General Motors Corp. v. Romein

Summary

Justice O’Connor delivered the unanimous opinion affirming the Michigan Supreme Court. The Court held that Michigan’s retroactive requirement that employers repay previously withheld workers’ compensation benefits violated neither the Contract Clause nor due process. The employment contracts contained no express or implied agreement establishing the claimed right to treat past benefit periods as closed, and the statute did not impair the contracts’ enforceability. Retroactive repayment rationally served legitimate purposes by preserving the legislature’s original benefits compromise and equalizing payments by similarly situated employers. There were no separate opinions.