Thrivent Financial vs Perez Department of Labor Acosta DOL, Status of lawsuits, Defense of alternative dispute resolution with mandated arbitration

Thrivent Financial vs Perez Department of Labor Acosta DOL, Status of lawsuits, Defense of alternative dispute resolution with mandated arbitration

“The MDRP is the sole means for presenting and resolving grievances, complaints, or disputes between Members, insureds, certificate owners or beneficiaries and Thrivent or Thrivent’s directors, officers, agents and employees. The MDRP reflects Thrivent’s Christian belief system and strives to preserve Members’ fraternal relationship.”…Thrivent v. Perez Sept. 29, 2016

“Thrivent contends that its commitment to individual arbitration is ‘”important to the membership because it reflects Thrivent’s Christian Common Bond, helps preserve members’ fraternal relationships, and avoids protracted and adversarial litigation that could undermine Thrivent’s core mission.’”…Thrivent v. Acosta Nov. 3, 2017

“pre-dispute mandatory arbitration provisions are inappropriate in insurance policies and incompatible with the legal duties insurers owe policyholders when handling their claims.”…NAIC, National Association of Insurance Commissioners, August 15, 2016

 

From Bloomberg  Sept. 29, 2016.

“Thrivent Financial for Lutherans is accusing the Department of Labor of exceeding its statutory authority by attempting, with its new fiduciary rule, to force all disputes into federal court rather than allowing for alternative dispute resolution methods (Thrivent Financial for Lutherans v. Perez, D. Minn., 0:16-cv-03289, complaint filed 9/29/16).

Thrivent’s lawsuit, filed Sept. 29 in the U.S. District Court for the District of Minnesota, takes aim at the rule’s “best interest contract” (BIC) exemption”

https://news.bloomberglaw.com/employee-benefits/thrivent-financial-joins-fray-in-challenging-dols-fiduciary-rule?context=article-related

From the lawsuit.

“Thrivent’s Member Dispute Resolution Program
42. Thrivent’s MDRP is incorporated into all of Thrivent’s fraternal insurance contracts through the open contract provision by which Thrivent’s Articles of Incorporation and Bylaws are incorporated into all Thrivent insurance contracts, as required under state law. The MDRP Bylaw was adopted by Thrivent’s Member-elected Board of Directors as a part of Thrivent’s Articles of Incorporation and Bylaws in 1999 (at which time Thrivent was known as AAL). In so doing, Thrivent’s Board of Directors determined that the MDRP is in the best interests of Thrivent’s Membership.

43. The MDRP Bylaw, which is Section 11 of Thrivent’s Bylaws, requires binding, mandatory arbitration for any Member disputes with Thrivent. Section 11 “applies to all past, current and future benefit certificates, members, insureds, certificate owners, beneficiaries and the Society. It applies to all claims, actions, disputes and grievances of any kind or nature whatsoever. It includes, but is not limited to, claims based on breach of benefit contract[.]” Bylaws, § 11(b). “No lawsuits or any other actions may be brought for any claims or disputes covered by” Section 11. Id. § 11(c).

44. The MDRP is the sole means for presenting and resolving grievances, complaints, or disputes between Members, insureds, certificate owners or beneficiaries and Thrivent or Thrivent’s directors, officers, agents and employees. The MDRP reflects Thrivent’s Christian belief system and strives to preserve Members’ fraternal relationship.”

