SBP LAWSUIT UPDATE 2 July 2008
Posted by Service Officer on July 2nd, 2008
When Congress changed the law several years ago to restore VA Dependency and Indemnity Compensation (DIC) payments to previously eligible widows who remarried after age 57, several of them who also were eligible for Survivor Benefit Plan (SBP) annuities sued to claim that the law required continuation of their SBP in addition to the DIC, without the normal dollar-for-dollar offset. The judge in the case seemed sympathetic and ordered the Defense Department to show why he shouldn’t rule in their favor. But the Pentagon lawyers didn’t reply. On 12 JUN, the judge made a summary judgment directing DoD to restore the widows’ SBP annuities. But DoD isn’t done, and is expected to appeal the decision, hoping for a more sympathetic appeals court judge. DoD won’t have to restore the SBP annuities until the appeal is heard by a higher court first. [Source: MOAA Leg Up 20 Jun 08 ++]
