Free Complaint - District Court of Delaware - Delaware

Case 1:07-cv-00080-JJF

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IN THE UNITED STATES DISTRICT COURT FOR THE DISTRICT OF DELAWARE

DAIMLER CHRYSLER CORPORATION, Plaintiff, v. RHONDA FLOWERS, Defendant.

) ) ) ) ) ) ) ) ) )

CIVIL ACTION FILE NO.

COMPLAINT COMES NOW, the Daimler Chrysler Corporation, by and through undersigned counsel, and for its Complaint against the Defendant, states and alleges as follows: NATURE OF ACTION, PARTIES, JURISDICTION AND VENUE 1. This is an action for equitable relief to enforce the terms and preserve the assets of

an employee welfare benefit plan under the terms of the Employee Retirement Income Security Act of 1974, 29 U.S.C. §1000-1461. 2. Plaintiff is a fiduciary of a self-funded employee welfare benefit plan (hereinafter Plaintiff is authorized to bring this action on behalf of all DC Plan

"DC Plan").

participants to enforce the terms of the Plan and to protect the assets of the Plan under 29 U.S.C. §1132(a)(3) and federal common law. 3. This is an action for the imposition of a constructive trust and/or equitable lien

over identifiable funds in the possession and/or control of the Defendant. No money damages are being sought from the Defendant in this matter.

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4.

Defendant Rhonda Flowers is a resident of the State of Delaware and may be

personally served at her residence at 19 Wellington Drive, Newark, Delaware 10702. 5. The Court has jurisdiction over this matter pursuant to 28 U.S.C. §1331 as this is

an action to enforce the terms of an employee welfare benefit plan under ERISA and federal common law. 6. Pursuant to 29 U.S.C. §1132(e)(2) venue is proper in this Court because the

Defendant resides in this district and the breach of the Plan provision has occurred and is occurring in this district. FACTUAL ALLEGATIONS 7. 8. At all times relevant herein, Defendant Flowers was a beneficiary in the DC Plan. On or about July 1, 2003, Defendant Flowers sustained personal injuries in slip

and fall accident. 9. As the result of injuries sustained by the Defendant in the aforementioned

accident, the DC Plan paid medical benefits in the amount of $32,748.15 on her behalf. 10. The DC Plan contains an express provision that provides that Plan beneficiaries

must fully reimburse the DC Plan from payments received from insurers as a result of injuries caused by third parties. Attached hereto as Exhibit A is a true and correct copy of the applicable provisions of the Plan, which are incorporated by reference herein. 11. Upon information and belief, Defendant Flowers pursued a negligence claim

against the person or persons responsible for the aforementioned accident. 12. Upon information and belief, Defendant Rutledge settled the aforementioned

negligence claim and has received payments totaling $67,000. 13. Upon information and belief, all or part of the settlement proceeds are within the

actual or constructive possession of Defendant Flowers.
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14.

Despite repeated requests, the Defendant has failed to reimburse the plan from the

proceeds of the settlements; and has thereby breached the terms of the DC Plan and ERISA. COUNT I: CONSTRUCTIVE TRUST 15. Plaintiff hereby re-alleges and incorporates by reference the allegations set forth

in Paragraphs 1 through 14, above. 16. Pursuant to §1132(a)(3), the Plaintiff seeks equitable relief against the Defendant

to enforce ERISA and the terms of the Plan. 17. Upon information and belief, the Defendant is in actual or constructive possession

of settlement proceeds and is therefore in possession of funds that as a matter of equity and good conscience belong to the DC Plan. 18. The Plaintiff, through its agents, has sent notice to all known parties of its rights

under the DC Plan. 19. The Defendant has refused to turn over the settlement funds according to the

provisions of the Plan. Defendant's refusal violates the terms of the Plan and ERISA. Plaintiff is entitled to equitable restitution in the form of a constructive trust or equitable lien with respect to the disputed funds held in constructive possession by the Defendant. 20. The Defendant should be ordered to turn over to the Plaintiff any settlement funds

