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LUTHERAN HOSP. OF IND. v. BUSINESS MEN'S ASSUR.

No. 94-2731.

51 F.3d 1308 (1995)

LUTHERAN HOSPITAL OF INDIANA, INCORPORATED, Mary L. Isch and William A. Isch, Plaintiffs-Appellants, and Saint Joseph Medical Center, Intervening Plaintiff-Appellant, v. BUSINESS MEN'S ASSURANCE COMPANY OF AMERICA, Acordia Local Government Benefits, Incorporated, Associated Insurance Companies Incorporated, doing business as Blue Cross/Blue Shield of Indiana, et al., Defendants-Appellees, v. TEAMSTERS LOCAL 135 WELFARE FUND, Defendant-Appellant.

United States Court of Appeals, Seventh Circuit.

Decided March 20, 1995.

Rehearing and Suggestion for Rehearing Denied April 28, 1995.

Attorney(s) appearing for the Case

Frank J. Gray (argued), James A. Federoff, Craig Roy Patterson, Beckman, Lawson, Sandler, Snyder & Federoff, Fort Wayne, IN, for Lutheran Hosp. of Indiana, Inc., Mary L. Isch, William A. Isch.

Frederick W. Dennerline, III (argued), Fillenwarth, Dennerline, Groth & Towe, Indianapolis, IN, Stephen J. Lerch, Fort Wayne, IN, for Teamsters Local 135 Welfare Fund.

T. Jeffrey Hannah, Margaret A. Jones (argued), Indianapolis, IN, for Acordia Local Government Benefits, Inc., Associated Ins. Companies Inc.

George N. Bewley, Jr., Bewley & Koday, Fort Wayne, IN, William W. Hinkle, Hinkle, Racster & Lopez, Portland, IN, for Community and Family Service, Inc.

Vincent J. Heiny, Haller & Colvin, Fort Wayne, IN, for Saint Joseph Medical Center.

Before CUMMINGS, BRIGHT and COFFEY, Circuit Judges.

Rehearing and Suggestion for Rehearing En Banc Denied April 28, 1995.

CUMMINGS, Circuit Judge.

The issue in this case is whether a laid-off employee is ineligible for COBRA continuation health care coverage because of her preexisting coverage under the group health plan provided by her husband's employer.

Background

In 1986 Congress passed the Consolidated Omnibus Budget Reconciliation Act ("COBRA...

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