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ARTICLE · 09 MARCH 2018

Benefits Counselor March 2018

Reinhart, Boerner, Van Deuren SC
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The United States Court of Appeals for the Seventh Circuit recently ruled that a participant forfeited his right to a de novo appeal because he delayed filing a lawsuit.

United StatesEmployment and HR
Employee Benefits Group
Employee Benefits Group
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General Employee Benefits

Plan Participant Waived Remedy for Untimely Benefits Determination

The United States Court of Appeals for the Seventh Circuit recently ruled that a participant forfeited his right to a de novo appeal because he delayed filing a lawsuit.  In Dragus  v. Reliance Standard Life Ins.  Co., Reliance Standard failed to render a timely decision on the participant's claim.  However, instead of filing a lawsuit, the participant filed an appeal with the plan administrator.  By filing an administrative appeal, the Court concluded that the participant waived his right to a remedy for an untimely decision.  As a result, the Court could only review whether Reliance Standard's disability determination was arbitrary and capricious.

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