Varity Corp. v. Howe, 516 U.S. 489, 22 (1996)

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510

VARITY CORP. v. HOWE

Opinion of the Court

n. 8 (compensatory and punitive damages are not "equitable relief" within the meaning of subsection (3)); ERISA § 409(a) (authorizing "other equitable or remedial relief") (emphasis added). Further, Russell involved a complicating factor not present here, in that another remedial provision (subsection (1)) already provided specific relief for the sort of injury the plaintiff had suffered (wrongful denial of benefits), but said "nothing about the recovery of extracontractual damages, or about the possible consequences of delay in the plan administrators' processing of a disputed claim." Russell, supra, at 144. These differences lead us to conclude that Russell does not control, either implicitly or explicitly, the outcome of the case before us.

Second, subsection (3)'s language does not favor Varity. The words of subsection (3)—"appropriate equitable relief" to "redress" any "act or practice which violates any provision of this title"—are broad enough to cover individual relief for breach of a fiduciary obligation. Varity argues that the title of § 409—"Liability for Breach of Fiduciary Duty"—means that § 409 (and its companion, subsection (2)) cover all such liability. But that is not what the title or the provision says. And other language in the statute suggests the contrary. Section 502(l), added in 1989, calculates a certain civil penalty as a percentage of the sum "ordered by a court to be paid by such fiduciary . . . to a plan or its participants and beneficiaries" under subsection (5). Subsection (5) is identical to subsection (3), except that it authorizes suits by the Secretary, rather than the participants and beneficiaries. Compare § 502(a)(3) with § 502(a)(5). This new provision, therefore, seems to foresee instances in which the sort of relief provided by both subsection (5) and, by implication, subsection (3), would include an award to "participants and beneficiaries," rather than to the "plan," for breach of fiduciary obligation.

Third, the statute's structure offers Varity little support. Varity notes that the second subsection refers specifically

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