“47. A key benefit of the MDRP is that it preserves the fraternal relationship between Thrivent and its Members by avoiding adversarial litigation that could threaten to undermine the organization’s core mission. Thrivent’s Bylaws provide that no lawsuits or other actions are permitted for claims or disputes covered by the MDRP. Thrivent’s MDRP provides for resolution of disputes on an individual basis, involving Thrivent and the Members. Representative or class actions are not permitted under the MDRP Bylaw, which provides that “no disputes may be brought forward in a representative group or on behalf of or against any ‘class’ of persons, and the disputes of multiple members, insureds, certificate owners or beneficiaries (other than immediate family) may not be joined together for purposes of these procedures.” See Bylaws, § 11(e).
48. The MDRP is consistent with Thrivent’s fraternal nature, consistent with the Christian belief system of its Members, and reflects the careful balancing between Thrivent’s and its Members’ desire for a prompt, fair and efficient resolution of disputes, on the one hand, and the protection of the interests of all Members on the other. As such, the MDRP is an integral part of Thrivent’s governance structure. Experience has shown that the MDRP not only provides a fair and efficient process for dispute resolution, but is also in the best interest of Members.”

https://www.bloomberglaw.com/public/desktop/document/Thrivent_Financial_for_Lutherans_v_Perez_et_al_Docket_No_016cv032?1552582945

DOL temporarily stopped enforcing anti-arbitration provision.

“Thrivent Financial for Lutherans convinced a federal judge in Minnesota to temporarily stop the Labor Department from enforcing the fiduciary rule’s anti-arbitration provision against the nonprofit financial entity.

Thrivent showed the threat of irreparable harm to its business model, both now and in the future, was sufficient to have its request for a preliminary injunction granted, Judge Susan Richard Nelson held Nov. 3 (Thrivent Fin. for Lutherans v. Acosta, 2017 BL 396118, D. Minn., No. 0:16-cv-03289-SRN-DTS, order granting preliminary injunction 11/3/17″

https://news.bloomberglaw.com/employee-benefits/thrivent-financial-wins-battle-over-labor-dept-arbitration-ban?context=article-related

Status report January 2, 2018.

“While the administrative process continues forward, it is not yet complete. On November 29, 2017, the Department published in the Federal Register a final rule extending the transition period and delay of applicability dates for the relevant prohibited transaction exemptions from January 1, 2018 to July 1, 2019. See 82 Fed. Reg. 56545 (Nov. 29, 2017). The Department believes that this administrative delay will provide the Department time to complete its review of the underlying Fiduciary Rule and related exemptions and its intended proposal of “a new streamlined class exemption.” Id. at 56548. The Department believes that both its review and any proposed changes can be implemented before July 1, 2019. See id. at 56552 (explaining the Department’s belief that the additional time “is sufficient to complete review of the new information in the record and to implement changes to the Fiduciary Rule and/or PTEs, if any, including opportunity for notice and comment and coordination with other regulatory agencies”) ”

https://www.dolfiduciaryrule.com/portalresource/ThriventvPerez2018-01-02ECF112JointStatusReport.pdf

Status report July 2, 2018.

“Pursuant to the Court’s Memorandum Opinion and Order dated November 3, 2017, the parties submit this joint status report to address whether a continued stay of proceedings is necessary. The parties agree that a continued stay of proceedings is appropriate and anticipate providing a subsequent report to the Court on September 4, 2018.

In its Memorandum Opinion and Order, the Court granted a preliminary injunction prohibiting the “implementation and enforcement of the BIC Exemption’s anti-arbitration condition against Thrivent . . . until the conclusion of this litigation or such time as the Court so orders.” ECF No. 111 at 19. The Court also stayed the case, concluding that “[s]taying this matter will allow the administrative process to fully develop, possibly resolving this dispute, and thereby promoting judicial economy.””

https://www.napa-net.org/sites/napa-net.org/files/uploads/thrivent-dol-status-report.pdf

A status report for September 2018 has not been located.

However, the following suggests the Department of Labor is continuing to work on the “Fiduciary Rule and Prohibited Transaction Exemptions.”

