Joanne Roskey Quoted on Third Circuit's Decision to Uphold MetLife's Lawsuit Dismissal in Law360
Subtitle
"MetLife's 3rd Circ. Win Won't Stop ERISA Health Fee Suits"
Law360
Joanne Roskey, a former Deputy Associate Solicitor at the U.S. Department of Labor (DOL) and former Chief of the Division of Health Investigations in DOL's Employee Benefits Security Administration (EBSA), was quoted on the Third Circuit's recent decision to uphold MetLife's dismissal from a lawsuit accusing the company of improperly retaining $65 million in pharmacy rebates, ruling that employees failed to demonstrate standing to sue. The court stated that the plaintiffs did not adequately show how MetLife's actions directly impacted their out-of-pocket healthcare costs. This decision sets a significant precedent for employers, particularly as class action suits over excessive health fees continue to emerge.
While the court affirmed the dismissal, it clarified that claims regarding excessive health fees are not categorically barred. According to Roskey, the court's decision allows for the possibility of future lawsuits, emphasizing the need for plaintiffs to show concrete financial harm linked to ERISA violations. She noted, "The bar is still very high to be able to make out a claim, both on standing and on the merits." As cases like those against Johnson & Johnson and Wells Fargo unfold, the landscape for health fee litigation remains complex, with this ruling providing both challenges and openings for potential parties in these cases.