Transportation Authority Immune from COBRA Claims Under PHSA, Court Finds

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Technically, continuation coverage rules under the Public Health Service Act (PHSA) apply to employees of state and local governments. Often, however, the problem is one of enforcement. It is not always easy to prevail in a case alleging continuation coverage violations against a state or local government. One of those reasons could be “sovereign immunity”—a doctrine under which a state cannot be held liable for certain legal actions brought by individuals in that state.

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A local transportation authority cannot be sued as a state or local government employer for alleged continuation coverage violations under

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