RIN Data

DOL/EBSA RIN: 1210-AB82 Publication ID: Fall 2018
Title: Fiduciary Rule and Prohibited Transaction Exemptions
Abstract:The Department of Labor in 1975 issued a regulation defining who is “fiduciary” under section 3(21)(A)(ii) of the Employee Retirement Income Security Act (ERISA) as a result of giving investment advice for a fee or other compensation.  On April 8, 2016, the Department replaced the 1975 regulation with a new regulatory definition.  The new regulatory definition was vacated in toto in Chamber of Commerce v. Department of Labor, 885 F.3d 360 (5th Cir. 2018).  The Department is considering regulatory options in light of the Fifth Circuit opinion.
Agency: Department of Labor(DOL) Priority: Other Significant
RIN Status: Previously published in the Unified Agenda Agenda Stage of Rulemaking: Final Rule Stage
Major: No Unfunded Mandates: No
EO 13771 Designation: Deregulatory
CFR Citation: Not Yet Determined     (To search for a specific CFR, visit the Code of Federal Regulations.)
Legal Authority: 29 U.S.C. 1002 (ERISA sec. 3(21))    29 U.S.C. 1108 (ERISA sec. 408)
Legal Deadline:  None
Timetable:

Action Date FR Cite
Request for Information (RFI) 07/06/2017 82 FR 31278
RFI Comment Period End 08/08/2017
Final Rule 09/00/2019

https://www.reginfo.gov/public/do/eAgendaViewRule?pubId=201810&RIN=1210-AB82

How will this play out? Who knows.

The NAIC in 2016 stated: “pre-dispute mandatory arbitration provisions are inappropriate in insurance policies and incompatible with the legal duties insurers owe policyholders when handling their claims.”

Hopefully justice will prevail.

***  Update Mar 15, 2019  ***

According to a USDOJ attorney who worked on the lawsuit, it has ended.

 

More here:

https://citizenwells.com/

http://citizenwells.net/

 

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40 responses to “Thrivent Financial vs Perez Department of Labor Acosta DOL, Status of lawsuits, Defense of alternative dispute resolution with mandated arbitration

  1. citizenwells

    “I can assure you that the “core Christian beliefs” touted in the above did not manifest in my claims experiences with Thrivent. The whole of my experience has been the recipient of adversarial and argumentative postures.
    No one from the Thrivent headquarters/claims office ever expressed any concern over my well being or in truly helping me through difficult times. Not the least hint of living out Christian values.”

    https://citizenwells.com/2018/07/30/to-brad-hewitt-chief-executive-officer-of-thrivent-financial-for-lutherans-my-claims-experience-my-background-and-thoughts-request-that-you-read-and-investigate-facts-opportunity-to-act-out-christi/

  2. CW……….
    …………it is obvious to me that you along with all the rest of the Thrivent policy holders were victims of a gang of overeducated wordsmiths………..THE ONLY THING THE POLICY HOLDERS RECEIVED,OR EVER WILL RECEIVE IS VERBAL SNOW JOBS.. I THINK NAIC IS CORRECT. IT IS NOW TIME FOR THE SCOTUS TO SLAP THE THRIVENT PEOPLE SILLY, AND MANDATE THE COMPANY BEGIN PAYING TAXES FOR STARTERS,THEN FOLLOW UP WITH A FEDERAL CLASS ACTION TO FORCE THRIVENT INTO COMPLIANCE WITH THE LAWS, OR FORFEIT THEIR RIGHT TO SELL INSURANCE ANYWHERE WITHIN THE BORDERS OF THE US. IT IS ILLEGAL FOR A FOR PROFIT COMPNY TO OPERATE UNDER THE UMBRELLA OF A TAX EXEMPT ORGANISATION. THRIVENT HAS BEEN GETTING AWAY WITH THIS FOR FAR TOO LONG. WITHOUT A DOUBT THEY HAVE VICTIMISED A LOT OF POLICY HOLDERS OVER THE YEARS. THE SCOTUS NEEDS TO FORCE THEM OUT FROM UNDER THE PROTECTION OF THE LUTHERAN CHURCH, AND ONCE THEY ARE IN THE OPEN THEN THEY CAN BE FORCED TO MAKE REPARATIONS TO ALL WHO THEY HAVE SWINDLED OVER THE YEARS.

