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ERISA, bigamy, and choice of laws
June 01, 2006 by Ross Runkel at LawMemo
What if the beneficiary of an ERISA plan dies leaving two spouses? Who gets the loot?
It can depend on which state's law applies.
In DaimlerChrysler Corp v. Durden (6th Cir 05/26/2006) an ERISA pension plan beneficiary died, leaving two spouses, and the plan sued for a declaration of who was the "surviving spouse" under the plan.
| Employment Law Memo notified its readers about this case on 05/31/2006. |
- The plan document provided that Michigan law should apply.
- The 6th Circuit held that Ohio law should apply.
The court applied the Restatement (2nd) of Conflicts of Laws, and found that
- Ohio had the most significant relationships to both marriages, both spouses, and the decedent
- Applying Michigan law (which presumes the validity of the second marriage) would be contrary to a fundamental policy of Ohio law (which presumes the continuation of the first marriage
- Michigan has no interest in which marriage is declared valid
The DISSENT would apply Michigan law because that was the decision of the parties and would result in greater uniformity, simplicity, clarity, and efficiency.
More comments on this case:
The ERISA Blog - SIXTH CIRCUIT DISREGARDS CHOICE OF LAW PROVISION IN PENSION PLAN TO DECIDE SURVIVING SPOUSE ISSUE
Editor: Ross Runkel, Professor of Law Emeritus. email Ross@LawMemo.Com, Phone 503-399-8028. Copyright LawMemo, Inc.
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