26 U.S.C. § 9711

Continued obligations of individual employer plans

Read at: OLRCuscode.house.gov CornellLII GovInfogovinfo.gov JustiaTitle 26 CasesGoogle Scholar

(a) Coverage of current recipients

The last signatory operator of any individual who, as of February 1, 1993, is receiving retiree health benefits from an individual employer plan maintained pursuant to a 1978 or subsequent coal wage agreement shall continue to provide health benefits coverage to such individual and the individual’s eligible beneficiaries which is substantially the same as (and subject to all the limitations of) the coverage provided by such plan as of January 1, 1992. Such coverage shall continue to be provided for as long as the last signatory operator (and any related person) remains in business.

(b) Coverage of eligible recipients(1) In general

The last signatory operator of any individual who, as of February 1, 1993, is not receiving retiree health benefits under the individual employer plan maintained by the last signatory operator pursuant to a 1978 or subsequent coal wage agreement, but has met the age and service requirements for eligibility to receive benefits under such plan as of such date, shall, at such time as such individual becomes eligible to receive benefits under such plan, provide health benefits coverage to such individual and the individual’s eligible beneficiaries which is described in paragraph (2). This paragraph shall not apply to any individual who retired from the coal industry after September 30, 1994, or any eligible beneficiary of such individual.

(2) Coverage

Subject to the provisions of subsection (d), health benefits coverage is described in this paragraph if it is substantially the same as (and subject to all the limitations of) the coverage provided by the individual employer plan as of January 1, 1992. Such coverage shall continue for as long as the last signatory operator (and any related person) remains in business.

Except as provided in paragraph (2), each related person of a last signatory operator to which subsection (a) or (b) applies shall be jointly and severally liable with the last signatory operator for the provision of health care coverage described in subsection (a) or (b).

(2) Liability limited if security providedIf—(A) security meeting the requirements of paragraph (3) is provided by or on behalf of—(i) any last signatory operator which is an assigned operator described in section 9704(j)(2), or(ii) any related person to any last signatory operator described in clause (i), and(B) the common parent of the controlled group of corporations described in section 9704(j)(2)(B) is jointly and severally liable for the provision of health care under this section which, but for this paragraph, would be required to be provided by the last signatory operator or related person,then, as of the date the security is provided, such common parent (and no other person) shall be liable for the provision of health care under this section which the last signatory operator or related person would otherwise be required to provide. Security may be provided under this paragraph without regard to whether a payment was made under section 9704(j).(3) SecuritySecurity meets the requirements of this paragraph if—(A) the security—(i) is in the form of a bond, letter of credit, or cash escrow,(ii) is provided to the trustees of the 1992 UMWA Benefit Plan solely for the purpose of paying premiums for beneficiaries who would be described in section 9712(b)(2)(B) if the requirements of this section were not met by the last signatory operator, and(iii) is in an amount equal to 1 year of liability of the last signatory operator under this section, determined by using the average cost of such operator’s liability during the prior 3 calendar years;(B) the security is in addition to any other security required under any other provision of this title; and(C) the security remains in place for 5 years.(4) Refunds of securityThe remaining amount of any security provided under this subsection (and earnings thereon) shall be refunded to the last signatory operator as of the earlier of—(A) the termination of the obligations of the last signatory operator under this section, or(B) the end of the 5-year period described in paragraph (3)(C).(d) Managed care and cost containment

The last signatory operator shall not be treated as failing to meet the requirements of subsection (a) or (b) if benefits are provided to eligible beneficiaries under managed care and cost containment rules and procedures described in section 9712(c) or agreed to by the last signatory operator and the United Mine Workers of America.

(e) Treatment of noncovered employees

The existence, level, and duration of benefits provided to former employees of a last signatory operator (and their eligible beneficiaries) who are not otherwise covered by this chapter and who are (or were) covered by a coal wage agreement shall only be determined by, and shall be subject to, collective bargaining, lawful unilateral action, or other applicable law.

(f) Eligible beneficiary

For purposes of this section, the term “eligible beneficiary” means any individual who is eligible for health benefits under a plan described in subsection (a) or (b) by reason of the individual’s relationship with the retiree described in such subsection (or to an individual who, based on service and employment history at the time of death, would have been so described but for such death).

(g) Rules applicable to this part and part IIFor purposes of this part and part II—(1) Successor

The term “last signatory operator” shall include a successor in interest of such operator.

(2) Reassignment upon purchase

If a person becomes a successor of a last signatory operator after the enactment date, the last signatory operator may transfer any liability of such operator under this chapter with respect to an eligible beneficiary to such successor, and such successor shall be treated as the last signatory operator with respect to such eligible beneficiary for purposes of this chapter. Notwithstanding the preceding sentence, the last signatory operator transferring such assignment (and any related person) shall remain the guarantor of the benefits provided to the eligible beneficiary under this chapter. A last signatory operator shall notify the trustees of the 1992 UMWA Benefit Plan of any transfer described in this paragraph.

