriate "act title"—are obligation. Duty"—means companion, liability. says. contrary. 502(l), 1989, calculates percentage sum "ordered five. identical three, 502(a)(5). foresee instances implication, aw ard "participants "plan," 74 statute's offers little support. notes refers (through cross-reference) while refers, "catchall," Title One violations. canon construction, "the governs general," means (fiduciary breach) (catchall) inapplicable Canons "rules thumb" "help legislation." Connecticut Nat. Bank Germain, 249, 253, 1146, 1149, 391 properly understand rationale. understood ("the general") warning applying provision. Morales Trans World Airlines, 504 374, 384-385, 2031, 2037-2038, 119 157 (1992); HCSC-Laundry 450 6, 836, 838-839, 839-840, (1981); Fourco Glass Transmirra Products 353 222, 228-229, 77 787, 791-792, 786 (1957). Yet, why limitation? 75 contrary, reflecting concern asset finding clear than, addition to, assets. 3(21)(A) (defining disposition assets") For concedes, __, engages claimant entitled 404(a)(1)(D); Dept. Labor, Interpretive Bulletin 75-8, CFR 2509.75-8 (1995) ("[A] final disallow payments cases where dispute exists fiduciary"); Moore Reynolds Metals Program, 740 454, 457 (C.A.6 1984); Birmingham SoGen-Swiss Intern. Plan, 718 515, 521-522 (C.A.2 3091, claims, framework runs injured beneficiary. 502(a)(1)(B). Firestone, 108, 953. Why yet sorts another, section? overall structure. Four section's focus areas, i.e., information), integrity), fourth (tax registration), sixth (civil penalties). subsections, fifth, "catchalls," "any" violation. S.Rep. 93-127, 621 (describing version enforcement "provide redressing preventing [ERISA]"); 17, 2364 House terms). Fourth, 78 establishing conduct, responsibility, ready access Federal courts." 2(b). 79 furtherance objective, discharge objectives, hard imagine immunize denying Amici strong important, system. say threatens increase cost them. Consider surgery ground coverage. At present, decisions degree gives eligibility 115, 956-957. happen, amici, repackage "denial benefits" "breach duty?" Wouldn't court, ask, forgo "rigid level conduct" fiduciaries? consequence, "incompatible hearing disputes" depending claimed benefits," Brief Chamber Commerce Amicus Curiae 10. Consider, too, add, board trying proposed medically necessary. Will Board's "duty loyalty" surgery-seeking risk inadequate attention countervailing, costs preserve funds? 11. 81 Thus, amici warn legally enforceable extends consequences. Administrators tend requiring assets; nonexpert try supervise closely, guess, technical administrators; lawyers complicate dressing up "fiduciary duty" clothing. consequences, position. 82 raise materialize, s. themselves, nonpayment. recognizes impartial 183 (discussing impartiality); 232 83 characterizing deny deferential authority, based doctrines govern conduct. 187 ("Where discretion conferred power, prevent abuse discretion") quoted 111, 954). 84 courts, fashioning relief, keep "special "policy choices reflected inclusion exclusion others." 54, 1556. 147, 3092-3093; 263-264, 2072. beneficiary's further 85 longer members "benefits [them] [the] tied rely all. ERISA-related serve. Rather, granting literal Act's pre-existing law. reasons, Affirmed. whom SCALIA join, dissenting. 89 502(a)(2), 1109, 1132(a)(2) designed "be behalf whole." 9, 3090, 9. today holds 1132(a)(3), catchall follows unavailable 502(a)(2). squared text repudiation reasoning Russell. finds "plan-related nature" perceived conducted Ante, holding, like first, text. holdings fundamentally odds scheme enacted Congress, respectfully dissent. 90 91 "ERISA observed, 'comprehensive reticulated statute,' product decade study Nation's private system." 251, 2066, (1993) Nachman Benefit Guaranty 446 359, 361, 100 1723, 1726, 354 (1980)). enormously resolved innumerable disputes powerful interests—not potential plaintiffs." 262, 2071. "evident care" crafted, traditionally "reluctant tamper scheme" embodied 3093. Accordingly, repeatedly declined invitations extend 2071-2072 (rejecting affords cause nonfiduciary participates breach); 145-148, 3091-3093 (declining invitation implied damages); (1987) (holding 502(a) supplemented state remedies). 92 Nowhere care crafted evident mechanism Part regulatory provisions, "Fiduciary Responsibility," 401-414, 1101-1114, assigns "a number responsibilities." 2066. Entitled Duty," provides: 93 "Any subchapter fiduciary." 1109(a) ed.). "carefully integrated provisions." 146, 3092. allows participants, "civil 409. Of nine currently duty. chose carefully constructed framework, Act, alternative 1132(a)(3) "by pra ctice 97 Since 404, since subchapter, contend cognizable plain 502(a)(3). Respondents plausible textual reference surrounding precedents. 98 Respondents' 502(a)(3)'s obviously motivated supra. entity," 140, 3089, allow participants. 139-144, 3088-3091; 3091 ("Congress intend itself"). seek wish reserved available 5, 3088, rightly route securing desired 99 vacuum, respondents' favor. went great lengths enumerate 401-408; 410-412, contrast, generally worded fails mention "[I]t commonplace construction general." 