Employee Benefits

Tsareff v. ManWeb Services, Inc.

Federal 7th Circuit Court
Civil Court
ERISA
Citation
Case Number: 
No. 14-1618
Decision Date: 
July 27, 2015
Federal District: 
S.D. Ind., Indianapolis Div.
Holding: 
Reversed
Dist. Ct. erred in granting defendant’s motion for summary judgment in ERISA action by plaintiff-union pension benefit plan seeking to collect withdrawal liability from non-union defendant, which had purchased assets from entity that had previously participated/contributed to pension plan prior to going out of business. Record showed that plaintiff had sent notice of contingent withdrawal liability to entity, that said notice had been forwarded to defendant, and that entity had not either paid said withdrawal liability or timely sought arbitration of said issue. Moreover, defendant was liable for said withdrawal liability based on theory of successor liability, where: (1) notice of contingent withdrawal liability that had been forwarded to defendant satisfied any notice requirements for imposition of successor liability; (2) defendant was aware that entity had issues regarding entity’s unfunded pension liability during asset purchase negotiations; (3) entity’s failure to arbitrate any merits-based defense to assertion of withdrawal liability precluded defendant from doing so; and (4) defendant had opportunity to negotiate lower purchase price of assets based on any potential withdrawal liability claim. Fact that precise figure for withdrawal liability had not been established at time of asset purchase did not require different result.

Varga v. Colvin

Federal 7th Circuit Court
Civil Court
Social Security
Citation
Case Number: 
No. 14-2122
Decision Date: 
July 24, 2015
Federal District: 
E.D. Wisc.
Holding: 
Reversed and remanded
Claimant, who suffered from post-traumatic stress disorder, endometriosis, major depression, irritable bowel syndrome and fibromyalgia, was entitled to reconsideration of her application for Social Security disability benefits, where ALJ gave incomplete/flawed hypothetical question to vocational expert that failed to include claimant’s mental limitations in areas of concentration, persistence and pace. Both hypothetical question posed to vocational expert and ALJ’s RFC assessment must incorporate all of claimant’s limitations supported by medical record. Fact that hypothetical used phrase that potential job was “free of fast paced production requirements, involving only simple work related decisions” did not require different result.

Price v. Colvin

Federal 7th Circuit Court
Civil Court
Social Security
Citation
Case Number: 
No. 15-1444
Decision Date: 
July 24, 2015
Federal District: 
S.D. Ill.
Holding: 
Reversed and remanded
Record failed to support ALJ’s denial of claimant’s renewed application for SSI disability benefits under circumstances where claimant was intellectually disabled and also suffered from psychiatric ailments. Claimant had received SSI benefits that were discontinued upon claimant going to prison, and while ALJ found that claimant was capable of gainful employment in spite of claimant’s psychiatric abnormalities, ALJ misinterpreted significance of claimant’s relatively improving GAF scores when finding that claimant was recovering from his mental ailments. Fact that claimant could perform simple household chores did not translate to finding that claimant could perform gainful employment.

Schrempf, Kelly, Napp & Darr, Ltd v. The Carpenters' Health and Welfare Trust Fund

Illinois Appellate Court
Civil Court
Common Fund
Citation
Case Number: 
2015 IL App (5th) 130413
Decision Date: 
Wednesday, July 8, 2015
District: 
5th Dist.
Division/County: 
Madison Co.
Holding: 
Affirmed.
Justice: 
CATES
Court properly granted Plaintiff law firm summary judgment for attorney fees and costs it claimed due pursuant to Illinois common fund doctrine. Law firm filed personal injury suit for damages sustained in fall from ladder, and reached settlement. Law firm is entitled to its one-third share of monies recovered for self-funded employee welfare benefit fund of which its injured client was a member, for payment of its attorney fees and costs. fundu(GOLDENHERSH and SCHWARM, concurring.)

Village of Oak Brook v. Sheahan

Illinois Appellate Court
Civil Court
Pension Code
Citation
Case Number: 
2015 IL App (2d) 140810
Decision Date: 
Friday, June 26, 2015
District: 
2d Dist.
Division/County: 
DuPage Co.
Holding: 
Affirmed.
Justice: 
ZENOFF
Village police chief elected to participate in IMRF, and retired after 6 years as chief. A few days after his retirement, chief transferred his service credit to IMRF, but did not make payment which IMRF had notified him was required to receive IMRF SLEP service credit. IMRF notified Village that Village had unfunded pension liability resulting from chief's retirement. Village filed administrative appeal with IMRF, which upheld amount of unfunded liability, but circuit court reversed, finding that chief had improperly transferred service credit to IMRF from two other pension funds. Interpretation of provisions of Pension Code, and IMRF's authority to adopt a rule permitting members to pay for service credit transfers after their termination dates, are questions of law. A person can be considered "active member" of IMRF only while employed by participating municipality and making contributions to IMRF. IMRF was not authorized to grant chief reduced credit when Pension Code required both transfer of service credit and payment of member contribution.(McLAREN and HUDSON, concurring.

