On April 1, 2021, the Ninth Circuit became the third circuit court to conclude that a forum-selection clause in an ERISA 401(k) plan is enforceable. The Ninth Circuit thus denied a petition for mandamus seeking to overturn a district court decision transferring an ERISA action from the Northern District of California to the District of
Venue
Best Practices in Administering Benefit Claims #9 – Managing Litigation
As we shifted focus last week from a plan’s administrative claims procedures to defending against a claim for benefits in court, we explained how a well-documented administrative record can enhance the chances of getting a case dismissed at the outset without the need for protracted litigation. This week, we offer three opportunities to further manage…
Eighth Circuit Affirms Enforcement of ERISA Plan Forum Selection Clause
By J. Robert Sheppard III on
The Eighth Circuit enforced an ERISA plan’s forum selection clause and denied plaintiff’s appeal to have her lawsuit for disability benefits transferred back to the District of Arizona. Plaintiff Lorna Clause, who lives in Arizona, is a participant of the Ascension Long-Term Disability Plan. Her application for disability benefits was denied. After exhausting her administrative…
Federal District Court Enforces Forum Selection Clause Contained in ERISA Plan
By J. Robert Sheppard III on
A federal district court in the Eastern District of Pennsylvania transferred an ERISA lawsuit against Caterpillar Inc. to the Northern District of Illinois after finding the forum selection clause contained in the governing plan was valid and enforceable. In so ruling, the court deepened an already existing split among district courts as to the enforceability…
District Court Finds Forum Selection Clause Unenforceable in ERISA Action
By J. Robert Sheppard III on
A federal district court in Illinois ruled that a plan’s forum selection was unenforceable because it conflicts with ERISA’s public policy of providing plaintiffs “ready access to the Federal courts.”
Darlene Harris purchased a life insurance policy for her husband and paid the required policy premiums until his death. When Harris sought the policy benefits,…
Court Enforces Forum Selection Clause in ERISA Plan
By Benjamin Saper on
A federal district court in New York enforced an ERISA retirement plan’s forum selection clause and transferred the case to the District of New Jersey. The plaintiff argued that the forum selection clause was invalid because it conflicted with ERISA’s venue provision, which provides that an ERISA action “may be brought in the district where…
SCOTUS Invites Solicitor General to Submit Its View on ERISA Venue Selection Provisions
By Joseph Clark on
We previously reported that a split Sixth Circuit panel enforced a venue selection clause in an ERISA plan. In so ruling, the Court rejected the U.S. Department of Labor’s attempt to regulate by amicus brief and reasoned that the Department’s brief was “an expression of mood.” The Department, according to the Sixth Circuit: (i) had…
Sixth Circuit Declines Deference to DOL and Enforces Venue Selection Clause
By Todd Mobley on
The Sixth Circuit recently held that a venue selection clause in an ERISA-governed pension plan was enforceable and, in so ruling, refused to give deference to the DOL’s contrary position.
Venue Selection Clause Unenforceable as Contrary to Public Policy
In Coleman v. Supervalu Inc. Short Term Disability Program, 2013 WL 365263 (N.D. Ill. Jan. 31, 2013), the court denied an ERISA plan’s motion to dismiss for improper venue, holding that the venue selection clause was unenforceable. In so ruling, the court concluded that such clauses are contrary to public policy and inconsistent with…