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Union Staffers Get Partial Revival of Health Cut Suit (Correct)

April 21, 2021, 2:56 PM; Updated: April 22, 2021, 4:33 PM

A nonprofit group representing retired Michigan union staff scored a partial win in its lawsuit challenging cuts to retiree health coverage, when the U.S. Court of Appeals for the Sixth Circuit revived claims based on a letter of understanding signed by teachers’ union representatives.

The district judge who denied the group’s request for a preliminary injunction failed to consider whether the 1993 letter of understanding qualifies as an enforceable contract separate and apart from the relevant health plan documents, the court said. If the letter is a valid, standalone contract that vested health benefits for retirees, it could govern the...

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