Navistar Sues Retirees Over $1B Benefit Settlement

Law360, New York (June 7, 2010, 4:42 PM EDT) -- Navistar International Corp. has sued a former class of unions and retirees, alleging that the class is not abiding by a settlement that limits the company's retiree health benefit obligations to $1 billion.

The complaint, filed Friday in the U.S. District Court for the Southern District of Ohio, accuses the class of violating a 1993 settlement agreement that had allowed Navistar to avoid bankruptcy by blocking Navistar's attempts to save money in the benefits plan.

The class rejected proposals to require authorization for outpatient radiology procedures...
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