| Strunk Attorney Fees and Costs |
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In October 2007, the Oregon Supreme Court awarded fees and costs to the member’s attorneys for the 2005 Strunk case. In addition to affecting Tier One members who have yet to retire, the court’s decision affects approximately 21,260 PERS retirees whose cost-of-living adjustments (COLAs) were frozen by the 2003 PERS reform legislation.
The retirees affected were Tier One members who retired under the Money Match calculation with effective retirement dates on or after April 1, 2000, and before April 1, 2004.
At the direction of the Oregon Supreme Court, the attorneys representing this group of retired members are entitled to $763,367, to be paid out of the restored COLA adjustments.
In accordance with the court’s direction, PERS calculated the COLA each recipient would have received July 1, 2004 based on the actual benefit payment at that time. The attorney fee award was then allocated in proportion to the COLA each person would have received at that time.
For example, retiree A, who would have received a $60 COLA, pays a higher proportion of the award than retiree B, whose COLA would have been $30.
The one-time deduction affects the July 1, 2008 benefit, payable August 1, 2008 to the affected retirees. The average one-time deduction is $36. After that, the monthly benefit will be restored to the appropriate level.
Oregon Supreme Court’s decision regarding attorney fees/costs in the Strunk case
Court's Stipulation Regarding the Allocation of an Attorney Fee Award
Frequently Asked Questions
Strunk Appeal
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