in the Defendant's actual or constructive possession (up to the amount of the benefits advanced by the Plan on his behalf) in order to enforce the terms of the Plan and ERISA. WHEREFORE, the Plaintiff seeks the following relief: a. For service upon the Defendant as required by law; b. An order imposing a constructive trust and/or an equitable lien in favor of the Plaintiff upon any funds or any property into which they have
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been converted which is in the Defendant's possession or under the Defendant's control; c. An order enjoining the Defendant from dissipating any of the settlement funds until Plaintiff's rights can be adjudicated; d. An order enjoining the Defendant from transferring or disposing of the settlement funds which would prejudice, frustrate or impair Plaintiff's ability to recover same; e. An order awarding to Plaintiff reasonable attorney's fees and costs incurred herein, pursuant to section 29 U.S.C. §1132(g)(1); and f. Other and further equitable relief to which the Plaintiff may be entitled. This 12th of February, 2007.

/s/Ronald J. Drescher Bar No. 4087 Drescher & Associates, P.A. 4 Reservoir Circle Suite 107 Baltimore, MD 21208 (410) 484-9000 [email protected] Fax (410) 484-8120 Counsel for Daimler Chrylser Corporation

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JS 44 (Rev. 11/04)

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Document 1-2 Filed CIVIL COVER SHEET 02/13/2007

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The JS 44 civil cover sheet and the information contained herein neither replace nor supplement the filing and service of pleadings or other papers as required by law, except as provided by local rules of court. This form, approved by the Judicial Conference of the United States in September 1974, is required for the use of the Clerk of Court for the purpose of initiating the civil docket sheet. (SEE INSTRUCTIONS ON THE REVERSE OF THE FORM.)

I. (a) PLAINTIFFS DAIMLER CHRYSLER CORPORATION, (b) County of Residence of First Listed Plaintiff
(EXCEPT IN U.S. PLAINTIFF CASES)

DEFENDANTS RHONDA FLOWERS,
County of Residence of First Listed Defendant
(IN U.S. PLAINTIFF CASES ONLY) NOTE: IN LAND CONDEMNATION CASES, USE THE LOCATION OF THE LAND INVOLVED.

Attorneys (If Known) (c) Attorney's (Firm Name, Address, and Telephone Number) Ronald Drescher, Drescher & Associates, 4 Reservoir Circlie, Suite 107 Baltimore, MD 21208 (410) 484-9000 II. BASIS OF JURISDICTION (Place an "X" in One Box Only) III. CITIZENSHIP OF PRINCIPAL PARTIES(Place an "X" in One Box for Plaintiff
1 U.S. Government Plaintiff



3 Federal Question (U.S. Government Not a Party)

(For Diversity Cases Only) PTF Citizen of This State 1

DEF 1

and One Box for Defendant) PTF DEF Incorporated or Principal Place 4 4 of Business In This State Incorporated and Principal Place of Business In Another State Foreign Nation 5 5

2

U.S. Government Defendant

4 Diversity (Indicate Citizenship of Parties in Item III)

Citizen of Another State

2

2

Citizen or Subject of a Foreign Country

3

3

6

6

IV. NATURE OF SUIT
CONTRACT 110 Insurance 120 Marine 130 Miller Act 140 Negotiable Instrument 150 Recovery of Overpayment & Enforcement of Judgment 151 Medicare Act 152 Recovery of Defaulted Student Loans (Excl. Veterans) 153 Recovery of Overpayment of Veteran's Benefits 160 Stockholders' Suits 190 Other Contract 195 Contract Product Liability 196 Franchise REAL PROPERTY 210 Land Condemnation 220 Foreclosure 230 Rent Lease & Ejectment 240 Torts to Land 245 Tort Product Liability 290 All Other Real Property

