Conkright v. Frommert

Background

A pension plan administrator for the Xerox Corporation asked the Court to block the Second Circuit’s mandate after that court decided against the plan. The administrator first sought a stay in October 2008 and was denied. The administrator said the Second Circuit’s ruling was wrong, created a conflict among courts, and would force the plan to make additional payments to dozens of beneficiaries that might be hard to recover later. After filing a petition asking the Supreme Court to review the case, the administrator notes that the Court asked the Solicitor General to submit views (called a CVSG).

Reasoning

The central question was whether to pause the lower court’s judgment while the Supreme Court considers review. Justice Ginsburg, acting as the Circuit Justice, applied the usual stay rules: a reasonable chance the Court will take the case, a fair prospect a majority would find the lower court wrong, and a likelihood of irreparable harm if the stay is denied, with room to balance competing harms. She explained that asking the Solicitor General for views makes review more likely but is not decisive. The administrator failed to show that money paid to beneficiaries could not be recovered or that the pension plan itself would be endangered. Citing prior decisions, Justice Ginsburg concluded the applicants did not meet the standards for a stay.

Real world impact

The Second Circuit’s judgment stands for now, so the pension plan must make the payments at issue. The denial is not a final ruling on the merits and the Supreme Court could still take the case and reach a different result later.