WDNY: ERISA: Frommert, et al. v Becker

U.S. District Court for the Western District of New York

ERISA

Subsequent Employment – Proper Calculation of Benefits – Failure to Provide Notice

Frommert, et al. v. Becker

00-CV-6311L

Judge Larimer

Background: The plaintiffs were participants in the Xerox Retirement Income Guarantee Plan. When the plaintiffs left Xerox’s employ, they received a lump-sum distribution of accrued pension benefits. The plaintiffs later returned to work for a second period of employment. At issue is Xerox’s treatment of the prior distributions when calculating the plaintiffs’ subsequent pension benefits, following their second period of employment. Currently the case was on remand regarding the proper equitable remedy given an issue regarding the defendant’s failure to provide notice.

Ruling: The District Court held that the defendant’s failure to provide notice justifies an equitable remedy and that remedy is to recalculate the plaintiffs’ benefits, treating the plaintiffs upon their re-employment with Xerox as if they had been newly hired, with no offset whatsoever.

George A. Schell, Kr. Of Schell & Schell, Peter K. Stris of Stris & Maher, Robert H. Jaffe of Robert H. Jaffe & Associates, Shaun P. Martin, Amber M. Ziegler and John A. Strain of the Law Offices of John A. Strain, and Matthew J. Fusco of Trevett, Cristo, Salzer & Andolina for the plaintiffs; Margaret A. Clemens, Amy Ventry-Kagan, Catherine C. Nearpass and Pamela S.C. Reynolds of Littler Mendelson, Robert A. Long, Jr. and Robert D. Wick of Covington & Burling for the defendant