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Rutgers Council of AAUP Chapters v. Rutgers

3/12/1997

The opinion of the court was delivered bySHEBELL, P.J.A.D.


Plaintiffs, five employees of Rutgers University and their collective bargaining agent, Rutgers Council of AAUP Chapters, appeal the Division of Pensions' denial of health insurance coverage to the employees' same-sex domestic partners. Denial of coverage was based on the failure of the parties to satisfy the statutory definition of "dependents"--that is, they were not "spouses" under New Jersey law.


On appeal plaintiffs makes four points: (1) the language of the State Health Benefits Plan ("SHBP") Act, regulations, case law, and public policy mandate liberal construal of the term "dependents" to protect state employees' families, including their domestic partners; (2) the denial of health benefits to plaintiffs' domestic partners violates the New Jersey Law Against Discrimination ("LAD") by discriminating on the basis of sexual orientation and marital status; and (3) the denial of health benefits to the domestic partners of gay and lesbian state employees violates the employees' rights to equal protection under the New Jersey Constitution; and (4) the SHBP Act must be interpreted in a manner consistent with Executive Order No. 39, which prohibits discrimination in the executive branch on the basis of sexual orientation.


Amici curiae, Lambda Legal Defense and Education Fund, Inc., and the New Jersey Lesbian & Gay Law Association, argue that the denial of benefits violates the LAD prohibition against discrimination on the basis of marital status. As support for their argument, they have provided data on private companies and municipalities that have extended health benefits to their employees' domestic partners, which amici contend demonstrates that neither the cost to employers, nor the administrative burdens of such coverage, are prohibitive.


In April and July 1992 the individual plaintiffs sought to enroll their same-sex domestic partners as dependents in the SHBP. On September 30, 1992, the Director of the Division of Pensions, refused to enroll them on the advice of the Attorney General's office. Plaintiffs Mayo, Derbyshire, and the AAUP, filed a grievance against Rutgers, alleging discriminatory denial of health benefits coverage. On July 29, 1993, the grievance was denied by Rutgers' Vice President for Administration.


On November 15, 1993, plaintiffs filed a complaint in the Law Division against Rutgers and the State defendants. They alleged violations of the LAD (counts one and two), violation of Executive Order No. 39 (count three), a violation of Rutgers policy (count four), violations of the New Jersey Constitution (counts five and six), and breach of the collective negotiating agreement (count seven). On January 19, 1994, Rutgers filed an answer, and the State defendants answered on February 1, 1994. On November 15, 1994, the State defendants moved to dismiss the complaint. On February 3, 1995, the motion Judge ruled that the Director's decision was properly reviewable by the Appellate Division and entered an order transferring the action against the State defendants to this court, pursuant to R. 2:2-3(a)(2), and, stayed the action against Rutgers pending Disposition by this court. The Judge also granted plaintiffs' motion to file an amended complaint. Plaintiffs' subsequent motion to the Judge seeking reconsideration of the order transferring the case to this court was denied. On June 28, 1995, plaintiffs additionally filed a Notice of Appeal. Our careful review of the entire record, together with the arguments raised on appeal and pertinent law, satisfies us that relief from this court cannot be afforded.


The five individual plaintiffs are or were professors at Ru

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