Stris & Maher LLP

The Challenge

Persuading the Supreme Court to resolve an important circuit split on the reach of equitable remedies under ERISA.

The Engagement

On numerous occasions (and frequently with our attorneys appearing), the Supreme Court has grappled with the proper scope of the remedies provided under ERISA, the federal statute that covers most Americans’ health insurance. The most recent case on the remedies question involved an unlucky defendant named Robert Montanile, who was hit by a drunk driver and suffered severe injuries. While Mr. Montanile settled with the driver who injured him, those monies were insufficient to cover his medical bills and other necessary expenses. Nonetheless, Mr. Montanile’s health plan sued him, demanding that he personally reimburse it for the six figures in medical bills it had paid. The circuit courts of appeal were split on whether ERISA allowed a plan to obtain reimbursement in those and similar circumstances. We were retained by the defendant’s trial counsel to handle the case before the Eleventh Circuit, and then to obtain certiorari and argue the matter before the Supreme Court. After obtaining certiorari, we argued that neither ERISA nor the practices of historical equity permitted a plaintiff to reach the general assets of a subrogor. The United States Government intervened on our side.

The Result

The Supreme Court issued an 8-1 decision in favor of Mr. Montanile. The constraints it articulated on the recovery of monies from needy beneficiaries will help to protect the limited resources of millions of sick, disabled, and retired people.