Oral Argument: Cunningham v. Cornell University | Case No. 23-1007 | Date Argued: 1/22/25
Oral Argument: Cunningham v. Cornell University | Case No. 23-1007 | Date Argued: 1/22/25  
Podcast: SCOTUS Oral Arguments and Opinions
Published On: Wed Jan 22 2025
Description: Case Info: Cunningham v. Cornell University | Case No. 23-1007 | Date Argued: 1/22/25Link to Docket: Here.Background:The Employee Retirement Income Security Act of 1974 ("ERISA"), 29 U.S.C. § 1106(a)(1) (C), prohibits a plan fiduciary from "engag[ing] in a transaction, if he knows or should know that such transaction constitutes a direct or indirect furnishing of goods, services, or facilities between the plan and a party in interest." The statute elsewhere defines "party in interest" broadly to include a variety of parties that may contract with or provide services to a plan. See 29 U.S.C. § 1002(14)(B). The Eighth and Ninth Circuits have applied the Seventh, and Tenth Circuits have, on the other hand, required plaintiffs to allege additional elements to state a claim, because a "literal reading" of 29 U.S.C. § 1106(a)(1)(C) would purportedly produce "results that are inconsistent with ERISA's statutory purpose." Albert v. Oshkosh Corp., 47 F.4th 570, 585 (7th Cir. 2022). Question Presented: Whether a plaintiff can state a claim by alleging that a plan fiduciary engaged in a transaction constituting a furnishing of goods, services, or facilities between the plan and a party in interest, as proscribed by 29 U.S.C. § 1106(a)(1)(C), or whether a plaintiff must plead and prove additional elements and facts not contained in the provision's text.Holding: To state a claim under §1106(a)(1)(C), a plaintiff need only plausi­bly allege the elements contained in that provision itself, without ad­dressing potential §1108 exemptions.Result: Reversed and remanded.Voting Breakdown: Justice Sotomayor delivered the opinion for a unanimous Court. Justice Alito filed a concurring opinion, in which Justice Thomas and Justice Kavanaugh joined.Link to Opinion: Here.Advocates:For petitioners: Xiao Wang, Charlottesville, Va.; and Yaira Dubin, Assistant to the Solicitor General, Department of Justice, Washington, D.C. (for United States, as amicus curiae.)For respondents: Nicole A. Saharsky, Washington, D.C.Website Link to Opinion Summary: Here.Apple Podcast Link to Opinion Summary: Here.