Salzer v. SSM Health Care of Oklahoma Inc.
762 F.3d 1130
| 10th Cir. | 2014Background
- Salzer sued SSM for breach of contract, Oklahoma CCPA violation, deceit, and tortious interference after SSM billed Salzer directly rather than his insurer.
- SSM removed the case to federal court, arguing complete ERISA preemption under §502(a); Salzer moved to remand.
- Salzer’s contracts with SSM include the Hospital Services Agreement and a Provider Agreement with his insurer; Salzer allegedly is a third-party beneficiary.
- District court held the claims completely preempted by ERISA; Salzer amended, but district court dismissed with prejudice.
- Salzer appeals; the panel addresses whether most claims fall outside ERISA preemption while tortious interference is preempted.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether five claims are completely preempted by ERISA | Salzer contends ERISA preempts these claims as plan-based. | SSM argues the claims arise from plan duties and are ERISA §502(a) actions. | Five claims are not completely preempted. |
| Whether tortious interference is completely preempted by ERISA | Salzer asserts tortious interference rests on independent contract/other duties. | SSM contends the claim enforces rights under the ERISA plan. | Tortious interference is completely preempted by ERISA. |
| Whether removal was proper given the preemption determinations | Salzer argues removal based on lack of complete preemption and lack of federal question. | SSM asserts removal is proper if any claim is completely preempted. | Removal was proper because the preemption of one claim supports federal jurisdiction. |
Key Cases Cited
- Aetna Health Inc. v. Davila, 542 U.S. 200 (U.S. 2004) (two-part Davila test for ERISA §502(a) preemption)
- Taylor v. Metropolitan Life Insurance Co., 481 U.S. 58 (U.S. 1987) (complete preemption via ERISA applies to certain civil enforcement claims)
- Davila, Aetna Health Inc. v., 542 U.S. 200 (U.S. 2004) (Davila framework for when state claims are preempted under ERISA)
- Hansen v. Harper Excavating, Inc., 641 F.3d 1216 (10th Cir. 2011) (ERISA complete preemption category; pervasiveness of ERISA preemption)
- Gilmore v. Weatherford, 694 F.3d 1160 (10th Cir. 2012) (jurisdictional reach: if one claim supports federal question, court has jurisdiction)