What is the test for interpretation of a pension plan?
Ontario, Canada
The following excerpt is from Shaw v. Healthcare of Ontario Pension Plan, 2012 ONSC 3499 (CanLII):
The principles of interpretation for a pension plan are well settled. If the pension fund, or any part of it, is not subject to a trust, then any issues relating to outstanding pension benefits or to surplus entitlement must be resolved by applying the principles which pertain to the interpretation of contracts to the pension plan. If, however, the fund is impressed with a trust, different considerations apply. The trust is not a trust for a purpose, but a classic trust. It is governed by equity, and, to the extent that applicable equitable principles conflict with plan provisions, equity must prevail. See Cory J. in Schmidt v. Air Products Canada Ltd., 1994 CanLII 104 (SCC), [1994] 2 S.C.R. 611 at paras. 91 and 92.
"The most advanced legal research software ever built."
The above passage should not be considered legal advice. Reliable answers to complex legal questions require comprehensive research memos. To learn more visit www.alexi.com.
Other Questions
Is a member of a pension plan entitled to distribution of surplus funds from a partial termination of the pension plan? (Ontario, Canada)
What is the current state of the law on a pension plan administrator’s duty of care to members of the pension plan? (Ontario, Canada)
In what circumstances will an arbitrator be bound to follow the interpretation of Arbitrator Starkman’s interpretation of the Interpretation of the Arbitrator's Interpretation in a dispute? (Ontario, Canada)
What is the best interest of pension plan members to receive their pro rata share of a partial wind-up on partial termination of an employee pension plan? (Ontario, Canada)
How have courts interpreted the definition of a pension in B.C. legislation that includes the term pension and annuity? (Ontario, Canada)
Can an employer in its capacity as a sponsor (and not as plan administrator) obtain legal advice to amend a pension plan? (Ontario, Canada)
Does the Retirement Pension Fund Trust Rule from Saunders v. Vautier apply to an employee pension plan? (Ontario, Canada)
Can a plaintiff recover the entire loss from a company pension plan if the company pension is not indemnified as a result of the accident? (Ontario, Canada)
How have courts dealt with an application seeking to force an employer to make payments into a pension fund for the benefit of certain pension members? (Ontario, Canada)
In support of a joint family plan, does the Child and Family Services Act, R.O. 1990, c.61(2) make a presumption in favour of a community or kin plan? (Ontario, Canada)
