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Court Orders CIGNA to Pay Six-Figure Attorney's Fees in ERISA Case
The Wood Law Firm, PLLC
[Guidance Overview] Apr. 9, 2009
Excerpt: Steven Alfano won his ERISA claim for long-term disability benefits against CIGNA. The district court had previously ruled that there was 'no sound basis in the record to support CIGNA's finding that plaintiff's back condition ? had in fact improved.' Alfano sought attorney's fees from CIGNA under 29 U.S.C. ? 1132(g)(1). In its analysis, the court considered the following factors under Second Circuit jurisprudence: (1) defendant's culpability or bad faith, (2) defendant's ability to withstand payment, (3) the extent to which an award would deter others from similar conduct, (4) the relative merits of the parties' positions, and (5) whether the action confers a common benefit on a class.
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