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Court Finds No COBRA Obligations Toward Employee Terminated for Gross Misconduct
Thomson Reuters / EBIA May 24, 2019
"[B]ecause gross misconduct terminations tend to involve heightened emotions and disputed facts, there is an increased risk of a costly court challenge. The employer in this case prevailed on its gross misconduct claim, albeit for procedural reasons, and this court declined to assess penalties ... But an employer that is wrong about gross misconduct can face not only an award of retroactive COBRA coverage but also the imposition of penalties of up to $110 per day for failure to provide required notices." [Rodriguez-Soto v. Presbyterian Med. Anesthesia Grp., No. 17-1477 (D.P.R. Mar. 22, 2019)]
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