On October 15, 2008, the Mental Health Project (MHP) teamed up with groups across the country to file this national class action lawsuit against the Social Security Administration (SSA) for revoking the retirement and disability benefits of over 100,000 poor, elderly and disabled Americans under an arbitrary and unlawful benefit suspension policy. The effort is led by the National Senior Citizens Law Center and the pro bono counsel of Munger, Tolles & Olson, and includes Disability Rights California and the Legal Aid Society of San Mateo County.

Under a 1996 law, SSA must suspend the benefits of people who are "fleeing to avoid prosecution" for a felony. The law was enacted to prevent wanted fugitives from receiving benefits. The plaintiffs alleged that thousands of elderly and disabled Americans who are not "wanted," and indeed, who may have been completely misidentified, have been caught up in the system that SSA has used to implement the law.

On March 30, 2009, the parties reached a settlement in the case. Under the terms of the settlement, the defendants agreed to reinstate the payments of those who had been wrongfully denied their benefits. The defendants also agreed to pay specified legal fees to the plaintiff class attorneys. The court maintains jurisdiction over the management of the settlement until it is complete.

Kristen Sagar - 10/19/2009

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