The Third Circuit Court of Appeals, claiming to be the first circuit to decide a question that has divided federal District Courts in recent years, has ruled that a church agency cannot establish a “church plan” for employee retirement purposes that is not covered by the terms of the Employee Retirement Income Security Act (“ERISA”). According to the “plain meaning” of the statute, the Court says, only a church (or convention or association of churches) may establish a plan exempt from ERISA. It has affirmed a District Court ruling denying a Catholic hospital system’s motion to dismiss a putative class action against the employer, despite a private letter ruling from the Internal Revenue...