7th Circ. Vacates Plumbing ERISA Ruling For Jurisdiction

Law360 (July 7, 2021, 7:44 PM EDT) — The Seventh Circuit on Wednesday vacated a lower court’s decision to purge a newly formed plumbing company from a previous entity’s judgment under the Employee Retirement Income Security Act, which stated that the case never belonged in federal court in the first place.

Two ERISA-backed employee benefits, the East Central Illinois Pipe Trades Health and Welfare Fund and the Plumbers & Steamfitters UA Locals 63/353 Pension Fund, had filed federal lawsuits against Prather Plumbing & Heating Inc. liable for an ERISA judgment. They alleged that Prather stepped into the obligations of a family business predecessor and that the federal common law doctrine of successor liability…

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