Facts

Plaintiff Seta Vartkessian, a widow, filed suit against Stanford Hospital Clinics in state court, claiming that Stanford violated Section 502(a)(3) of the Employee Retirement Income Security Act of 1974 (ERISA). Later, the case was removed to federal court and Stanford moved to dismiss based on ERISA preemption. Although the district court granted the motion, it also allowed plaintiff to amend the complaint to include an ERISA claim. After plaintiff attempted to amend the complaint, the defense moved to dismiss again, alleging that plaintiff sought relief that was not available under ERISA.

PLAINTIFF'S CONTENTIONS:
Plaintiff claimed that defendants failed to inform her of an insurance company's grant of her application for improved death benefits and did not subtract higher premium payments for her policy. According to plaintiff, when her husband died, she received $10,000 in death benefits pursuant to Stanford's death benefits plan that was in effect before defendants' failure to inform. Additionally, plaintiff contended that the doctrine of contractual reformation applied.

DEFENDANT'S CONTENTIONS:
Defendant argued that plaintiff tried to improperly avoid ERISA and that additional amendments to her complaint would be futile. Defendant also contended that no insurance contract existed between the parties and the parties did not have an insurer/insured connection. Further, defendant claimed that plaintiff was improperly attempting to form a contract via judicial decree.

Result

The Court agreed and granted the motion to dismiss with prejudice and entered judgment for Stanford Hospital And Clinics, dismissing the lawsuit.