New York & Co. sued by former employee over disruption of long-term benefits

A Litchfield woman is suing her former employer and its insurance provider for allegedly canceling her long-term disability benefits.

Theresa A. Wolfe filed a lawsuit Jan. 11 in Madison County Circuit Court against Metropolitan Life Insurance Company and Lerner New York Inc., doing business as New York & Company, a clothing retailer for women.

According to the complaint, Wolfe worked for New York & Company beginning in 1985 until she was fired in September 2006. During her employment Wolfe says she was provided medical benefits, including short-term and long-term disability plans. That coverage was allegedly underwritten by Met Life Insurance.

Starting in June 2006, Wolfe claims she received benefit payments under Met Life's long-term plan. She also says she applied for and received Social Security Disability retroactive to December 2007, which reduced the amount owed by Met Life but did not eliminate it.

Wolfe says she received a letter from Carol Hubner of Met Life Disability in October 2011 saying her monthly benefit payments of $680 were terminated. Wolfe alleges Met Life claimed she was not disabled and could perform light physical duties, therefore employable in any position.

Wolfe claims she is totally disabled and is entitled to receive payments under the long-term disability plan provided by New York & Company and Met Life until she is 65-years-old.

She asks for a judgement of retroactive benefits from October 2011, damages in excess of $75,000 and court costs. Wolfe is represented by attorney William L. Berry of Collinsville.

Madison County Circuit Court Case No. 13-L-52