Preemption Is Preemption. Or Is It? A Recent Fifth Circuit Decision Sheds Light On The Differences Between Conflict And Compete ERISA Preemption.

By Ian S. Linker A recent decision out of the United States Court of Appeals for the Fifth Circuit highlights the distinction between conflict preemption and complete preemption under the Employee Retirement Income Security Act of 1974 ("ERISA"), and should help to eliminate at least some of the historical confusion existing between these two doctrines. (By way of background, conflict preemption is a litigation defense and it arises under the ERISA statute, itself, and it exists when a state law relates to an ERISA-governed plan and is not otherwise saved from preemption. Complete preemption provides a basis to remove a state-law cause of action to federal court and it exists when a state law cause of action duplicates or interferes with a remedy provided by ERISA or provides an additional remedy unavailable under ERISA.) The Fifth Circuit's decision also demonstrates how blurred the line can be between the two doctrines. State law yields to federal law under each doctrine, though when one applies the other one does not necessarily apply. And there often is considerable overlap between the two. Understanding how these doctrines relate to each other and how they each impact various state laws will ensure clarity in the law, as it continues to develop.
Source: LexisNexis® Mealey's™ Disability Insurance Legal News - Category: Medical Law Source Type: news