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Wednesday, May 27, 2026

'Honest belief' of fraud terminations not FMLA violation - Morganton News Herald

A lower court's determination that CSX Transportation violated no laws in terminating employees it suspected of fraud in seeking medical leave was recently unanimously upheld by the 4th U.S. Circuit of Appeals.

When CSXT issued furlough notices to employees in West Virginia, more than 65 of them submitted forms requesting to take medical leave based on minor soft-tissue injuries that they allegedly sustained off-duty. In an incredible coincidence, they all produced similar forms, signed by one of two chiropractors, and they all called for medical leaves of eight weeks or more.

The forms submitted were similar or identical in content, and one of the two chiropractors submitted 14 such forms on a single day.

Those employees availed themselves of a CSXT policy that allowed for providing health and welfare benefits for up to two years to employees who were furloughed while on medical leave.

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