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U.S. top court rules for employer in retiree benefits fight
news.yahoo.com ^ | 1/26/15 | Lawrence Hurley

Posted on 01/26/2015 9:37:12 AM PST by cotton1706

WASHINGTON (Reuters) - The U.S. Supreme Court on Monday sided with a company that amended a collective bargaining agreement to force retirees to pay toward healthcare costs, throwing out a lower-court ruling that favored the former employees who objected to the change.

On a unanimous vote, the nine-member court handed a win to M&G Polymers USA, a subsidiary of Italy-based chemical company Mossi & Ghisolfi International, by sending the case back for further proceedings in the Cincinnati-based 6th U.S. Circuit Court of Appeals.

Nearly 500 plaintiffs from Ohio who had worked at the M&G polyester plant in Apple Grove, West Virginia, sued in 2006 when the company said retirees would be required to contribute to their healthcare costs.

The plaintiffs, backed by the United Steelworkers union, said the collective bargaining agreement guaranteed them health benefits without requiring them to contribute.

The plaintiffs won in the U.S. District Court for the Eastern District of Ohio following a bench trial, and the judge imposed an injunction reinstating the original benefits. In an August 2013 ruling, the 6th Circuit upheld the district court decision.

The question on which M&G sought high court review was whether the 6th Circuit correctly made a presumption in favor of the retirees after finding the contract did not clearly state the duration of the benefits.

Justice Clarence Thomas, writing on behalf of the court, said the appeals court had not used the correct legal analysis.

Thomas wrote that "when a contract is silent as to the duration of retiree benefits, a court may not infer that he parties intended those benefits to vest for life."

The case is M&G Polymers USA v. Tackett, U.S. Supreme Court, No. 13-1010.

(Excerpt) Read more at news.yahoo.com ...


TOPICS: Constitution/Conservatism
KEYWORDS: healthcarecosts; retireebenefits; scotus; unions
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To: Lurking Libertarian; Perdogg; JDW11235; Clairity; Spacetrucker; Art in Idaho; GregNH; Salvation; ...

FReepmail me to subscribe to or unsubscribe from the SCOTUS ping list.

21 posted on 01/26/2015 1:25:28 PM PST by BuckeyeTexan (There are those that break and bend. I'm the other kind. ~Steve Earle)
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To: Lurking Libertarian

“The Court may not infer” should be the motto of the judiciary.

One can dream.


22 posted on 01/26/2015 1:28:31 PM PST by BuckeyeTexan (There are those that break and bend. I'm the other kind. ~Steve Earle)
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To: RetiredArmy
Sorry to hear about that. It reminds me of my favorite bumper sticker:

Sure You Can Trust Government, Just Ask Any Indian

23 posted on 01/26/2015 1:51:13 PM PST by 1010RD (First, Do No Harm)
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To: magooey

He is a retiree for the rest of his life, but SCOTUS said that that doesn’t mean the benefits last that long.

From the ruling, I think the party who should be sued is the union.


24 posted on 01/26/2015 2:26:28 PM PST by Balding_Eagle (The Gruber Revelations are proof that God is still smiling on America.)
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To: BuckeyeTexan

1) Was it actually a constitutional-based question or controversy?

2) If so, was the opinion anything close to constitutional-based reasoning?

Hard to imagine both being true - rarely is anymore.


25 posted on 01/26/2015 2:47:33 PM PST by PapaNew (The grace of God & freedom always win the debate in the forum of ideas over unjust law & government)
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To: 1010RD

Yup. All those wonderful “treaties” the pale faces broke.


26 posted on 01/26/2015 4:21:17 PM PST by RetiredArmy (MARANATHA, MARANATHA, Come quickly LORD Jesus!!! Father send thy Son!! Its Time!)
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To: cotton1706

there was a contract and the contract was poorly drawn

the union lawyer can now be sued for lawyerly negligence


27 posted on 01/26/2015 4:26:19 PM PST by bert ((K.E.; N.P.; GOPc.;+12, 73, ..... Obama is public enemy #1)
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To: willibeaux

Roger that. I have several who have inquired. I had a lady here inquire about a career for her son in the army. I told her the same, hell no. I tell every kid that simply “has” to go in the military, to go in for the 3 or 4 years needed to ONLY get the job they want for using outside the military. I tell them to stay away from combat arms. To do a job like mechanic on vehicles, helicopters, planes, computers, MP’s for law enforcement, medical training, etc., that sort of thing. SOMETHING they can sell to a civilian employer. I remember when I did my first three years, got out for almost two years, and went back in and did the other 17 needed to retire. When I got out that first time I went to a stinking Kmart store and put in for a job. The boss interviewed me and asked me what I did in the army. I told him I was a Nam vet, wounded, and was in the infantry. He was anti-war. Laughed for me getting shot and told me that he did not need to shoot anybody or defend the store, but if he did, he would call me. I used colorful french language to him to tell him where he could go and put his head, then walked out. Combat arms are worthless on the outside except for a security job.


28 posted on 01/26/2015 4:28:16 PM PST by RetiredArmy (MARANATHA, MARANATHA, Come quickly LORD Jesus!!! Father send thy Son!! Its Time!)
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To: RetiredArmy

Well, it at least warns you about jerky liberal bosses before you have to deal with their headaches.


29 posted on 01/26/2015 4:34:47 PM PST by HiTech RedNeck (Embrace the Lion of Judah and He will roar for you and teach you to roar too. See my page.)
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To: icwhatudo

Am I off base?

Guess it depends on your way of thinking. Would you expect 10 years down the road to take the car in again and expect the money you paid 10 years ago to now pay for another new engine.


30 posted on 01/26/2015 4:50:17 PM PST by Joan Kerrey (The larger the government, the smaller the people)
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To: Joan Kerrey

yes, if i had a contract that said lifetime guarentee.

If you paid for that repair and were told for $50 more they will sell you a lifetime guarentee to cover all parts and labor-and you made the deal, then they changed it so you had to pay for the parts..how is that legal?


31 posted on 01/26/2015 5:46:29 PM PST by icwhatudo (Low taxes and less spending in Sodom and Gomorrah is not my idea of a conservative victory)
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To: Balding_Eagle
He is a retiree for the rest of his life, but SCOTUS said that that doesn’t mean the benefits last that long.

If the contract between the employer and the union was written to say that retirees get benefits, and the people involved are retirees for the rest of their lives, how is the benefit cut off date to be determined?

What can be reasonably inferred to have been the intent of the contractual parties when the contract was written? Was this case originally tried before a jury? If so, how did the jury rule?

With what is already known about the case, you may understand why some people will wish to sell their services in other parts of the world. Contracts in general may have more respect in certain non-USA venues. This would be even more important if the contract were between an individual and an employer.


32 posted on 01/27/2015 4:10:24 AM PST by magooey (The Mandate of Heaven resides in the hearts of men.)
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To: magooey

I’m not an attorney.

My guess is that the contract wasn’t written as clearly as you’ve described it here, as it was probably written by an attorney.

The original juries decision, whatever it was has been overruled by the final juries decision, SCOTUS.

If I were one of those affected, I’d consider suit against the union, as they were the ones originally hired to represent my interests, and apparently did not.


33 posted on 01/27/2015 5:21:56 AM PST by Balding_Eagle (The Gruber Revelations are proof that God is still smiling on America.)
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