Second Circuit Affirms Refusal to Compel Arbitration of ERISA Claim Seeking Plan-Wide Relief for Injuries to Defined Contribution Plan
"On one level, this is a troubling case because the arbitration clause seems to foreclose or severely limit plan participants right to seek plant-wide relief under ERISA Sections 502(a) and 409(a)," writes Samuel Estreicher.
August 14, 2024 at 12:00 PM
7 minute read
Employment LawAfter over two decades of Supreme Court decisions dealing with the Federal Arbitration Act (FAA), 9 U.S.C. Section 1 et seq., it is clear that FAA-covered pre-dispute arbitration agreements dealing with statutory claims are enforceable "as written." It is also clear that such agreements will not be enforced if they require waiver of a statutory claim or right. The Second Circuit's recent (2-1) decision in Cedeno v. Sasson, No. 21-2891-cv (2d Cir., May 1, 2024), affirmed District Court Judge John G. Koeltl's order refusing to enforce an arbitration agreement because its terms required a waiver of an ERISA plan beneficiary's right to pursue a claim against the plan fiduciaries for plan-wide relief under ERISA Sections 502(a) and 409(a), 29 U.S.C. Sections 1109(a); 1132(a).
NOT FOR REPRINT
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
Law Firms Mentioned
Trending Stories
- 1First Lawsuit Filed Alleging Contraceptive Depo-Provera Caused Brain Tumor
- 2BD Settles Thousands of Bard Hernia Mesh Lawsuits
- 3The Law Firm Disrupted: For Big Law Names, Shorter is Sweeter
- 4The Growing Tension—And Opportunity—in Big Law Nonequity Tiers
- 5The 'Biden Effect' on Senior Attorneys: Should I Stay or Should I Go?
Featured Firms
Law Offices of Gary Martin Hays & Associates, P.C.
(470) 294-1674
Law Offices of Mark E. Salomone
(857) 444-6468
Smith & Hassler
(713) 739-1250