Breaking News: Supreme Court Rules on Church Plans

Today the United States Supreme Court released its ruling in Advocate Health Care Network v. Stapleton and it was unanimous:

ERISA provides (1) that a “church plan” means a “plan established and maintained . . . by a church” and (2) that a “plan established and maintained . . . by a church” is to “include[] a plan maintained by” a principal-purpose organization. Under the best reading of the statute, a plan maintained by a principal-purpose organization therefore qualifies as a “church plan,” regardless of who established it. We accordingly reverse the judgments of the Courts of Appeals.
What this means for those hospital plans:
  1. Underfunding-as-usual; and
  2. All the settlements in anticipation of a different outcome were premature.

8 responses to this post.

  1. Posted by Anonymous on June 5, 2017 at 2:13 pm

    What an unfair decision !

    These weren’t “rich” or excessively generous Plans like those routinely granted Public Sector workers. They were modest run-of-the-mill plans where their”church” (yeah right) sponsors made a conscious decision NOT to properly fund them knowing that upon failure, there would be zero protections from lost pensions via PBGC insurance.

    Reply

  2. Posted by Anonymous on June 5, 2017 at 4:31 pm

    I guess it comes down to what would GOD do?

    Reply

  3. Posted by Anonymous on June 6, 2017 at 8:08 am

    You mean they don’t currently contribute to their DBP?

    http://amp.oregonlive.com/v1/articles/20815269/democrats_propose_employee_cos.amp

    Reply

    Reply

  4. Posted by dentss dunnigan on June 6, 2017 at 10:25 am

    My guess NJ would not be a consideration for this company to move to ,with Murphy our next Governor already setting the stage for higher taxes . Making those evil companies pay their fair share is always a winner ….for surrounding states anyway . http://www.nbcconnecticut.com/news/local/Rumors-Swirl-that-Aetna-is-Looking-to-Leave-Connecticut-425465394.html

    Reply

    • Posted by Anonymous on June 6, 2017 at 10:27 am

      Let them move to another country. Single payer system will suck the life out the health insurance leeches.

      Reply

  5. Posted by Anonymous on June 6, 2017 at 4:12 pm

    In my experience churches don’t follow the rules made for everyone else. I had a wife who was a minister in the UMC and she had an affair with someone she was counseling and we divorced. The church did nothing to respond to this and she even continued to preach in the church. It’s an example of do as a say not as a do again with churches.

    Reply

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