Benefit Plan Descriptions May Create Unilateral Contracts in Pennsylvania

Written descriptions of employee benefits may expose Pennsylvania employers to additional contractual obligations and liabilities. According to a three-judge Pennsylvania Superior Court panel, providing written descriptions to employees regarding various benefits, incentives and rewards may form a binding, unilateral contract creating rights and obligations separate from an employee’s at-will relationship with the employer.

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About Author: Mark J. Foley

Employers turn to Mark Foley to solve high-profile disputes between labor and management and to serve as lead trial and appellate counsel in state and federal court employment litigation matters. Mark also helps clients with executive transition issues. View all posts by , and

About Author: Matthew A. Fontana

Matthew handles a variety of traditional labor matters for both public and private sector clients under the National Labor Relations Act (NLRA), Labor Management Relations Act (LMRA) and Pennsylvania’s Public Employee Relations Act (PERA). Matthew counsels clients on day-to-day labor/management issues (including union organizing and strike issues), handles grievance/arbitration issues and leads collective bargaining negotiations. Matthew also has Railroad Labor Act (RLA) experience representing both railroad and airline clients. View all posts by , and

About Author: Sarah Bassler Millar

Sarah Bassler Millar counsels employer plan sponsors and service providers on the design, implementation, and administration of health and welfare benefits, retirement plans and nonqualified plans. She routinely advises on fiduciary governance matters, including current best practices and the implications of the prohibited transaction rules. When counseling clients, she focuses on identifying solutions that effectively mitigate risks and manage identified compliance issues, while taking into account the client’s employee recruitment and retention goals. Sarah formerly led the firm’s benefits and executive compensation group. View all posts by , and

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