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Employers looking to eliminate or reduce exposure to employer shared responsibility penalties under the ACA by decreasing employee hours should keep an eye on Marin v. Dave & Buster's Inc.

Dave & Buster’s reduced the work hours of employees to fewer than 30 hours per week, making the plaintiffs ineligible for health coverage. The class action lawsuit claims that Dave & Buster’s violated Section 510 of ERISA, which makes it unlawful to discriminate against or interfere with a participant’s or beneficiary’s rights under the provisions of an employee benefit plan.

The plaintiffs claim that the reduced work hours interfered with their rights under the plan to be eligible for employer coverage.

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