March 2015
By: Alan E. Seneczko
Wessels Sherman attorney Alan Seneczko recently won a key
victory for the City of New Berlin in the Wisconsin Court of Appeals. In a
published decision, Monreal v. City of
New Berlin, 2014AP458 (Wis. App. 2015), the appellate court reviewed a claim
filed by a retired New Berlin police officer who contended that he had a right
to deductible-free health insurance for the rest of his life. The officer, who
retired on a duty disability in 2010, argued that his future benefits should be
established by the health insurance clause in the collective bargaining
agreement in effect at the time of his retirement. That clause, “Sec. 5.02, Health
Insurance,” detailed the specific benefits provided to officers under the
agreement, including reimbursement of their in-network deductibles. After that
contract expired, the City implemented a new “high deductible” plan for all of its
officers, but Monreal claimed that he was entitled to reimbursement of all of
his deductibles, as provided in the old agreement. When the City refused, he
filed a complaint in circuit court – and the court agreed!
Arguing on behalf of the City,
Seneczko contended that Monreal’s future health insurance benefits were indeed
vested in the labor agreement in existence at the time of his retirement – but
were governed by Section 5.03 of that agreement, “Insurance for Duty Related
Disability Retirees,” which obligated the City to provide health insurance
coverage in the future, but contained no commitment to reimburse deductibles.
The Court of Appeals agreed, finding that the City had satisfied all of its
obligations to Monreal under Section 5.03, and that the specific benefits
provided under Section 5.02 were only intended for the duration of the
agreement.
Achieving a great result for a great client is what makes this practice so rewarding.
Questions? Please contact WS Attorney Alan E. Seneczko at (262) 560-9696, or email alseneczko@wesselssherman.com.