Yellow Must Arbitrate $5 Billion in Claims, Pension Fund Says

The Central States Pension Fund asked a federal court for permission to use arbitration go after nearly $5 billion in pension liabilities it said it’s owed by bankrupt former trucking giant Yellow Corp.

Arbitration, and not bankruptcy court, is the proper venue to resolve a dispute over Yellow’s $4.8 billion in alleged pension “withdrawal liability” obligations, Central States said in a motion filed Monday in Delaware bankruptcy court.

“Congress has spoken clearly in this area of the law,” Central States said. “Disputes over withdrawal liability must be arbitrated.”

The plan representing more than 350,000 workers and retirees provided pension credit ...