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Abstract
In ERISA Section 502(a)(1)(B) claims decided under the arbitrary and capricious standard of review, courts generally limit their review of a plan administrator's denial of benefits to the administrative record. This means that, in most cases, there is no discovery beyond the administrative record. A new legal issue is the extent to which a plaintiff may obtain discovery of the administrative records of other similarly situated claimants under their benefit plan. The claims procedure regulations for ERISA plans recently were amended to require that a benefit plan contain administrative safeguards to ensure consistent application of the plan with respect to similarly situated claimants. The amended regulations also require plan administrators to provide claimants, upon request and free of charge, copies of all documents relevant to the claimant's claim for benefits, including documents regarding application of the plan to similarly situated claimants. Allowing discovery into the argument of whether the plaintiff was treated differently under the plan as compared to other claimants may substantially increase administrative costs for plan sponsors. The historical approach (prior to the amended regulations) that courts have taken in considering whether to allow discovery as to nonlitigant claimants in benefit denial cases governed by the arbitrary and capricious standard is explored. The amended regulations and the limited case law interpreting those regulations, insofar as they address the similarly situated discovery question, are discussed. The burdens of similarly situated discovery on plan sponsors and administrators are analyzed. Various factors that courts should consider in deciding whether to allow discovery on similarly situated claimants are explored.