  3. CW………
    ……..THRIVENT NEEDS TO BE BROUGHT INTO FEDERAL COURT FOR TAX EVASION.

  4. AND NOW………
    SENATE HAS VOTED TO BLOCK THE PUBLIC RELEASE OF THE MUELLER REPORT. IT IS NOW CLEAR THAT THE RINOS ARE HELPING THE LIBERAL LEFT DEFRAUD AMERICA.

  5. AND……..
    ……….while America is being invaded Congress decides to castrate the POTUS. Congress has gone rogue, and it will eventually bite them in the A$$ BIG TIME!!!! IT IS ALMOST AS THOUGH OUR congress HAS LOST IT’S MIND. IT IS REALLY HARD TO IMAGINE THAT congress HATES TRUMP SO BADLY THAT IMPEACHMENT IS ALL THEIR LUNATIC MINDS CAN NOW THINK ABOUT. WHEN THEY TRY TO OVERTHROW HIM LEGALLY THEY ARE GOING TO FIND THEMSELVES IN CONFLICT WITH SOMETHING CALLED THE CONSTITUTION……….AND ALL WHO WERE INVOLVED WITH THE CONSPIRACY WILL BE LOOKING AT LIFE IN PRISON.

  6. fhl……..
    …………..along with a lot of other pages as well!!!

  7. oldsailor85+
    Question…
    Yes, the shooting terror attack that killed 49 Muslims is a tragedy, but what about Christians killed by Muslims? This was reported Jan 2018……

    More than 3,000 Christians were killed worldwide last year for their faith, twice as many as the previous year, a report by the charity Open Doors has found.

    Of the 11 worst countries for Christians to live in, all are now classed as places of extreme persecution – more than ever before in 26 years of the World Watch List, which is published annually by the charity. Open doors compiles data on five spheres of life – private, family, community, national and church life – to reach a list of 50 countries where persecution of Christians is most extreme.

    North Korea remains number one for Christian persecution in their 2018 report, followed closely by Afghanistan and Somalia, where Christians are routinely targeted by violent Islamic mililtants.

    Their latest report highlights in particular unprecedented levels of persecution in Egypt, where last year more than 200 Christians were driven out of their homes and 128 were killed for their faith. Egypt is home to the largest Christian community in the Middle East, the majority of whom are Orthodox. On Christmas Day, Christians attended services across the country accompanied by soldiers amid rising threat levels. Last Easter two church bombings killed 49 people.

  8. oldsailor86
    Here’s your favorite plane.

  9. Ocasional Cortez: “To hell with your ‘thoughts and prayers’ for victims of New Zealand massacre”

    Why would she say that? The answer is simple.

    “Thoughts and prayers” involve the two least favorite things for the left; thinking and praying.

  10. hapnHal…….
    …………you have a definite point. While two wrongs don’t necessarily make a right, I like you tend to look more at WHO DONE WHAT FIRST. Perhaps this sort of thing is best demonstrated by the movie “FIRST BLOOD”. Here was a transient medal of honor winner just walking through a town who ended up being jailed for no reason. Unfortunately the law enforcement officer of the town was somebody who was intent upon absolute control over strangers. What happened after that point nearly cost the enforcer his life…………..and the resulting mayhem and property damage required the assistance of the medal of honor winner’s ex commanding officer to bring to an end.
    I do not hold ALL Muslims accountable for the behavior of some of them. The defiant chant of a small number of them is as many of us remember ALUA AKBAR (misspelled intentionally) which has the meaning GOD IS GREAT. Why the Islamic jihadists use the word God, seems to be a misuse of their own doctrine. Mohammed was considered by Christians to be a PHONY God. In parallel with this is the radical translation of the KOURAN wherein Islamic radicals claim lies the transcripts of instructions from Mohammed to murder all gentiles who do not live by the radical Islamic principles. So the West has become a place of invasion by thousands, if not millions of Muslims. As long as they live by the laws of our land, and are peaceful I hold no animosity towards them. There is evidence that some of the Muslims do not translate the Kouran into a plan for murder of Gentiles. At least this is what they say. So far many seem to be intent upon bettering their lives instead of doing mass murders.
    While simultaneously I completely understand the reasoning of the shooter of the 49 people I have to say he WAS WRONG.!!!!!
    Everywhere on Earth man is exactly the same in structure. The only thing that differs is skin color and the mental veracity. The adversity comes from TEACHING, and exposure of children to radical beliefs, and practices which continues into their adult lives. Then they leave their sand piles and come to the US and start murdering people. Yet at the turn of the century we had an invasion of European people, a few of whom were also criminals, and intent upon creating criminal empires in New York. They even infiltrated the New York Criminal Courts, and the law enforcement services in general. It wasn’t until Rudy Guiliani became mayor that much of their criminal empire was destroyed, and several of them hastily bought one way tickets back to Sicily. Rudy Guiliani deliberately allowed the handwriting on the walls to remain………..for WANNABE criminals to read!!!!

