You need to understand exactly how the administrator is getting paid and you should consider using a benchmarking service and/or shopping the market to make sure that the fees are not excessive. Thus, the privilege extends to any claim, even if not explicitly labeled "defamation," if the claim is advanced to circumvent the policy behind the privilege, that is, allowing citizens to make statements in judicial proceedings without fear of having to answer in damages. Toll-Free 866-796-1173. denied). 1). 1998) (holding that a court may sua sponte dismiss for failure to state a claim "as long as the procedure employed is fair"). (Dkt. A copy of the decision is available here. §636(b) and Rule 1(c) of Appendix C of the Local Rules. Plaintiffs acknowledge that in a prior case, Rudkin v. Roger Beasley Imports, Inc., 2018 WL 212289 at *2 (W.D. FRINGE BENEFIT GROUP INC. and FRINGE INSURANCE BENEFITS, INC., When choosing a prevailing wage benefit plan administrator (health & welfare or pension), take care to find one that does not have conflicts of interest. Class Action Certified in Chavez v. Fringe Benefit Group, Inc. Court Rejects Motion to Dismiss by BlackRock. Applicable Law: 15 U.S.C. Class Action Certified in Chavez v. Fringe Benefit Group, Inc. Court Rejects Motion to Dismiss by BlackRock. 18 at 4. v. Fees must be reasonable in comparison to the type and quality of the services being provided. In this motion, Fringe argues that the TCPA bars the two counterclaims and moves to dismiss them. Fringe Benefit Group Excessive Fee Litigation. 2018), reh'g denied (June 4, 2018) (finding TCPA inapplicable to the legal claims in issue without deciding it was applicable in federal court). (Dkt. denied). 16 at 14 ¶¶ 9-16). § 1125 In their counterclaim, FCE and Porter contend that "[o]n or about May 3, 2018, Plaintiffs published a statement on their website regarding this pending litigation" that FCE and Porter contend contained disparaging false statements. The case is brought on behalf of a proposed class of workers in plans that participate in CERT and CPT. App.- Fort Worth 2004, pet. 1982). 721 (1889). See Bennett v. Computer Assocs. In a 2004 case, Texas's Houston Court of Appeals explained that: Daystar Residential, Inc. v. Collmer, 176 S.W.3d 24, 28 (Tex. (Dkt. Id. Build employee loyalty. On June 15, 2018, the U.S. District Court for the Western District of Texas denied in part a motion to dismiss by Fringe Benefit Group and its subsidiaries, Plan Benefit Services, Inc. and Fringe Insurance Benefits, Inc. 2004, pet. Fringe filed this lawsuit against FCE and Porter on May 2, 2018, after FCE and Porter allegedly sent false and misleading solicitation letters to Fringe's customers, and sought to misappropriate those customers. On June 15, 2018, the U.S. District Court for the Western District of Texas denied in part a motion to dismiss by Fringe Benefit Group and its subsidiaries, Plan Benefit Services, Inc. and Fringe Insurance Benefits, Inc. A list of open investigations and lawsuits can be viewed here. Texas-based Fringe Benefit Group and its subsidiaries must … The absolute privilege of parties and witnesses to participate in judicial proceedings without having to answer civil actions in damages for libel or slander is well established in Texas law. If applicable here, then, the judicial proceedings privilege would apply to both of the counterclaims. If you have additional questions please do not hesitate to contact us or download our whitepapers – “Harnessing the Power of Supplemental Unemployment Benefit Plans” and “Working the Fringe.”. Whether an out-of-court statement is related to a proposed or existing judicial proceeding is a question of law. A party filing objections must specifically identify those findings or recommendations to which objections are being made. Court Rejects Motion to Dismiss by BlackRock, Court Awards $18.75 Million to Computer Workers in Strauch, et al. Home › Fringe Benefit Group Excessive Fee Litigation. On July 6, 2017, the firm filed Chavez v. Plan Benefit Services, Inc. in the United States District Court for the Western District of Texas, along with co-counsel Altshuler Berzon and Bruckner Burch. This immunity is absolute even if the statement is false and uttered or published with express malice. Home › Court Rejects Motion to Dismiss in Fringe Benefit Group Excessive Fee Litigation. Click the citation to see the full text of the cited case. No. It specifically discusses the allegations in the case and provides a link to the complaint. Fringe Benefit Group filed a