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EKLECCO v. IRON WORKERS LOCALS 40, 361, & 417 UNION SECURITY FUNDS, 1999 U.S. App. LEXIS 4794 (2d Cir. Mar 22, 1999)-ERISA preempts New York's mechanic's lien laws. This prevents a pension fund from filing a mechanics lien against the property of the employer who failed to make pension plan contributions.
JOYCE v. CURTISS-WRIGHT CORPORATION, 1999 U.S. App. LEXIS 4799 (2nd Cir. Mar 22, 1999)-Collective Bargaining Agreement provided that health insurance would be provided through a General Insurance Agreement. Summary plan description for the GIA contained standard reservation of rights [to amend] language. SPD also contained language that health insurance benefits may be terminated as a result of contract negotiations. Summary annual report stated that should the CBA be terminated for any reason the health insurance would also terminate.
On May 1, 1987 the CBA terminated. On July 27, 1987, the parties signed a new CBA. Union grieved for the health benefits for the period May 1, 1987 through July 27, 1987. The Plaintiffs are a class of retiree's of Defendant. The district court denied cross-motions for summary judgments deciding there was a fact question as to whether the health benefits vested. Jury decided the parties intended for the benefits to vest and that the Defendant breached the contract.
Following the Second Circuit's decision in American Federation of Grain Millers v. International Multifoods Corp., 116 F.3d 976 (2d Cir. 1997), the District Court determined that the language contained in the CBA and the insurance plan (1) is unambiguous, and (2) does not operate to vest the retirees' benefits.
The Second Circuit reiterated the Multifoods standard: " In this Circuit, to reach a trier of fact, an employee does not have to "point to unambiguous language to support [a] claim. It is enough [to] point to written language capable of reasonably being interpreted as creating a promise on the part of [the employer] to vest [the recipient's] . . . benefits." Schonholz, 87 F.3d at 78 (2d Cir.) (emphasis added and citation omitted) . .. Multifoods, 116 F.3d at 980 (alterations in original). The Second Circuit determined that the language in the GIA, SPD and SAR did not reach the Multifood standard and affirmed the district court.
WILCOX v. RELIANCE STANDARD LIFE INSURANCE COMPANY, 1999 U.S. App. LEXIS 5027 (4th Cir. Mar 23, 1999) (unpublished)-The Plaintiff claimed that his fibromyalgia caused him to be totally and permanently disabled. Applying the "modified abuse-of-discretion" standard identified in Ellis v. Metropolitan Life Ins. Co., 126 F.3d 228 (4th Cir. 1997), the Fourth Circuit affirmed the denial of benefits. Go to detailed analysis.
GODLEY v. AMERITECH CORP., 1999 U.S. App. LEXIS 5983 (6th Cir. Mar 30, 1999) (Unpublished)-Res judicata bans second suit claiming an ERISA violation if Court had granted Defendant's summary judgment motion claiming ERISA preempts first suit which only claimed breach of contract. Go to detailed analysis
Schleeper v. Purina Benefits Association, 1999 U.S. App. LEXIS 4917 (8th Cir. March 24, 1999) (unpublished)-Claims was barred by employee's failure to file a timely intra-plan appeal. Go to detailed analysis
SOMMER v. UNUM LIFE INSURANCE COMPANY OF AMERICA, 1999 U.S. App. LEXIS 5382 (9th Cir. Mar 8, 1999) (unpublished)-affirmed district court's dismissal of Plaintiff's claims based on res judicata. Also noted that Circuit court did not have jurisdiction to hear appeal of award of sanctions against Plaintiff's attorney since Plaintiff's attorney did not appeal the sanctions-only Plaintiff appealed. Go to detailed analysis
SOMMER v. UNUM LIFE INSURANCE COMPANY OF AMERICA, 1999 U.S. App. LEXIS 5388 (9th Cir. Mar 8, 1999) (unpublished)-Court affirmed dismissal of Sommer's claims on statute of limitations grounds. Court also found that Plaintiff's insanity did not toll the statute of limitations. Court also decided that UNUM's pre-existing condition limitation served to prevent Plaintiff from receiving benefits from UNUM. Go to detailed analysis
