Kandice Gray v. United of Omaha Life Insurance Company

CourtDistrict Court, C.D. California
DecidedJanuary 29, 2024
Docket2:23-cv-00630
StatusUnknown

This text of Kandice Gray v. United of Omaha Life Insurance Company (Kandice Gray v. United of Omaha Life Insurance Company) is published on Counsel Stack Legal Research, covering District Court, C.D. California primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Kandice Gray v. United of Omaha Life Insurance Company, (C.D. Cal. 2024).

Opinion

1 2 3 4 5 6 7 8 UNITED STATES DISTRICT COURT 9 CENTRAL DISTRICT OF CALIFORNIA 10 KANDICE GRAY, Case No. 2:23-cv-00630-MCS-PLA 11 Plaintiff, FINDINGS OF FACT AND 12 CONCLUSIONS OF LAW 13 v.

14 UNITED OF OMAHA LIFE 15 INSURANCE COMPANY,

16 Defendant. 17 18 19 This is an action for recovery of benefits under a disability plan governed by the 20 Employee Retirement Income Security Act of 1974 (“ERISA”), 29 U.S.C. § 1001 et 21 seq. (See generally Compl., ECF No. 1.) The parties agreed to present the case on cross- 22 motions under Federal Rule of Civil Procedure 52. (Joint Scheduling Conference Report 23 5, ECF No. 15.) Briefing is complete. (Def.’s Opening Br., ECF No. 24; Pl.’s Opening 24 Br., ECF No. 27; Def.’s Resp. Br., ECF No. 29; Pl.’s Resp. Br., ECF No. 30.) The Court 25 heard oral argument on November 6, 2023. (Mins., ECF No. 33.) 26 I. LEGAL STANDARD 27 “In an action tried on the facts without a jury . . . , the court must find the facts 28 specially and state its conclusions of law separately. The findings and 1 conclusions . . . may appear in an opinion or a memorandum of decision filed by the 2 court.” Fed. R. Civ. P. 52(a). While a court must normally hear testimony in open court 3 during a bench trial, except when testimony is heard on affidavits or on depositions, 4 Fed. R. Civ. P. 43(a), (c), in an ERISA case, “the district court may try the case on the 5 record that the administrator had before it.” Kearney v. Standard Ins. Co., 175 F.3d 6 1084, 1095 (9th Cir. 1999). Even on this limited record, a court still must make findings 7 of fact under Rule 52(a). Id. 8 II. FINDINGS OF FACT 9 1. Plaintiff Kandice Gray’s former employer, Tessie Cleveland Community 10 Services Organization (“Tessie”), established and maintained an ERISA-governed 11 employee welfare benefit plan that provided short-term disability (“STD”) as well as 12 long-term disability (“LTD”) benefits to eligible employees. (Administrative Record 13 (“AR”) 1–37, 796–839.)1 Defendant United of Omaha Life Insurance Company issued 14 the disability insurance group policies to Tessie that fund the benefits of the Group Short 15 Term Disability Plan (“STD Plan”) and the Group Long Term Disability Plan (“LTD 16 Plan”) (collectively, “Plans”). (Id.) Defendant was the claims administrator for STD 17 and LTD benefits under the Plans. (Id. at 27–28, 827–28.) Plaintiff was a participant in 18 the Plans through her employment with Tessie. (See id. at 191.) 19 2. The Plans provide that, in order to be entitled to benefits, Plaintiff must be 20 disabled as defined by the Plans. For the first 24 months of disability,2 the STD Plan 21 and LTD Plan both define Total Disability as follows: 22

