High Court Backs Paper Co. In ERISA Dispute

Law360, New York (June 11, 2007, 12:00 AM EDT) -- The Supreme Court has unanimously ruled in favor of a bankrupt paper mill company, finding that it is under no obligation to consider an offer to merge its pension plans as an alternative to terminating the plans.

The High Court found Monday that Crown Vantage, which had been approached by a labor union pension fund to merge the company’s 17 defined-benefit pension plans into the union fund, was not required under federal law to consider the merger proposal.

At the time of the labor union’s offer,...
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