motion to dismiss the complaint on 1/15/18, denying the … § 636(b)(1)(c); Thomas v. Arn, 474 U.S. 140, 150-53 (1985); Douglass v. United Servs. Texas, Austin Division. For more details you can read the Complaint and the Court’s Order. Laub v. Pesikoff, 979 S.W.2d 686, 690 (Tex. ; 5-State Helicopters, Inc. v. Cox, 146 S.W.3d 254, 257 (Tex. 1, ¶¶ 20-40). Fringe Benefit Group, Inc. and Fringe Insurance Benefits, Inc. (collectively, "Fringe") filed this Lanham Act lawsuit against FCE Benefit Administrators, Inc. and Chris Porter on May 2, 2018. No. For more information, read the court’s Order or the First Amended Complaint, or contact Nina Wasow or Catha Worthman. We work with existing agents, brokers and insurance companies. A party's failure to file written objections to the proposed findings and recommendations contained in this Report within fourteen (14) days after the party is served with a copy of the Report shall bar that party from de novo review by the District Court of the proposed findings and recommendations in the Report and, except upon grounds of plain error, shall bar the party from appellate review of unobjected-to proposed factual findings and legal conclusions accepted by the District Court. A lawsuit accusing Texas-based Fringe Benefit Group and its subsidiaries of charging excessive benefit plan fees is now a certified class action covering at least 70,000 people, after a ruling from a judge in the Western District of Texas. See Dallas Independent School District v. Finlan, 27 S.W.3d 220 (Tex. In addition to contending that the counterclaims fail to meet the threshold requirements of the TCPA, Fringe also asserts in the motion to dismiss that it has a meritorious defense to the claims under the judicial proceedings privilege recognized by Texas law, and under the TCPA this is an independent basis for the Court to dismiss the claims. Fringe and FCE are direct competitors in the marketing, sales, and administration of employee benefit plans throughout the United States. No. Coverage of the case is available here. The court found that Defendants are fiduciaries because they exercise control over plan assets, and Plaintiffs have standing to pursue their claims because they suffered an alleged loss of benefits as a result of Defendants’ collection of excessive fees. 18) IN PART and DISMISS Defendants' counterclaims for defamation and business disparagement WITH PREJUDICE as barred by the judicial proceedings privilege. Judge declines to dismiss claims of fiduciary breach and prohibited transactions under ERISA. FCE and Porter filed an answer and a two-count counterclaim against Fringe. The District Court need not consider frivolous, conclusive, or general objections. Id. In the present motion, Fringe moves to dismiss the two counterclaims—alleged business disparagement and defamation—under Chapter 27 of the Texas Civil Practice and Remedies Code, commonly known as the Texas Citizens Participation Act (the "TCPA"). -Houston [1st Dist.] The plaintiffs… Listed below are those cases in which this Featured Case is cited. All doubt should be resolved in favor of the communication's relation to the proceeding. 1998, pet. On July 6, 2017, the firm filed Chavez v. Plan Benefit Services, Inc. in the United States District Court for the Western District of Texas, along with co-counsel Altshuler Berzon and Bruckner Burch. The plaintiffs are janitors and floor technicians who are members of IUOE Local 351 in El Paso, Texas. The District Court referred the above-motion to the undersigned Magistrate Judge for report and recommendation pursuant to 28 U.S.C. For more than 30 years, Fringe Benefit Group has designed programs that simplify the benefits process for employers with hourly workers. The information provided by Feinberg, Jackson, Worthman & Wasow LLP on this website is for general information only. By Carmen Castro-Pagan. ... as well as an overtime rate and “fringe benefits,” such as vacation days, medical care and pensions. June 18, 2018, 8:10 AM. Our solutions are free from any conflict of interest as we do not sell any financial or insurance products. © 2020 DirectAdvisors. Fringe Benefit Providers Can’t Dodge Lawsuit Over Excessive Fees. Fringe Benefit Group, Inc. On August 30, 2019, the U.S. District Court for the Western District of Texas certified a class of participants in plans that provide employee benefits through the Contractors and Employees Retirement Trust (CERT) and the Contractors Plan Trust (CPT) from 2011 to the present.
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