NVLSP REACHES HISTORIC CLASS ACTION
SETTLEMENT VICTORY FOR IRAQ & AFGHANISTAN VETERANS WITH PTSD
Military Agrees to Lifetime Health Benefits or Increased
PTSD Disability Rating for Thousands of Vets
News Conference at 10am at the National Press Club
on Friday, July 29
FOR IMMEDIATE RELEASE – July 29, 2011
WASHINGTON – The National Veterans Legal Services Program (NVLSP)
announces today a historic settlement victory for disabled veterans who
served in Iraq and Afghanistan. The settlement obtained by NVLSP and pro
bono co-counsel Morgan, Lewis & Bockius LLP in the class action lawsuit
Sabo v. United States will benefit thousands of veterans who were
medically discharged due to post-traumatic stress disorder (PTSD)
between 2003 and 2008, but were denied the benefits to which they were
legally entitled.
“These veterans served our country in time of war, but have waited 3 to
8 years to receive the disability benefits which they’ve earned for
their service,” said Bart Stichman, co-executive director of NVLSP,
which filed the class action lawsuit in 2008 along with Morgan Lewis.
“Today, a terrible wrong to our nation’s war veterans is being righted.”
“For more than a thousand military families, today’s settlement brings
some well-deserved peace of mind,” added Jim Kelley, lead partner for
the team at Morgan Lewis, who along with colleagues at NVLSP and
in-house counsel at HP and Pfizer provided free legal counseling to
veterans who sought to opt into the class action lawsuit. “We are
gratified that the government will finally make good on its promise to
meet the healthcare needs of these veterans and their loved ones.”
As a result of the class action and the settlement that, late yesterday,
NVLSP and the government jointly asked the U.S. Court of Federal Claims
to give preliminary approval to, the U.S. military agreed to pay
lifetime disability retirement benefits to 1,029 veterans with PTSD who
were denied these benefits upon discharge from the military following
wartime service in Iraq or Afghanistan. This part of the agreement is a
direct response to the allegation in NVLSP’s 2008 lawsuit that the
military services violated the law by failing to assign a 50% disability
rating to those discharged for PTSD – a disability rating that entitles
the veteran to disability retirement benefits. To remedy these
violations, these veterans will receive through the settlement:
Entitlement to lifetime military disability retirement payments
(which may result in the veteran receiving monthly payments from the
military above what the veteran is receiving from the VA)
retroactive to the date of discharge.
Eligibility to apply for Combat-Related Special Compensation
(which may increase the veteran’s monthly disability payments
further).
Lifetime military healthcare (TriCare) for the veteran, his or
her spouse, as well as their children until at least age 18.
Lifetime commissary and military post exchange privileges.
Eligibility to purchase life insurance coverage through the
Survivor Benefit Plan.
Reimbursement for expenses paid for the medical treatment of the
veteran, the veteran’s spouse, and the veteran’s minor children, from
the date of the veteran’s separation from military service.
The settlement also stipulates that an additional 66 veterans who are
class members will receive these same disability retirement benefits if
they apply to the VA for disability benefits for PTSD and receive a VA
disability rating of 30% or more.
Additionally, the military agreed to increase the PTSD disability
rating of another 1,066 OIF/OEF veterans. These veterans were given
disability retirement benefits upon discharge, but were wrongfully
denied a 50% disability rating for PTSD. The disability rating increases
required by the settlement may qualify these veterans for thousands of
dollars in back pay spanning several years.
The settlement agreement was jointly filed by the military departments
and NVLSP. Under the rules that apply to settlements of class actions,
all class members will be notified of the settlement and given an
opportunity to object. After any objections are received, the Court of
Federal Claims will decide whether to grant final approval to the
settlement. Given how favorable the settlement is for the veterans
involved, NVLSP predicts that the Court will quickly grant final
approval.
“This is a happy ending to a sad chapter of military mistreatment of
those who served our country in time of war,” said Stichman. “The
veterans covered by this agreement were exposed to highly traumatic
events during deployment, only to return home and be shortchanged on
benefits after the military found they suffered from PTSD that was so
severe that they needed to be discharged,” said Stichman.
“For the veterans impacted by the settlement with young families,
getting healthcare benefits will make a huge difference in their daily
lives,” said Stichman. “For those drowning in family medical bills
incurred during the 3-8 years they waited for their benefits, the
settlement offers reimbursement. Many of them will likely be awarded
hundreds of additional dollars every month in combat related special
compensation. They will be able to shop at military commissaries and get
other benefits that help their families. The settlement is a huge
victory for veterans and their families.”
