Matthews v. Chicago Transit Authority

Illinois Supreme Court
Civil Court
Pension Clause
Citation
Case Number: 
2016 IL 117638
Decision Date: 
Thursday, May 5, 2016
District: 
1st Dist.
Division/County: 
Cook Co.
Holding: 
Appellate court affirmed in part and reversed in part; remanded.
Justice: 
FREEMAN

Plaintiffs, who are current and retired CTA employees, filed putative class action complaint alleging breach of contract, promissory estoppel, breach of fiduciary duty, and declaratory relief, and also claimed that terms of arbitration award modifying retiree health care benefits were unenforceable as in violation of pension protection clause of Illinois Constitution. Current employees, and those who retired after 2007, lack standing to challenge enforceability of 2007 Collective Bargaining Agreement (CBA).  Plaintiff who retired in 2006 has standing to challenge enforceability of 2007 CBA as to himself and the other Plaintiffs in class who retired before its effective date.  That Plaintiff failed to allege a claim for promissory estoppel against CTA., but did sufficiently state cause of action for breach of contract and for violation of pension protection clause.(GARMAN, THOMAS, KILBRIDE, and BURKE, concurring; THEIS and KARMEIER, specially concurring.)