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For 33 years, unionized employers in the Sixth Circuit had to deal with the holding and, worse still, the application of the decision in UAW v. Yard-Man, Inc., 716 F.2d 1476 (6th Cir. 1983), which created what it called an...more
In January of this year, the U.S. Supreme Court, in M&G Polymers USA LLC v. Tackett, ruled against a group of retirees by vacating a Sixth Circuit decision holding that a collective bargaining agreement created a vested right...more
In a contract governed by federal law, does “The End” really mean “The End”? Some federal courts have said “no,” but the U.S. Supreme Court has just said “yes.” Most contract cases in federal court involve the...more
In a contract governed by federal law, does “The End” really mean “The End”? Some federal courts have said “no,” but the U.S. Supreme Court has just said “yes.” ...more
In M&G Polymers USA, LLC v. Tackett, 135 S. Ct. 935 (2015), the Supreme Court of the United States addressed the interpretation of collective bargaining agreements (CBAs) that include post-retirement welfare benefits, such as...more
The Supreme Court cast a ray of sunlight for employers by rejecting the use of a problematic inference in adjudicating claims for retiree benefits brought pursuant to collective bargaining agreements. For many years, the...more
The Supreme Court, in M&G Polymers USA, LLC v. Tackett, held that courts cannot infer an employer’s intent to vest welfare benefits from ambiguous or silent collective bargaining agreements, but instead courts must use...more
In M&G Polymers USA, LLC v. Tackett, the United States Supreme Court invalidated a judicial presumption - commonly referred to as the Yard-Man presumption - that union retiree health care benefits are vested for life in the...more
The Supreme Court’s recent unanimous decision in M&G Polymers USA, LLC v. Tackett, No. 13-1010, 2015 WL 303218 (S. Ct. January 26, 2015) confirms that ordinary principles of contract law should be observed when interpreting...more
The New Year holiday is barely over and 2015 has delivered its first significant development affecting manufacturers and their labor unions. On January 26, 2015, in M&G Polymers U.S.A. v. Tackett, a unanimous United States...more
Last week, the United States Supreme Court issued a decision that gives unionized employers in Michigan, Ohio, Tennessee, and Kentucky greater ability to modify medical benefits they provide to retirees pursuant to current...more
For the past quarter century, because of conflicting legal authority, employers who offer health care to their retirees, particularly in a unionized setting, have struggled to determine whether they can alter those benefits....more
In M&G Polymers v. Tackett, the U.S. Supreme Court ruled that ordinary contract principles govern whether a collective bargaining agreement vests retirees in health coverage (and the contributions they are required to pay for...more
Ordinary contract principles govern disputes about collectively bargained retiree medical benefits. A Morgan Lewis team secured a major victory for employers when the U.S. Supreme Court, in M&G Polymers USA, LLC v....more
In a decision watched closely by both employers and unions, a unanimous Supreme Court has resolved a thirty-plus year split among the circuit courts on the standards governing claims for retiree health-care benefits arising...more
On Monday, a unanimous United States Supreme Court issued its decision in M & G Polymers USA, LLC v. Tackett, Supreme Court Case No. 13-101, vacating and remanding the Sixth Circuit’s holding that a group of retirees was...more