SNAPSHOTS OF VETERANS IMPACTED: WHAT THE SETTLEMENT WILL MEAN FOR
THEIR LIVES
Aimee Sherrod, Air Force (Jackson, Tenn.)
Air Force veteran Aimee Sherrod served three deployments from 2001-2005,
with service in both Iraq and Pakistan. She was under frequent mortar
attacks and saw the horrors of war firsthand. She was subsequently
diagnosed with PTSD and separated from the military without the benefits
to which she was entitled.
Under the settlement, she and her husband will receive healthcare
benefits for life and their children will receive healthcare benefits
until age 18 or longer. She is entitled to reimbursement of health
expenses incurred for herself and her family from 2005 to 2011, eligible
to apply for combat-related special compensation, can participate in the
Survivor Benefit Plan, and can use the military commissary and post
exchange. Two years after her discharge, Sherrod was one of seven named
plaintiffs filing the class action lawsuit, Sabo v. United States, on
behalf of thousands of veterans with PTSD who were illegally
shortchanged on their benefits.
Timothy Martin, Army (Sparta, Tenn.)
Veteran Timothy Martin served in the Army for 9 years. In his role as a
Bradley gunner in Iraq, Martin was in multiple firefights and his
vehicle was struck by improvised explosive devices. He was told he could
no longer serve in the military due to his PTSD, but was separated from
the military without retirement benefits and a low disability rating,
well below what the law stipulated. Martin is a single father with two
children. “My family struggles to make ends meet,” said Martin in a
sworn declaration filed with the court.
Under the settlement, Martin and his children will receive healthcare
benefits through TriCare. He is also eligible for monthly disability
benefits, entitled to reimbursement for health expenses incurred for his
family since 2006, eligible to apply for combat-related special
compensation, can participate in the Survivor Benefit Plan, and can
access the military commissary and post exchange.
Anthony Koller, Army (Little Elm, Texas)
Army veteran Anthony Koller served in Iraq for 14 months, where he was
part of 300 missions and witnessed several traumatic events. His squad
was ambushed in Fallujah in 2005 and he witnessed the death of one of
his friends. Due to his PTSD diagnosis, Koller was separated from the
military in 2006 with a low disability rating for PTSD and without the
benefits to which he was entitled. He is now attending college to learn
a new trade. Koller has a wife and three children under age 5, including
a newborn baby. Due to strained finances, the family went without any
health care coverage from June-September 2010. His wife and daughter
were in a car accident that cost thousands of dollars in medical bills.
“TriCare and the benefits of permanent disability retirement would help
my family tremendously right now as we live on a month-to-month basis.
Healthcare for my family as well as the opportunity to apply for
Combat-Related Special Compensation are both benefits we need,” said
Koller in a declaration intended for the court. Under the settlement,
Koller’s wife and children will receive healthcare benefits under
TriCare. He is eligible for monthly disability benefits and will be able
to apply for Combat-Related Special Compensation. The family can apply
for their thousands of dollars in medical bills to be reimbursed. They
will also be eligible for post exchange and commissary privileges, as
well as the survivor benefit plan.
PRESS/MEDIA INTERVIEW REQUESTS
Press and media interview requests should be directed to Ami Neiberger-Miller,
cellular 703.887.4877,
ami@steppingstonellc.com.
ABOUT NVLSP
The National Veterans Legal Services Program (NVLSP) is an independent,
nonprofit veterans’ service organization that has served active duty
military personnel and veterans since 1980. NVLSP strives to ensure that
our nation honors its commitment to its 25 million veterans and active
duty personnel by providing them the federal benefits they have earned
through their service to our country. NVSLP offers training for
attorneys and other advocates, connects veterans and active duty
personnel with pro bono legal help, publishes the nation’s definitive
guide on veterans’ benefits, and represents and litigates for veterans
and their families before the VA, military discharge review agencies,
and federal courts. For more information go to
www.nvlsp.org.
ABOUT MORGAN, LEWIS & BOCKIUS LLP
Morgan Lewis provides comprehensive transactional, litigation, labor and
employment, and intellectual property legal services to clients of all
sizes—from global Fortune 100 companies to just-conceived
startups—across all major industries. Its international team of
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visit www.morganlewis.com.
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