KKLP Marketing

Subscribe to KKLP Marketing's Posts
Follow:'s Linkedin Profile

Finally!  A win for employees on the promise to provide lifetime healthcare benefits.  This week’s notable decision is a reported decision out of the Northern District of Illinois, Stone v. Signode Indus. Grp., LLC, No. 17 C 5360, __F.Supp.3d__, 2019 WL 1146829 (N.D. Ill. Mar. 13, 2019).  

In Stone, Plaintiffs, a labor union and two former employees, sought to enforce healthcare benefits under a collective bargaining agreement (“CBA”) which Defendant gave notice of termination in 2015.  The CBA contains the following provisions:

Any Pensioner or individual receiving a Surviving Spouse’s benefit who shall become covered by the Program established by the Agreement shall not have such coverage terminated or reduced (except as provided in this Program) so long as the individual remains retired from the Company or receives a Surviving Spouse’s benefit, notwithstanding the expiration of this Agreement, except as the Company and the Union may agree otherwise. [Section 6]
Continue Reading Court Rules Collective Bargaining Agreement Provides Vested Lifetime Benefits

Hello, ERISA Watchers!  Last week was quite the busy week for ERISA decisions.  By now, you all should have gotten wind of the over 40,000-word findings of fact and conclusions of law issued in Wit v. United Behavioral Health, No. 14-CV-02346-JCS, 2019 WL 1033730 (N.D. Cal. Mar. 5, 2019), where Magistrate Judge Joseph C. Spero essentially found that UBH’s Guidelines for treatment of mental health and substance use disorders are largely inconsistent with generally accepted standards of care.  A “summary” of that decision would take several pages (and my entire precious weekend) so I picked another less-publicized decision to highlight for you today:  International Union, United Automobile, Aerospace And Agricultural Implement Workers of America (UAW), et al., v. TRW Automotive U.S. LLC, No. 18-1160, __F.App’x__, 2019 WL 1040636 (6th Cir. Mar. 5, 2019).

In International Union, TRW Automotive brought a combined appeal challenging an arbitral decision in favor of retired TRW employees and their union and challenging the district court’s denial of TRW’s motion to rule that attorney’s fees could not be awarded against it.  
Continue Reading Sixth Circuit Vacates Arbitrator’s Award of Enhanced Healthcare Coverage to Retirees

Good morning, ERISA Watchers!  It was quite the busy week for ERISA decisions, but I’m pleased to report that this week’s notable decision is a short and sweet statute of limitations decision in Foster v. Adams & Assocs., Inc., No. 18-CV-02723-JSC, __F.Supp.3d__, 2019 WL 943846 (N.D. Cal. Feb. 26, 2019).  Plaintiffs are participants and beneficiaries of the Adams and Associates Employee Stock Ownership Plan (“ESOP”).  They allege that Defendants violated their fiduciary duties under § 1106 by engaging in prohibited transactions when they sold all the stock in Adams and Associates, Inc. to the ESOP for above market value.  Plaintiffs also allege that certain defendants breached their fiduciary duties under § 1104 when they hired Alan Weissman as Trustee for the ESOP and when they failed to take any corrective action regarding his conduct related to a stock transaction.  (Click here to read more about the case allegations and Mr. Weissman’s indictment).
Continue Reading Court Rules that Suit Over Employee Stock Deal Led by Now-Felon Is Not Barred by Statute of Limitations