23 1 Defendant filed the administrative record as an exhibit to the declaration of Laura 24 Poureshmenantalemy that spans ECF Nos. 24-2 to -5. Portions of the administrative record authorized to be filed under seal appear at ECF No. 32. Pinpoint citations of the 25 record refer to the pagination Defendant appended to the bottom right corner of each 26 document. 2 The definition of disability applicable after 24 months is different but immaterial to 27 this case because Defendant denied Plaintiff’s claim for benefits in the first 24 months 28 after Plaintiff alleges she became disabled. 1 Total Disability and Totally Disabled means that because of 2 an Injury or Sickness You are unable to perform, with 3 reasonable continuity, the Substantial and Material Acts 4 necessary to pursue Your Usual Occupation and You are not 5 working in Your Usual Occupation. 6 (Id. at 31; accord id. at 832.) 7 3. The Plans also provide the following pertinent definitions: 8 Substantial and Material Acts means the important tasks, 9 functions and operations generally required by employers 10 from those engaged in Your Usual Occupation that cannot be 11 reasonably omitted or modified. 12 . . . 13 Usual Occupation means any employment, business, trade or 14 profession and the Substantial and Material Acts of the 15 occupation You were regularly performing for the 16 Policyholder when the Disability began. Usual occupation 17 includes, but is not necessarily limited to, the specific job You 18 performed for the Policyholder. 19 (Id. at 31; accord id. at 832.) 20 4. Plaintiff submitted a claim for STD benefits to Defendant claiming to be 21 disabled from her occupation as a supervisor and mental health therapist as of August 22 9, 2021, due to “back pains, sharp pains in arms/hands.” (Id. at 1036.)3 23 5. As set forth in the Employer’s Statement provided with the claim, 24 Plaintiff’s gross weekly pay was $1,960.96. The strength demand of her job was best 25

26 3 Separately, Plaintiff made a claim for state disability insurance. Documents in the 27 administrative record show the California Employment Development Department 28 remitted payments to Plaintiff beginning in August 2021. (AR 199–201.) 1 described as “Light,” meaning a job with “frequent lift/carry up to 10 lbs.” and “20 lbs. 2 [m]aximum lifting,” or “if less lifting is involved but significant walking/standing is 3 done or if [the job is] done mostly sitting but requires push/pull or arm or leg controls.” 4 (Id. at 1038–39.) 5 6. In support of the claim, Paul Guidry, M.D., provided an Attending 6 Physician’s Statement (“APS”) dated August 9, 2021. Dr. Guidry’s APS listed a 7 diagnosis of lumbar radiculopathy with symptoms of “severe pain & spasms.” Dr. 8 Guidry indicated that he first treated Plaintiff on August 9, 2021, and stated that she 9 would be disabled from August 7, 2021, to October 9, 2021. Dr. Guidry indicated 10 Plaintiff had functional limitations and abilities such that she was able to lift up to five 11 pounds, sit, stand, and walk occasionally, but that she was unable to lift more than five 12 pounds, carry any weight, bend, squat, or stoop. Dr. Guidry claimed Plaintiff was unable 13 to work because she could not sit or stand without pain or spasms. As a treatment plan, 14 Dr. Guidry provided: “Meds Heat Rest.” (Id. at 1040–41.) 15 7. Corey L. Cook, D.C., submitted an APS dated October 11, 2021. Dr. Cook 16 first treated Plaintiff on October 7, 2021. He stated that Plaintiff was unable to work as 17 of August 7, 2021. Dr. Cook’s APS listed a diagnosis of lumbar radiculopathy with 18 symptoms of “moderate to severe pain + tenderness, spasm.” As to Plaintiff’s functional 19 limitations and abilities, Dr. Cook claimed that Plaintiff could not “do any work 20 functions; was unable to sit, stand, or walk more than one hour in an eight-hour 21 workday; and was unable to lift, push, or carry five to ten pounds. Dr. Cook expected 22 fundamental changes in Plaintiff’s condition in four months. As a treatment plan, Dr. 23 Cook provided: “Heat/Ice, Rest, Stretching.” (Id. at 1042–44.) 24 8. On December 6, 2021, Plaintiff advised Defendant’s representative by 25 phone that Plaintiff had not undergone any diagnostic imaging because Plaintiff’s 26 doctors “told her she would just get better with rest.” (Id. at 1087.) 27 9. After approving benefits through August 29, 2021, and refusing benefits 28 after that date due to inadequate documentation, Defendant approved STD benefits 1 through September 12, 2021. (Id. at 651; see also id.

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Kandice Gray v. United of Omaha Life Insurance Company, Counsel Stack Legal Research, https://law.counselstack.com/opinion/kandice-gray-v-united-of-omaha-life-insurance-company-cacd-2024.