A former Safeway pharmacist’s lawsuit against Lincoln Life Assurance Company of Boston seeking interest on delayed long-term disability benefits payments partly survived a motion to dismiss in a California federal court. On multiple ERISA claims he may proceed to seek equitable relief under Section 1132(a)(3), the court said. However, ERISA preempts his state-law claims for breach of written contract, bad faith, malicious misrepresentation of material fact, and gross negligence, the court said. The plaintiff alleges that the delay in paying his benefits forced him to use credit cards for his living expenses and incur interest charges on unpaid balances.
Oct. 12, 2021, 12:59 PM