An Ohio federal judge has dismissed a proposed class action lawsuit brought by two former Sherwin-Williams employees. The lawsuit alleged that a tobacco surcharge in the company's employee health plan violated federal benefits law. The case was resolved after both parties agreed to end the legal proceedings.
The plaintiffs argued that the tobacco fee was an unfair penalty under the Employee Retirement Income Security Act (ERISA). However, the judge approved the dismissal following a joint stipulation from the parties to conclude the case.
The decision marks the end of a legal dispute that had been closely watched by employment law experts. The case highlighted ongoing debates about the legality of health plan surcharges related to lifestyle choices, such as tobacco use.