666 Drug, Inc. v. Trustee of 1199 Seiu Health Care Employees Pension Fund

**Drug Company Must Pay Workers' Pension Fund $846,613** This case involved a dispute between 666 Drug, Inc. and a pension fund that provides retirement benefits to healthcare workers represented by the 1199 SEIU union. When employers stop participating in multi-employer pension plans, they typically must pay "withdrawal liability" - money to help cover the pension benefits already promised to workers. 666 Drug, Inc. argued it didn't owe this money to the pension fund. The company claimed it had actually withdrawn from the pension plan years earlier in 1999, and also accused the pension fund managers of not properly handling their responsibilities. The court disagreed with the company on both points. The Second Circuit Court of Appeals upheld a lower court's decision that required 666 Drug, Inc. to pay $846,613 to the workers' pension fund. **What this means for workers:** This ruling protects workers' retirement security by ensuring that when companies leave pension plans, they can't simply walk away without paying their fair share. It reinforces that employers have financial obligations to pension funds that benefit workers, even when business relationships end. This helps preserve retirement benefits that workers have earned through their employment.