384, 2037, (1992) (citing Crawford Fitting J.T. Gibbons, 482 437, 445, 2494, 2499, 385 "[T]he settled '[h]owever inclusive "will matter dealt enactment." ' 228, 791, (citations omitted). particularly where, comprehensive targeted problems solutions. 839, (per curiam) (This "basic principle construction" applies "particularly [provisions] interrelated positioned, parts of" scheme). Applying bringing duty.1 breaches, presume address timely authorizing plan— 502(a)(1)(B) —says damages") (citation appropriate" allowed recovered reversed did. 3089. majority's position, forgot uses appropriate") relief"). strained "[t]he assumption inadvertent omission especially suspect close consideration interlocking, interrelated, interdependent scheme, statute.' 3092 1726). Mackey Lanier Collection Service, 486 825, 837, 108 2182, 2189-2190, 836 (1988).2 renders portion superfluous. If, holds, individuals. limits primarily, exclusively, 142-143, 10, promise entirely redundant. well-settled "courts disfavor interpretations statutes render superfluous." course, avoided written enactments trump ones ERISA. 102 "specific governing however. Nor interrelationship lies proof, majority ignores, never shrift ante, overlooking able does. analysis "actions [must] concludes "Russell us." 104 dismissed. Our defining [on] weighed heavily analysis, ultimately "[a] fair contextual statute," "Congress wrong states limiting" relied whole, dismiss insight Much forecloses instance, interpreting afford relationship characterized outset [of is] 'with plan.' significant, employed time referred oblig ation 3(21)(A), 405, 406, 411, 1002(21)(A), 1104, 1105, 1106, 1111. manner discharge[s] places bear meaning," Estate Cowart Nicklos Drilling 505 469, 479, 2589, 2596, 120 379 omitted), accord references plan" significance attributed reveals regulate 106 Furthermore, emphasis entity" "apparent" face pervades expected, reflects enforces. recognized wording principal management, administration, investment maintenance records, specified information, avoidance interest." 3090. "duties 404(a)(1)(A)(i), equally commands cited evidence 10.3 principally thus throughout enforces.4 though irrelevant, dispositive. analyzed "contextual reading" conjunction become "abundantly 409's] draftsmen breach; surely chose, creating single piecemeal apparent intent exclusively abundant Even assuming agree committed defines extent 1002(21)(A). place determining constrained, am, command actionable Act.5 110 Under permitted sponsor 408(c)(3), 1108(c)(3) Employers choose assume company accordingly, owe entities. arrangements, forbids inherent interest,6 sacrificed forced Hence, [their] 404(a)(1). understood, run profitably best 111 term struck balance believed impinging decisions. recognition trustee-beneficiary arrangements forbids, "define[d] 'fiduciary' formal trusteeship, functional 2071 original). "is "he 3(21)(A)(iii), 1002(21)(A)(iii) ed.).7 "artificial 'fiduciary,' 2068, designed, administers times, activated. borrowed enacting 954-955, (1989), forget 'every involving 'starting point itself.' Ernst Hochfelder, 425 185, 197, 1375, 1383, 668 omitted); Denver, N.A. First Interstate N. A., 511 114 1439, 128 (1994). careful abide since, explained, departs respect. majority, tells "starting point" status trusts. Accordi ng "after" assess "go on" definition, inquiry requirements." novel stands traditional head. 3(21)(A)(iii). "administer" "manage execution Webster's Ninth Collegiate Dictionary (1991). International (2d ed.1957) Essentially, implement carry Act. implementation when, argued "made class MCC's prospects anticipated effect transfers plaintiffs' benefits." Plaintiffs-Appellees 93-2056 (CA8), 27. Although participants' assessment qualify "plan course running business, countless 'ERISA "day-to-day transactions, collateral prospective, contingent performed participants." Adams Avondale Industries, 905 943, 947 (CA6) cert. denied, 498 984, 517, 529 (1990). decisions, dividend incur debt, fear modify involve 1228, (parenthetically quoting Adams, 947, proposition 'a deciding plan' "). term, type procedure, failed according actually found. An current corporation.8 Similarly, impliedly evince intention increase, decrease, maintain Like make, "corporate settlor," Borst Chevron 1308, 1323, (C.A.5 1699, 561 E RISA's rules apply. implementing executing terms. incidents burdened 3(21)(A)(iii).9 116 sure, impose "comprehensive 'reporting disclosure' requirements," elaborate enabling learn time." 1230-1231; 101-111, 1021-1031.10 abreast sponsor's intentions regard reducing benefits.11 penalties wholly apart 502(a)(1)(A), 502(c). "[t]his foolproof informational quite thorough." 