Trust Fund Litigation

As part of collective bargaining, unions and management often set up contributions to collective funds for the benefit of covered workers, known as trust funds. Such funds are authorized under the Labor Management Relations Act to cover, among others, certain medical, retirement, insurance, and training costs for workers. The trustees of these funds are tasked with ensuring contributions are made by union employers, so that the trust funds remain solvent.

Contributions are often erroneously assessed against employers.  Mistakes are made for a variety of reasons: the trust fund may include employees who are not covered, rates are misstated, or the subject bargaining agreement may be unenforceable. Employers are sometimes faced with alleged withdrawal liability when the union contract is terminated. We are well versed in defending these high stakes charges. Navigating the symbiotic relationship between a union and its trust fund is frequently a challenge. The attorneys at Cook Brown are experts in helping chart the best course.