  11. Bob Strauss……..
    ……….originally the gunships were built into C-47s and were called PUFF THE MAGIC DRAGON. It gives me great pleasure to look at what the PUFFs have become. These days one PUFF can rout, and/or kill a division of soldiers in very short order with saturation firing of everything on board………..that is until the enemy is able to fire a SAM at them. Victory in this area of endeavor comes down to who inflicts the worst damage, and the most casullties FIRST!!!! Nowdays the PUFFS have the ability to destroy up coming missiles as well. The tiny little rockets they use for this purpose will accelerate in a millisecond to Mach 8. Onboard Laser defenses penetrate the atmosphere at the speed of light. (186,000) PER SECOND.

  12. fhl………
    ………..like always your right on the money!!

  13. fhl
    …………with respect to the moronic drivel of Mzzzzzzzzzzzzzzzzzzzzzzzzzzzz. Cortez I would advise her to take a long walk on a short pier. She is one of the three females who have pushed the Democratic party nearly over the brink. The RADICAL PSYCHOSIS which now permeates the Democratic party will eventually bring about a complete break down of the group. Lil BETO, and Pocahontas both add a lot of manure to the load of crap the Democrats are trying to sell. Between that load of crapola, and the incessant IMPEACH, IMPEACH, IMPEACH we keep hearing from the oral loudspeakers of people like Mzzzzzzzzzzzzz.CRAZY WATERS, and the TEXAS LUNATIC Congressman GREEN STUFF, we are able to take a fairly accurate measure of the magnitude of the IRRATIONAL HYSTERIA which is infused among them. They are all very close to being COMPLETE BABBLING LUNATICS READY FOR STRAIGHT JACKETS. THE TWISTED MEDIA TALKING HEADS ARE EVEN WORSE………….THEY NOW RAVE, AND BABBLE INCOHERENTLY.
    WHEN WE STAND BACK A LITTLE AND LOOK AT WHAT IS HAPPENING WITH SOME OF OUR YOUNG PEOPLE IT IS EASY TO SEE THAT THEY ARE SWALLOWING THE LIBERAL INSANITY HOOK, LINE, AND SINKER. NOW THE DEMOCRATS WANT TO LOWER THE VOTING AGE TO 16.

  14. fhl…………
    ………….maybe if we ask them just right SNL will bring back some of their old skits like the CONE HEADS, and Mr. Bill. The Coneheads would be great facsimiles of todays liberal Democrats.
    The antics of Mr Bill sort of puts me in mind of a lot of todays hapless onlookers, as they walk down a New York street.

  15. AND TODAY………
    ……..the CRAZED SOCIALIST IMBECILE is verbally assaulting President Trump. The TWISTED presidential candidate is verbally cutting his own throat. He will soon GO DOWN IN FLAMES. This Senator is a psychopath. Go get em “Burney”.

  16. AOC=America’s Official Crackpot.

    I could use another ‘C’ word, but it would be very unladylike :).