Engstrand v. Colvin

Federal 7th Circuit Court
Civil Court
Social Security
Citation
Case Number: 
No. 14-2702
Decision Date: 
June 4, 2015
Federal District: 
W.D. Wisc.
Holding: 
Reversed and remanded
Record failed to support ALJ’s denial of claimant’s application for SSI disability benefits based on his pain associated with diabetic neuropathy and osteoarthritis. While ALJ did not find claimant credible with respect to his pain complaints associated with his diabetic neuropathy, ALJ improperly based said finding on claimant’s ability to feel 10-gram monofilament, where there was no medical evidence to suggest that said ability would contradict claimant’s pain complaints. Fact that claimant used medications sporadically did not require different result where ALJ had failed to inquire why claimant may not have been fully compliant with his medications. Moreover, ALJ wrongly evaluated significance of claimant’s ability to perform certain daily tasks.

Senate Bill 1833

Topic: 
Personal Information Protection Act
(Biss, D-Skokie; Williams, D-Chicago) will expand the type of information that triggers a breach notification to consumers, including medical information outside of federal privacy laws, biometric data, contact information if combined with identifying information, and login credentials for online accounts. The bill also requires entities holding sensitive information to take “reasonable” steps to protect the information, to post a privacy policy describing their data collection practices, and to notify the Attorney General’s office when breaches occur. Entities will also have to notify the Attorney General’s Office in the event of a breach of geolocation information or consumer marketing information. Passed both chambers.

Bremer v. City of Rockford

Illinois Appellate Court
Civil Court
Pension Code
Citation
Case Number: 
2015 IL App (2d) 130920
Decision Date: 
Monday, April 27, 2015
District: 
2d Dist.
Division/County: 
Winnebago Co.
Holding: 
Aiirmed in part, reversed in part, and vacated in part; remanded.
Justice: 
BURKE
(Court opinion corrected 5/5/15.) City firefighter suffering from heart condition obtained occupational disease disability pension under Section 4-110.1 of Illinois Pension Code, and court ruled that pension qualified him for benefits under Section 10 of Benefits Act. Plaintiff is not entitled to recover attorney fees under Wage Actions Act, because even if he prevails on his claim for postemployment health care benefits under Benefits Act, those benefits would not qualify as "wages earned and due and owing according to terms of the employment." Plaintiff's claim for unpaid health insurance premiums and medical expenses is not ripe for adjudication, as there is no longer a judgment requiring City to pay health insurance premiums for Plaintiff or his wife. "Catastrophic injury" in Section 10(a) of Benefits Act is "synonymous" with injury or disease resulting in pension under Section 4-110.1 of Pension Code.(JORGENSEN, concurring; McLAREN, concurring in part and dissenting in part.)

Majid v. The Retirement Board of the Policemen's Annuity and Benefit Fund of the City of Chicago

Illinois Appellate Court
Civil Court
Disability Benefits
Citation
Case Number: 
Majid v. The Retirement Board of the Pol
Decision Date: 
Friday, May 22, 2015
District: 
1st Dist.
Division/County: 
Cook Co., 6th Div.
Holding: 
Affirmed.
Justice: 
HALL
Retirement Board terminated Plaintiff's disability benefit. Plaintiff had been police officer until he was injured and awarded line-of-duty disability benefit, and was later convicted of a felony (possession of unregistered firearm). Section 5-227 of Illinois Pension Code does not deny Plaintiff his constitutional right to equal protection. As a police officer receiving disability benefits, Plaintiff is not similarly situated to a person retired from polic force. Forfeiture of benefits required of police officers receiving disability benefits upon conviction of any felony without requiring that felony relate to, arise out of or in connection with officer's police service is rationally related to and furthers the purpose of Section 5-227.(LAMPKIN and ROCHFORD, concurring.)

Duncan v. U.S. Railroad Retirement Bd.

Federal 7th Circuit Court
Civil Court
Railroad Retirement Act
Citation
Case Number: 
No. 14-2222
Decision Date: 
May 20, 2015
Federal District: 
Petition for Review, Order of Railroad Retirement Bd.
Holding: 
Affirmed
Record contained sufficient evidence to support Bd.’s denial of plaintiff’s application for disability annuity under Railroad Retirement Act that was based on 2003 workplace injury, even though plaintiff claimed that pain in his back prevented him from working. While plaintiff’s treating physicians gave opinions indicating that plaintiff could not perform even sedentary work, Bd. could properly discount said opinions, where vocational consultant testified that plaintiff could perform variety of light or sedentary skilled jobs, and where objective medical evidence indicated that plaintiff’s pain improved with medicine, and that plaintiff had normal gait, muscle strength and sensation. Bd. could also discount plaintiff’s complaints of disabling pain, where plaintiff gave inconsistent statements regarding improvement he experienced with medicine, and where recent MRIs of plaintiff indicated no abnormalities.