The Meadows, an Arizona Corporation v. Employers Health Insurance, a Wisconsin Corporation Doing Business in the State of Arizona

Good Law
47 F.3d 1006·95 Daily Journal DAR 2139·1995 WL 64085·18 Employee Benefits Cas. (BNA) 2926·1995 U.S. App. LEXIS 2978
United States Court of Appeals for the Ninth CircuitFebruary 17, 199593-16315California2,276 words

Opinion

Opinion

Pregerson, J.

Defendant-Appellant Employers Health Insurance appeals the district court’s order remanding for a second time to the Arizona Superior Court Plaintiff-Appellee The Meadows’ state law action. The Meadows sued Employers Health Insurance for negligent misrepresentation, estoppel, and breach of contract arising out of an inquiry concerning coverage. The district court held that in the circumstances of this case, the Employee Retirement Income Security Act of 1974, 29 U.S.C. §§ 1001 et seq. (“ERISA”) did not preempt these state law causes of action. We have jurisdiction under 28 U.S.C. § 1291 . We affirm.

BACKGROUND

The Meadows is a substance abuse treatment facility. John Friedel is a former employee of School Services & Leasing, Inc. (“School Services”). Mr. Friedel terminated his employment with School Services on December 29, 1989. Before this date, he and his wife, Patricia Friedel, were holders of an insurance policy issued by Employers Health Insurance (“Employers Health”).

On February 14, 1990, The Meadows telephoned Employers Health regarding the existence of coverage for Patricia Friedel. Employers Health verified coverage. The Meadows then sent a letter to Employers Health…

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