(Place an "X" in One Box Only) TORTS PERSONAL INJURY 310 Airplane 315 Airplane Product Liability 320 Assault, Libel & Slander 330 Federal Employers' Liability 340 Marine 345 Marine Product Liability 350 Motor Vehicle 355 Motor Vehicle Product Liability 360 Other Personal Injury CIVIL RIGHTS 441 Voting 442 Employment 443 Housing/ Accommodations 444 Welfare 445 Amer. w/Disabilities Employment 446 Amer. w/Disabilities Other 440 Other Civil Rights PERSONAL INJURY 362 Personal Injury Med. Malpractice 365 Personal Injury Product Liability 368 Asbestos Personal Injury Product Liability PERSONAL PROPERTY 370 Other Fraud 371 Truth in Lending 380 Other Personal Property Damage 385 Property Damage Product Liability PRISONER PETITIONS 510 Motions to Vacate Sentence Habeas Corpus: 530 General 535 Death Penalty 540 Mandamus & Other 550 Civil Rights 555 Prison Condition

FORFEITURE/PENALTY 610 Agriculture 620 Other Food & Drug 625 Drug Related Seizure of Property 21 USC 881 630 Liquor Laws 640 R.R. & Truck 650 Airline Regs. 660 Occupational Safety/Health 690 Other LABOR 710 Fair Labor Standards Act 720 Labor/Mgmt. Relations 730 Labor/Mgmt.Reporting & Disclosure Act 740 Railway Labor Act 790 Other Labor Litigation 791 Empl. Ret. Inc. Security Act

BANKRUPTCY 422 Appeal 28 USC 158 423 Withdrawal 28 USC 157 PROPERTY RIGHTS 820 Copyrights 830 Patent 840 Trademark

OTHER STATUTES 400 State Reapportionment 410 Antitrust 430 Banks and Banking 450 Commerce 460 Deportation 470 Racketeer Influenced and Corrupt Organizations 480 Consumer Credit 490 Cable/Sat TV 810 Selective Service 850 Securities/Commodities/ Exchange 875 Customer Challenge 12 USC 3410 890 Other Statutory Actions 891 Agricultural Acts 892 Economic Stabilization Act 893 Environmental Matters 894 Energy Allocation Act 895 Freedom of Information Act 900Appeal of Fee Determination Under Equal Access to Justice 950 Constitutionality of State Statutes

SOCIAL SECURITY 861 HIA (1395ff) 862 Black Lung (923) 863 DIWC/DIWW (405(g)) 864 SSID Title XVI 865 RSI (405(g)) FEDERAL TAX SUITS 870 Taxes (U.S. Plaintiff or Defendant) 871 IRS--Third Party 26 USC 7609

V. ORIGIN
1
Original Proceeding

(Place an "X" in One Box Only)

2 Removed from

(specify) State Court Appellate Court Reopened Litigation Cite the U.S. Civil Statute under which you are filing (Do not cite jurisdictional statutes unless diversity):

3 Remanded from

4 Reinstated or

5 Transferred from another district

6 Multidistrict

7 Judge from Magistrate
Judgment

Appeal to District

VI. CAUSE OF ACTION VII. REQUESTED IN COMPLAINT: VIII. RELATED CASE(S) IF ANY
DATE

29 U.S.C. §1132(a)(3)

Brief description of cause:

This is a claim for equitable remedies.
CHECK IF THIS IS A CLASS ACTION UNDER F.R.C.P. 23
(See instructions):

DEMAND $

CHECK YES only if demanded in complaint: Yes No JURY DEMAND: DOCKET NUMBER

JUDGE
SIGNATURE OF ATTORNEY OF RECORD

FOR OFFICE USE ONLY RECEIPT # AMOUNT APPLYING IFP JUDGE MAG. JUDGE

JS 44 Reverse (Rev. 11/04)

