Central States Southeast and Southwest Areas Pension Fund v. CLP Venture, LLP

In action filed by plaintiff-pension fund to assess withdrawal liability on certain defendants based upon complete withdrawal of defendant-employer, which was otherwise obligated to make pension payments to plaintiff on behalf of certain employees, Dist. Ct. did not err in imposing joint and several liability on said defendants, after finding that defendants were under common control of owner of employer. Owner of employer had controlling interest in defendant CEOBEO, where record showed that owner had right to demand release of remaining 27% of CEOBEO stock held in escrow and had right to vote 100% of CEOBEO stock prior to date of employer’s withdrawal from pension fund. Moreover, all defendants could properly be classified as either trades or businesses for purposes of imposing withdrawal liability, since all defendants were engaged in for-profit enterprises ranging from management services to commercial equipment leasing activities. Fact that owner of employer spent very little personal time with said defendant companies did not transform said companies into passive investments, and thereby defeat any withdrawal liability assessment.