(Added Pub. L. 102–486, title XIX, § 19143(a), Oct. 24, 1992, 106 Stat. 3051; amended Pub. L. 109–432, div. C, title II, § 211(b), Dec. 20, 2006, 120 Stat. 3022; Pub. L. 115–141, div. U, title IV, § 401(a)(347), Mar. 23, 2018, 132 Stat. 1201.)Editorial NotesAmendments

2018—Subsec. (c)(4)(B). Pub. L. 115–141 substituted “paragraph (3)(C)” for “paragraph (4)(C)”.

2006—Subsec. (c). Pub. L. 109–432 reenacted heading without change and amended text of subsec. (c) generally. Prior to amendment, text read as follows: “Each related person of a last signatory operator to which subsection (a) or (b) applies shall be jointly and severally liable with the last signatory operator for the provision of health care coverage described in subsection (a) or (b).”

Notes of Decisions

Cited in 47 cases (3 in the last 5 years), 1993–2024 · leading case: Holland v. Big River Minerals Corp., 181 F.3d 597 (4th Cir. 1999).

Sort: Relevance Newest Treatment

Holland v. Big River Minerals Corp., 181 F.3d 597 (4th Cir. 1999). · cites it 5× “See 26 U.S.C.A. § 9711 (a)-(b). Third, the Coal Act established the 1992 UMWA Benefit Plan to provide health benefits to retirees who were eligible for but not receiving benefits under the 1950 or 1974 UMWA Benefit Plans and to retirees who, although eligible for coverage under…”

Michael Holland v. Westmoreland Coal Compan, 968 F.3d 526 (5th Cir. 2020). · cites it 4× “1 26 U.S.C. § 9711 (a). That obligation continues as long as the company or a “related person” remains in business.”

United States Pipe & Foundry Co. LLC v. Michael H. Holland, 32 F.4th 1324 (11th Cir. 2022). · cites it 7× “The remainder of this appeal concerns the companies’ obli- gation to provide health-care benefits directly to retirees, see 26 U.S.C. § 9711 (a), and to pay premiums to the 1992 Plan if the retir- ees do not receive benefits under section 9711, see id.”

United Mine Works of Am. Combined Benefit Fund v. Andre M. Toffel, for Walter Energy, Inc. (In re Walter Energy, Inc.), 911 F.3d 1121 (11th Cir. 2018). “2776 , 3051-53 (codified at 26 U.S.C. §§ 9711 (b)(1), 9712(b)(2) ). Collective bargaining agreements set forth the retiree benefits for these workers.”

Barrick Gold Expl., Inc. v. Hudson, 823 F. Supp. 1395 (S.D. Ohio 1993). · cites it 3× “The second provision for benefits is found in 26 U.S.C. § 9711 . Under that section, last signatory operators who are required under the 1979 or a subsequent NBCWA to provide benefits under an individual employer plan must now continue to provide such coverage to certain…”

In re Alpha Nat. Resources, Inc., 552 B.R. 314 (Bankr. E.D. Va. 2016). · cites it 3× “9 See 26 U.S.C. § 9711 . Pursuant to 26 U.S.C. § 9711 , the Debtors continue to provide IEPs for the benefit of 1,070 retired coal miners at an expected cost of $7.”

Buckner v. Westmoreland Coal Co. (In Re Westmoreland Coal Co.), 213 B.R. 1 (Bankr.D. Colo. 1997). · cites it 3× “4 26 U.S.C. § 9711 (a). The second and third mechanisms are the Combined Fund and the 1992 Plan which are primarily-financed through per beneficiary premiums payable by coal operators based on the number of individual beneficiaries attributed to them through assignment by the…”

Holland v. Williams Mountain Coal Co., 496 F.3d 670 (D.C. Cir. 2007). · cites it 3× “” Under the Coal Act, “successors in interest” are required to share liability with last signatory operators, see 26 U.S.C. § 9711 (g)(1), while “successors” are permitted “to assume[,] by contract!,] liability for health benefits owed to retirees,” Williams Mountain, 256 F.”

Holland, Michael v. Williams Mtn Coal Co, 256 F.3d 819 (D.C. Cir. 2001). “26 U.S.C. § 9711 (a); see also id. §§ 9704(a), 9712(d).”

Michael Holland v. Bibeau Constr. Co., 774 F.3d 8 (D.C. Cir. 2014). “26 U.S.C. §§ 9711 , 9712(d)(1), (3). If a last signatory operator has gone out of business, then a “related person” is jointly and severally liable for premiums.”

In Re Horizon Naturla Resources Co., 316 B.R. 268 (Bankr. E.D. Ky. 2004). · cites it 2× “26 U.S.C. § 9711 (a). In other words, § 1114 expressly permits the modification of retiree benefits while § 9711 expressly prohibits the modification of retiree benefits in effect at the beginning of 1992 for as long as the employer or a related person 3 remains in business.”

UMWA 1992 Benefit Plan v. Leckie Smokeless Coal Co., 201 B.R. 163 (S.D.W. Va 1996). · cites it 3× “” 26 U.S.C. § 9711 (a)-(b). The 1992 Plan covers those retirees not eligible for the Combined Fund and who are not receiving benefits directly from their last signatory employer.”

Show all 47 citing cases →

Annotations are extracted automatically from the opinions in the Syfert caselaw corpus and ranked by authority, recency, and treatment. Dots show Syfertize treatment of the citing case itself.