California Statute Does Not Preempt Plan’s Discretionary Clause, Federal Judge Says

Mealey's (January 8, 2016, 10:32 AM EST) -- DAYTON, Ohio — A discretionary clause in a disability plan is valid and not preempted by a California insurance statute prohibiting discretionary clauses because the California statute applies to California residents and the disability claimant is an Ohio resident, an Ohio federal judge said Dec. 28 (Douglas Pfenning v. Liberty Life Assurance Company of Boston, No. 3:14-cv-471, S.D. Ohio; 2015 U.S. Dist. LEXIS 172200).

(Opinion available. Document #17-160111-003Z.)

Douglas Pfenning filed suit under the Employee Retirement Income Security Act in the U.S. District Court for the...
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