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INSTRUCTIONS FOR ATTORNEYS COMPLETING CIVIL COVER SHEET FORM JS 44
Authority For Civil Cover Sheet
The JS 44 civil cover sheet and the information contained herein neither replaces nor supplements the filings and service of pleading or other papers as required by law, except as provided by local rules of court. This form, approved by the Judicial Conference of the United States in September 1974, is required for the use of the Clerk of Court for the purpose of initiating the civil docket sheet. Consequently, a civil cover sheet is submitted to the Clerk of Court for each civil complaint filed. The attorney filing a case should complete the form as follows: I. (a) Plaintiffs-Defendants. Enter names (last, first, middle initial) of plaintiff and defendant. If the plaintiff or defendant is a government agency, use only the full name or standard abbreviations. If the plaintiff or defendant is an official within a government agency, identify first the agency and then the official, giving both name and title. (b) County of Residence. For each civil case filed, except U.S. plaintiff cases, enter the name of the county where the first listed plaintiff resides at the time of filing. In U.S. plaintiff cases, enter the name of the county in which the first listed defendant resides at the time of filing. (NOTE: In land condemnation cases, the county of residence of the "defendant" is the location of the tract of land involved.) (c) Attorneys. Enter the firm name, address, telephone number, and attorney of record. If there are several attorneys, list them on an attachment, noting in this section "(see attachment)". II. Jurisdiction. The basis of jurisdiction is set forth under Rule 8(a), F.R.C.P., which requires that jurisdictions be shown in pleadings. Place an "X" in one of the boxes. If there is more than one basis of jurisdiction, precedence is given in the order shown below. United States plaintiff. (1) Jurisdiction based on 28 U.S.C. 1345 and 1348. Suits by agencies and officers of the United States are included here. United States defendant. (2) When the plaintiff is suing the United States, its officers or agencies, place an "X" in this box. Federal question. (3) This refers to suits under 28 U.S.C. 1331, where jurisdiction arises under the Constitution of the United States, an amendment to the Constitution, an act of Congress or a treaty of the United States. In cases where the U.S. is a party, the U.S. plaintiff or defendant code takes precedence, and box 1 or 2 should be marked. Diversity of citizenship. (4) This refers to suits under 28 U.S.C. 1332, where parties are citizens of different states. When Box 4 is checked, the citizenship of the different parties must be checked. (See Section III below; federal question actions take precedence over diversity cases.) III. Residence (citizenship) of Principal Parties. This section of the JS 44 is to be completed if diversity of citizenship was indicated above. Mark this section for each principal party. IV. Nature of Suit. Place an "X" in the appropriate box. If the nature of suit cannot be determined, be sure the cause of action, in Section VI below, is sufficient to enable the deputy clerk or the statistical clerks in the Administrative Office to determine the nature of suit. If the cause fits more than one nature of suit, select the most definitive. V. Origin. Place an "X" in one of the seven boxes. Original Proceedings. (1) Cases which originate in the United States district courts. Removed from State Court. (2) Proceedings initiated in state courts may be removed to the district courts under Title 28 U.S.C., Section 1441. When the petition for removal is granted, check this box. Remanded from Appellate Court. (3) Check this box for cases remanded to the district court for further action. Use the date of remand as the filing date. Reinstated or Reopened. (4) Check this box for cases reinstated or reopened in the district court. Use the reopening date as the filing date. Transferred from Another District. (5) For cases transferred under Title 28 U.S.C. Section 1404(a). Do not use this for within district transfers or multidistrict litigation transfers. Multidistrict Litigation. (6) Check this box when a multidistrict case is transferred into the district under authority of Title 28 U.S.C. Section 1407. When this box is checked, do not check (5) above. Appeal to District Judge from Magistrate Judgment. (7) Check this box for an appeal from a magistrate judge's decision. VI. Cause of Action. Report the civil statute directly related to the cause of action and give a brief description of the cause. Do not cite jurisdictional statutes unless diversity. Example: U.S. Civil Statute: 47 USC 553 Brief Description: Unauthorized reception of cable service VII. Requested in Complaint. Class Action. Place an "X" in this box if you are filing a class action under Rule 23, F.R.Cv.P. Demand. In this space enter the dollar amount (in thousands of dollars) being demanded or indicate other demand such as a preliminary injunction. Jury Demand. Check the appropriate box to indicate whether or not a jury is being demanded. VIII. Related Cases. This section of the JS 44 is used to reference related pending cases if any. If there are related pending cases, insert the docket numbers and the corresponding judge names for such cases. Date and Attorney Signature. Date and sign the civil cover sheet.