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Wednesday, July 19, 2006

U.S. District Court Holds that Maryland's "Wal-Mart" Bill is Preempted

Maryland's so-called "Wal-Mart" bill, which imposed an 8% health care allocation on large employers (specifically the Bentonville folks), has been struck down by U.S. District Judge Frederick Motz.  Judge Motz found the law to be preempted by ERISA.  The opinion is here.  Kudos to Paul Secunda for arriving at this conclusion in January.

The initial press coverage is interesting.  Reuters has a brief but factually accurate piece; Yahoo News has a longer article which fails to mention ERISA at all.

Posted by Matt Bodie on July 19, 2006 at 04:14 PM in Corporate | Permalink


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Speaking of big corporations in court, WalMart yesterday won something of a victory. Readers will probably know that Maryland recently enacted a law - due to go into force next January - "requir[ing] employers in Maryland with 10,000 or more employees ... [Read More]

Tracked on Jul 20, 2006 9:31:15 AM


Ed Zelinsky has a good article on this forthcoming in the cardozo law review, and i am actually co-authoring a short piece on the fair share campaigns. i was wondering if anyone has some insight on the pay or play laws that were initiated in several states a couple of decades ago, and how they compare to this new legislation.

Posted by: Orly Lobel | Jul 21, 2006 2:26:11 AM

Thanks for pointing that out. It's a different, later version.

Posted by: Matt Bodie | Jul 20, 2006 10:17:34 AM

At least as written now (maybe they've updated it), the Yahoo story explains that Judge Motz cited ERISA and mentions it several times.

Posted by: Simon | Jul 20, 2006 8:58:25 AM

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