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United States Supreme Court Employment Law Cases
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CIGNA Corporation v.
Amara (09-804)
"Likely harm" standard in ERISA claim for inconsistency between SPD and the
plan itself
[Certiorari granted June 28, 2010]
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After CIGNA converted its traditional defined
benefit pension plan to a cash balance plan, it issued a summary plan description
(SPD) to plan participants. Amara brought a class action claiming that CIGNA
failed to comply with ERISA's notice requirements and SPD provisions. The trial
court held for Amara; the 2nd Circuit affirmed. The finding was that the SPD
misrepresented the terms of the plan itself. Although CIGNA argued that the
plaintiffs failed to show injury, the court found that the participants had
shown "likely harm" and that CIGNA had failed to establish harmless
error. The US Supreme Court granted certiorari
to review the 2nd Circuit judgment.
Case below: Amara v.
CIGNA Corp (2nd Cir 10/06/2009); Amara
v. Cigna Corp, 534 F. Supp. 2d 288 (D. Conn. 2008).
Questions presented:
Whether a showing of “likely harm” is sufficient to entitle participants in or beneficiaries of an ERISA
plan to recover benefits based on an alleged inconsistency between the explanation of benefits in the
Summary Plan Description or similar disclosure and the terms of the plan itself.
Certiorari Documents:
Briefs on the merits:
Counsel:
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