Former employees can’t sue employers under Utah’s mini-COBRA statute

In Greek mythology, Panacea was the goddess of universal remedy. She supposedly had a potion of herbs to cure almost any ailment. From the fabled goddess, the English language has adopted the word “panacea” to mean a cure-all or solution to all problems. Often, filing a lawsuit is seen as the way to get all problems in society resolved. In the employment context, employees often see court as the way to get the remedy to their employment difficulties. A cure from a court isn’t always available, however, as a former employee recently found in a case about Utah’s mini-COBRA statute.

What Utah law says

Most employers are familiar with the federal Consolidated Omnibus Budget Reconciliation Act, or COBRA. It generally requires employers to provide continued health insurance or other benefits under a group health plan to employees who would otherwise lose them because of a job loss or other transitions. COBRA applies, however, only when an employer has at least 20 full-time employees.

Many states have enacted laws to cover individuals who work for employers with fewer than 20 employees. The laws are typically referred to as “mini-COBRA” laws. Utah has enacted its own statute, codified at Utah Code Section 31A-22-722. Under the statute, an employee covered by a group health policy typically has the right to continued coverage for a period of 12 months after the termination of the coverage.