Legal Question in Insurance Law in Illinois

Can they sue me over flex spending account?

I was enrolled in company FSA account with Benny Card for non covered med expenses, ie..Cough syrup, pain relievers. 10.00 week from my check plus employer contribution. I resigned 7-1-2005. Account closed on 8-1-05 with positive balance of 468.00 I used 198.00 total. Over a year later my former employer, not plan administrator is requesting receipts to substantiate the 198.00 I spent. The account has been closed for a year. There is no access to receipts after 6 months from CVS Pharmacy. It was a use it or lose it plan. It was my own money. They received the 468.00 balance and paid nothing out of pocket. They are now sueing me for the 198.00. They requested the entire batch of receipts. I have read completely IRS 125 but cannot find a time limit for the request or how they can possibly sue me for my own money. Is there no statute of limitations on this. How can I be sued for something like this? Is there any written information I can take to court to fight this? Thank you for any help.


Asked on 1/06/08, 10:24 pm

1 Answer from Attorneys

Joseph Michelotti Michelotti & Associates, Ltd.

Re: Can they sue me over flex spending account?

Probably yes based on your employment contract. If no contract, then no.

Please feel free to use these resources:

email: [email protected]

web: www.michelottilaw.com

blog: blog.michelottilaw.com

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Answered on 1/08/08, 12:06 am


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