Court Cases
Hersh v. National
Distributing Co.
Employer required to pay $1,000,000 in medical claims, plus $60,000 in
legal fees for mistakenly terminating COBRA
coverage.
McDowell v. Krawchison
Employer fined $100,000, plus appellate proceedings expenses, for failure to properly notify spouse of COBRA rights. Notice was
given verbally and did not satisfy notice requirements for spouse.
Phillips v. Riverside, Inc.
Employer ordered to pay $41,797, plus attorney fees, for compliance failure of (in house) procedures.
Kidder v. H&B Marine, Inc.
Employer required to pay $25,000 in medical claims because they did not believe they were large enough to fall under the
requirements of COBRA.
Gaskell v. Harvard Cooperative Society
Employer required to extend COBRA an additional year because of failure to provide "timely" notification of
continuation rights.
Lawsuits directly related to Employer Compliance Failure
- National Companies v. St. Joseph’s Hospital $1,000,000 Award to Plaintiff
- Swint v. Protective Life, et al $
292,000 Award to Plaintiff
- Teweleit v. Hartford v. Texas Municipal League $ 750,000 Award to Plaintiff
The average cost to defend a lawsuit even when the employer
wins is $40,000 |
