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ARTICLE · 16 JUNE 2020

A New Target Of ERISA Class Actions—COBRA Notices

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Bylined article by Litigation & Dispute Resolution partners Richard Nowak and Nancy Ross (both Chicago).

United StatesLitigation, Mediation & Arbitration
Richard Nowak
Richard Nowak
Nancy G. Ross
Nancy G. Ross
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Employers should ensure their COBRA continuation notices adhere to Department of Labor rules. Mayer Brown attorneys cite an increase in class action lawsuits arising from allegedly improper COBRA election notices and offer steps employers can take to avoid being a target of litigation.

COBRA continuation coverage has been around for decades, but there's been a recent proliferation of class action lawsuits targeting technical deficiencies in COBRA election notices.

When an employee loses coverage under a group health plan as a result of a termination or a reduction in hours for reasons other than gross misconduct, or as a result of another qualifying event, the employee may be entitled to COBRA continuation coverage.

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