Summary
granting employer's motion to dismiss because the plaintiff did not allege enough facts to state a plausible claim of relief under § 1132(B) when the complaint did not include allegations that employer acted as "de facto" claims administrator with the authority to pay claim specific benefits and decide whether to deny payment of benefits
Summary of this case from Buchanan v. Magellan Health, Inc.Opinion
Civ. No. 11-2230 (MJD/LIB)
07-24-2012
John J. Neal, Willenbring, Dahl, Wocken & Zimmermann, PLLC, Counsel for Plaintiff. David W. Asp and Susan E. Ellingstad, Lockridge Grindal Nauen PLLP, and Mary T. Weber, Sidley Austin LLP, Counsel for Defendant Aon Corporation.
ORDER
John J. Neal, Willenbring, Dahl, Wocken & Zimmermann, PLLC, Counsel for Plaintiff. David W. Asp and Susan E. Ellingstad, Lockridge Grindal Nauen PLLP, and Mary T. Weber, Sidley Austin LLP, Counsel for Defendant Aon Corporation.
The above-entitled matter comes before the Court upon the Report and Recommendation of United States Magistrate Judge Leo I. Brisbois dated April 27, 2012 [Docket No. 50], which recommended the dismissal of claims against Defendant Aon Corporation. Plaintiff has filed an objection to the Report and Recommendation. [Docket No. 51.] Plaintiff objects only to the recommendation that Plaintiff's claim under 29 U.S.C. § 1132(a)(3)(B) be dismissed. Pursuant to statute, the Court has conducted a de novo review upon the record. 28 U.S.C. § 636(b)(1); Local Rule 72.2(b). Based that review, the Court ADOPTS the thorough Report and Recommendation of United States Magistrate Judge Leo I. Brisbois dated April 27, 2012.
The Court agrees with the Magistrate Judge that the question of § 1132(a)(3)(B)'s applicability is controlled by the holding in Pichoff v. QHG of Springdale, Inc., 556 F.3d 728, 732 (8th Cir. 2009) (holding that compensatory relief is unavailable under 29 U.S.C. § 1132(a)(3)(B)). The Supreme Court's decision in CIGNA Corp. v. Amara, 131 S. Ct. 1866, 1879 (2011), which stated that monetary relief may be available under § 1132(a)(3)(B) when such relief is associated with equitable estoppel, reformation, or surcharge, does not override the holding in Pichoff or otherwise apply here. Here, as in Pichoff, Plaintiff "seeks compensation for the benefits that would have been paid . . . had the policy not lapsed," and "[s]uch relief . . . is compensatory in nature and unavailable under § 1132(a)(3)(B)." Pichoff, 556 F.3d at 732; see also Mertens v. Hewitt Assocs., 508 U.S. 248, 255 (1993) ("Money damages are, of course, the classic form of legal relief.").
The Court further agrees that Plaintiff's claim for equitable relief cannot succeed because it amounts to a repackaged denial of benefits claim. "[W]here a plaintiff simply characterizes a denial of benefits as a breach of fiduciary duty, equitable relief is not appropriate, because the plaintiff would be able to obtain adequate relief under § 1132(a)(1)(B)." Kendall v. Int'l Ass'n of Bridge, Structural, and Ornamental Iron Workers, Civ. No. 10-3140 (MJD/JJG), 2011 WL 1363996, at *8 (D. Minn. April 11, 2011). See Varity Corp. v. Howe, 516 U.S. 489, 514-15 (1996).
Accordingly, based upon the files, records, and proceedings herein, IT IS HEREBY ORDERED:
1. The Court ADOPTS the Report and Recommendation of United States Magistrate Judge Leo I. Brisbois dated April 27, 2012. [Docket No. 50.]
2. Defendant Aon Corporation's Motion to Dismiss [Docket No. 10] is GRANTED and Plaintiff's claims against Defendant Aon Corporation are DISMISSED without prejudice.
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Michael J. Davis
Chief Judge
United States District Court