Tuesday, October 13, 2009

Do state retirement systems have immunity from lawsuits?


Answers:
I think the answer will depend on the legislation creating the retirement system. If the "system" is actually a subdivision of state government, immunity may exist if it has not been waived by some other legislation.

Additionally most states subscribe to the principle that when the government contracts with individuals, they waive their immunity from liability for enforcement of the contract provisions. If participation in the retirement system encompasses a contract between the system and the employee an argument could be made that immunity from liability has been waived.

There also exists immunity from suit. This principle holds that the government cannot be sued in state courts without its consent. Therefore you must look to the legislation within the particular state permitting suit, or to state case authority regarding this principle in that it can be applied differently by different state courts.

If the "system" is not a governmental entity or subdivision of government, you probably have no immunity problems.
not that i know of.

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