Rhode Island American Federation of Teachers/Retired Local 8037 v. Johnston School Committee

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In this dispute over the cost of annual premiums for post-retirement life insurance benefits the Supreme Court affirmed the judgment of the superior court entering summary judgment in favor of Plaintiffs - the Rhode Island American Federal of Teachers/Retired Local 8307 and several retirees of the Johnston School Department - holding that the trial justice correctly interpreted R.I. Gen. Laws 16-16-42.Before the Supreme Court, both Plaintiffs and Defendants - the Town of Johnston, the Johnston School Department, the Johnston School Committee, and various municipal officials - argued that section 16-16-42, entitled "Life insurance benefits," is clear and unambiguous, but each party posited a different interpretation. The Supreme Court affirmed the decision of the superior court justice, holding that a proper interpretation of the statute provides that any teacher who, at the time of retirement from service or last day of active employment, has in effect life insurance provided for as a benefit of his or her employment shall, after retirement, be entitled to keep the life insurance policy in effect by paying to the municipality an amount equal to the annual cost of the policy for the individual at the time of the individual's retirement or last day of active employment. View "Rhode Island American Federation of Teachers/Retired Local 8037 v. Johnston School Committee" on Justia Law