Supreme Court Decision Syllabus (SCOTUS Podcast)
Following what the Supreme Court is actually doing can be daunting. Reporting on the subject is often only done within the context of political narratives of the day -- and following the Court's decisions and reading every new case can be a non-starter. The purpose of this Podcast is to make it as easy as possible for members of the public to source information about what is happening at the Supreme Court. For that reason, we read every Opinion Syllabus without any commentary whatsoever. Further, there are no advertisements or sponsors. We call it "information sourcing," and we hope that the podcast is a useful resource for members of the public who want to understand the legal issues of the day, prospective law students who want to get to know legal language and understand good legal writing, and attorneys who can use the podcast to be better advocates for their clients.
*Note this podcast is for informational and educational purposes only.
Supreme Court Decision Syllabus (SCOTUS Podcast)
Cunningham v. Cornell (ERISA)
In Cunningham v. Cornell University, the Supreme Court addressed a fundamental pleading question under the Employee Retirement Income Security Act of 1974 (ERISA). Petitioners—former and current Cornell University employees—alleged that university fiduciaries violated ERISA §1106(a)(1)(C) by causing their retirement plans to pay excessive fees for recordkeeping services to Fidelity and TIAA-CREF, both parties in interest. The Second Circuit dismissed the claim, holding that plaintiffs must also plead that the transaction wasn’t exempt under §1108(b)(2)(A), which allows for reasonable arrangements with service providers.
The Supreme Court unanimously reversed. Writing for the Court, Justice Sotomayor held that §1106(a)(1)(C) sets out a categorical bar against certain transactions between plans and parties in interest, and plaintiffs need only plausibly plead the elements of that section to state a claim. The §1108 exemptions—such as those permitting “reasonable arrangements” for necessary services—are affirmative defenses that defendants must raise and prove. Citing Meacham v. Knolls Atomic Power Lab, the Court emphasized that statutory exemptions laid out in separate provisions do not become part of a plaintiff’s burden unless Congress says otherwise.
Just Sotomayor writing for a unanimous Court. Justice Alito filed a concurrence, joined by Justices Thomas and Kavanaugh.
Read by Jeff Barnum.
