Eighth Circuit discusses when promise to pay sever…
Eighth Circuit discusses when promise to pay severance is ERISA plan
In Eide v. Grey Fox Tech. Servs. Corp. (5/22/03), 8th Cir. holds that dispute over oral promises of severance was not preempted by ERISA because it did not relate to an ERISA plan. Discusses when a severance promise or plan becomes an ERISA plan, focusing on need for an “ongoing administrative program.”
This was a reversal for the employer, which had used ERISA to remove the case to the preferred venue of federal court.
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