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Friday, March 17, 2006

Ind. Decisions - 7th Circuit decides one from Indiana today

In Cherry v. Auburn Gear (ND Ind., Theresa Springmann, Judge), a 17-page opinion, Chief Judge Flaum writes:

The defendant-appellee, Auburn Gear, terminated benefits to retired employees of Auburn Gear and its predecessor Borg-Warner. The retired employees filed suit, claiming that their collectively bargained insurance agreements provided “lifetime benefits” that could not be terminated. The district court found that the language of the collectively bargained insurance agreements limited benefits to the term of the agreements and contained no patent or latent ambiguities. As a result, when the terms of the collectively bargained insurance agreements expired, so did Auburn Gear’s obligation to provide benefits. On this basis, the district court granted summary judgment for Auburn Gear.

For the following reasons, we now affirm the judgment of the district court.

Posted by Marcia Oddi on March 17, 2006 01:04 PM
Posted to Ind. (7th Cir.) Decisions