1231. types extensive requirements administration."12 company's transactions unvested regularly untruthfulness magically transform representation one; determinative 118 passing referen ce text, discards replaces broader plucked Relying treatises whenever exercises 'powers purposes' trust." __ Scott, ed.1988)).13 flawed least respects. borrows fiduciary's once inexplicably takes presumes ignores patent expands designated text.14 disregards distinction respective roles counsel wholesale importation, trustees. charged "exclusive manage 403, 1103. trustee's exclusive, lacks preeminent trustee, corpus. tha t trust, automatically (who assets), possesses "necessary cites equivalent trustee. 1073, 1074. 121 bottom, question-begging. speculating stability irrelevant "would seem" "carrying purpose." "about nature," unless whole 3(21)(A)(iii) John Hancock Harris Trust Sav. Bank, 510 531, 126 524 (Congress category excluded). end-run around principles unpersuasive. 122 confirms indulging notion participant's subjective employers' "reasonable thought" involves not; belief matter. turning perceptions fundamental built perceptions, "around documents." 1230.15 123 inaccurate expressed falsely forecasts venture's entice company. believe, story record, jobs "[e]mployment made." added).16 note "[t]o Terminate, Suspend, Withdraw, Amend Modify Whole Part." 43. implies secure, simultaneously informs economic time. result. III rationale logically awkward articulation limited. ("We ("[W]e administration") 125 expansion substantial broadening 1556-1557 (ERISA's represents balancing prompt settlement procedures public encouraging formation plans"); 2071-2072. sought guarantee promised employers, rose high, 148, 3093, (warning expanding "lest federal growth plans") Hozie r Midwest Fasteners, 908 1155, 1170 1990) (recognizing "Congress's themselves served regime minimizes reporting violations—and it, disincentives place").17 Application increased liability, heightened eventual reduction accommodate costs. Fortunately, import modest, feel compelled bind strict just turns syllabus constitutes prepared Reporter Decisions con venience reader. Detroit Lumber 200 321, 337, 282, 287, L.Ed. 499. occasions "[r]edundancies across unusual drafting," overlap, absent 'positive repugnancy' Wood U.S.(16 Pet.) 342, 363, 987 (1842)). Germain repeal, long irreconcilably conflict. enacted, consecutive apparently believes 502(a)(1)(B), 1132(a)(1)(B), "provides claims." 3091). Since, wonders "[w]hy 'catchall' section?" simple. understanding, rejected premise flawed. deals contractual "says damages." justification really observed history, "emphasize[s] personal gleaned crucible mismanagement abuses future." 141, citation 502(l ), 1132(l ed., Supp. I), initially enacted. statutes, 'the views form hazardous inferring earlier one.' 114, 956, Price, 361 304, 313, 326, 331, 334 (1960)). Lan ier 2190-2191, (1988). (in 1989) inference (a)(5)—and, notably, —in purportedly amounts interest. 3090-3091, (1985). "[f]iduciary attends 'plan assets.' 521, However, predicated interactions ("To deter temptation dividing loyalties enforced 'uncompromising rigidity.' 'that, conflicting interests, masters weakened pull secondary one' ") 121, 543 ed.1993). [or] advice fee compensation, direct indirect, moneys property so." parties category, relates Petitioner 31; 33. 25. typical assessing ("I for"); ibid. ("[D]espite Corporation"); us"). distort decisionmaking way Congress. observes, contemplating purchase competitor downsizing division required, fully [to employees] 'security' Reply 16, 20. extended nondisclosure simple saddle transaction. established pursuant instrument. 402(a)(1), 1102(a)(1). furnish summary description, 101(a), 1021(a), "shall calculated average accurate apprise 102(a)(1), 1022(a)(1). describe, participation presenting 102(b), 1022(b). Material modifications disclosed "written participant." 102(a)(1). al annual reports request. 103(b), 104(b), 1023(b), 1024(b). dictates disclosures 104(b)(1). "[e]mployers sponsors free time, adopt, modify, (1995). Term, substantive entitlement employer-provided "establish vesting, funding well-being transaction address, contains 8.1.3, (requiring file governmental agencies "comply relating Employees parties"). second, "Communication Employees," "[i]n accordance [to] Employees" "make inspection, during hours office Company copy Agreement, Act." 21. delegates 18-20 (section "Allocation Responsibilities Named Fiduciaries," enumerates performance strawman argument—that meaningless qualified administration—is nonetheless mistaken assign Act), flatly contradicted sense. supra 552. Also, twice 404(a) attempting 1077. Specifically, relies 404(a)(1)(D), "in instruments 404(a)(1)(D) merely establishes functions status, (cited __), illustrates flaw approach. passage treatise substitutes audit wished function. trustees, admittedly concededly therein, dicta becomes "[i]t difficult situation 'context' 'reasonably' intentions." (transcript employees) ("When made"); (cover made"). combines industry "unprecedented decline [for years MCC] extreme country's agricultural economy," 53a, qualifications significance. presumably exempted stringent, costly, vesting 1228

Classification Label: 7