I
103D CONGRESS
1ST SESSION
H. R. 3215
To amend title I of the Employee Retirement Income Security Act of 1974
to clarify remedies against unauthorized termination or reduction of
benefits under group health plans provided upon retirement.
IN THE HOUSE OF REPRESENTATIVES
OCTOBER 5, 1993
Mr. MURPHY introduced the following bill; which was referred to the
Committee on Education and Labor
A BILL
To amend title I of the Employee Retirement Income Secu-
rity Act of 1974 to clarify remedies against unauthorized
termination or reduction of benefits under group health
plans provided upon retirement.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ‘‘Retiree Health Bene-
fits Protection Act of 1993’’.
SEC. 2. TERMINATION OR REDUCTION IN BENEFITS PRO-
VIDED UPON RETIREMENT.
(a) IN GENERAL.—Part 6 of subtitle B of title I of
the Employee Retirement Income Security Act of 1974
(29 U.S.C. 1161 et seq.) is amended by adding at the end
the following new section:
‘‘SEC. 610. TERMINATION OR REDUCTION IN BENEFITS
PROVIDED UPON RETIREMENT.
‘‘(a) GENERAL RULE.—Subject to subsection (b),
benefits provided under a group health plan with respect
to a participant upon the participant’s retirement based
on age, service, disability, or any combination thereof may
not thereafter be terminated or reduced.
‘‘(b) EXCEPTION FOR LIMITATIONS PROVIDED BY
PLAN.—Subsection (a) shall not apply with respect to any
termination or reduction in benefits to the extent that—
‘‘(1) the terms of the plan, as in effect on the
date of such retirement, provide for such termi-
nation or reduction, and
‘‘(2) written notice of such terms providing for
such termination or reduction has been provided to
the participant on or before such date.’’.
(b) CLERICAL AMENDMENT.—The table of contents
in section 1 of such Act is amended by inserting after the
item relating to section 609 the following new item:
‘‘Sec. 610. Termination or reduction in benefits provided upon retirement.’’.
SEC. 3. RULES GOVERNING LITIGATION INVOLVING THE
TERMINATION OR REDUCTION OF BENEFITS
PROVIDED UPON RETIREMENT.
(a) CAUSE OF ACTION.—Section 502(a) of the Em-
ployee Retirement Income Security Act of 1974 (29
U.S.C. 1132(a)) is amended—
(1) in paragraph (5), by striking ‘‘or’’ at the
end;
(2) in paragraph (6), by striking the period and
inserting ‘‘; or’’; and
(3) by adding at the end the following new
paragraph:
‘‘(7) by a participant, beneficiary, or fiduciary,
or by an employee organization on behalf of one or
more participants or beneficiaries, to enjoin any act
or practice which violates section 610.’’.
(b) RELATED PROVISIONS.—Section 502 of such Act
is further amended by adding at the end the following new
subsection:
‘‘(m)(1) In any action under subsection (a)(7), if the
plaintiff has received notice of a termination or reduction
in benefits described in section 610(a) and has reason to
believe that such termination or reduction is not provided
for in the terms of the plan, the court shall, upon proper
showing—
‘‘(A) grant a temporary injunction or restrain-
ing order against such termination or reduction
without bond, pending a final decision, and
‘‘(B) grant a permanent injunction against such
termination or reduction or other appropriate equi-
table relief unless a defendant in such action estab-
lishes by a preponderance of the evidence that the
requirements of section 610(b) are met with respect
to such termination or reduction.
‘‘(2) An employee organization may intervene on be-
half of a participant or beneficiary in any action brought
under subsection (a)(7) by such participant or bene-
ficiary.’’.
SEC. 4. EFFECTIVE DATE.
The amendments made by this Act shall apply to ac-
tions relating to terminations or reductions in benefits
which are pending or commenced on or after the date of
the enactment of this Act.
Æ