COLUMBUS — Ohio Attorney General Dave Yost has joined a coalition of seven attorneys general in an amicus brief filed before the U.S. Supreme Court that argues the rights of former Delphi Corp. employees were violated when the corporation’s bankruptcy resulted in termination of their pensions.
“It’s an upside-down world when criminals get their day in court, but these hard-working, taxpaying citizens are denied that right,” Yost said in a news release. “These Delphi retirees are entitled to due process.”
Petitioners in the lawsuit are former employees of Delphi, an auto-parts manufacturer and supplier previously based in Michigan, and were participants in Delphi’s pension plan. After Delphi filed for bankruptcy, the Pension Benefit Guaranty Corporation executed an agreement with the pension plan’s administrator to terminate the pension plan.
Many participants lost between 30% and 70% of their vested benefits, the release states. The affected participants, and petitioners in this case, sued in district court, arguing that the pension plan termination was illegal. The district court and 6th Circuit Court of Appeals rejected their claims, resulting in the appeal to the U.S. Supreme Court.
Nationally, more than 20,000 Delphi salaried retirees have been affected, the release states.
Joining Yost in the amicus brief are the attorneys general of Michigan, Delaware, Florida, Minnesota, Pennsylvania and Vermont.