  17. SueK……..
    …………as each day passes the public image of Mzzzzzzzzzzzzzzzzzz. ACO deteriorates faster, and faster. Every time she opens her pie hole she puts her own foot in it. She trips over her own untied shoelaces. She needs to return to KINDERGARTEN and start over. She sounds as though she is about at the 2nd grade level.

  18. TO ALL………
    …………..have a happy St Patrick’s day……..eat lots of corned beef, and cabbage…….takes the fidget away from your digit.

  19. AND NOW……….
    …………a number of states have passed bills to keep President Trump off the 2020 ballot. I have a news flash for them. It will end up in the SCOTUS where the ballot restriction laws will be struck down.

  20. Steele confirmed his dossier allegation with something like the equivalent of a letter to the editor to CNN.

  21. AND NOW……….
    ……………..governor “NUISANCE” says he will not enforce California’s death penalty. There is approximately 1000 people awaiting execution in California. These are people who have murdered others, and have received the death penalty from a court of their peers. It looks as though governor NUISANCE has sold out the people of California. The bastards on death row didn’t give a damn about murdering innocent people, but that is OK in the NUISANCE book.

  22. AND……….
    ……….now Mzzzzzzzzzzzzzzzzzzzzz. MacCane SAYS President Trump will NEVER be a great Man. When I think about her words………..I simply consider the mental stature of this CHILD. In the past I have both watched, and heard her childish outbursts.Today she is physically an adult, but her mental functions are equivalent to those of a tiny whining child. SAD !!!!

  23. ………….Mzzzzzzzzzzzzzzzzzzzzzzzzzzzzzzz. MacCane has not yet matured mentally !!!

  24. AND TODAY……..
    ………..everywhere we look, and virtually everything we hear looks, and sounds as though it originated from the mind of a tiny child. This is especially true with the political rhetoric, and behavior of today.

  25. Today……….
    ………..it is abundantly clear that a few of the female freshmen representatives have the same mentality as Mzzzzzzzzzzzzzzzzzzzzz MacCane. In actuality these people should never have been elected to public office. They are mental derelicts.

  26. I wonder why they didn’t wheel out this guy like they did when jihadis attacked London. Different narrative now.

  27. fhl………
    ……………agree 100%.

  28. AND NOW………
    ………….the so called Democratic Party has become a mass of IRRATIONAL CULTISTS. You only need to hear a few of their LUNATIC verbal barrages, or take a quick peek into their faces while they FOAM AT THE MOUTH, RAVE, AND RANT. Even a child with half a brain could see that they are completely unhinged. They have obviously lost their minds completely.

  29. AND THE CRAZED LIBERALS……….
    …….continue to rave about Trump having violated campaign finance laws. HEY NINCOMPOOPS, TRUMP FINANCED HIMSELF. HE DID NOT RECEIVE A PENNY OF GOVERNMENT FINANCING. HE USED PERSONAL MONEY. HE CANNOT BE PROSECUTED FOR CAMPAIGN FINANCE VIOLATIONS BECAUSE IT WAS HIS ….O-W-N M-O-N-E-Y. REAL NUT CASES !!!!

  30. AND NOW………
    ………..THE RAVING LUNATIC LEFT ARE ADVOCATING MEDICARE FOR ALL (INCLUDING ILLEGALS). THE ILLEGALS THINK THEY ARE ENTITLED TO MEDICARE!!!!

  31. AND………
    …………JUST WATCHED POCAHANTAS FOAMING AT THE MOUTH WITH HER INSANE BS MEDICARE FOR EVERYBODY…….INCLUDING ILLEGALS. GUESS WHOSE MONEY SHE PLANS TO USE TO PAY FOR IT ALL…..HAR HAR…..YOUR MONEY, OF COURSE !!!! ANOTHER MENTALLY TWISTED LIBERAL DEMOCRAT.

  32. fhl……….
    …………….SAYS IT ALL !!!!

  33. AND NOW………..

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