The Employee Retirement Income Security Act of 1974, as amended (“ERISA”) and the Internal Revenue Code Of 1986, as amended (“Code”) contain broad prohibitions on transactions between ERISA-covered employee benefit plans and Individual Retirement Accounts (“Plans”), as well as certain people or entities closely connected to such Plans, known as “parties in interest” or “disqualified … Continue Reading
The Equal Employment Opportunity Commission (“EEOC”) recently proposed regulations pertaining to employer wellness programs that, as will be explained below, may concern employers that have “Participatory” wellness plans. [1] Current Wellness Plan Rules under Other Laws To understand the EEOC’s proposal, one must first take note of the other pre-existing wellness plan rules. In general, … Continue Reading
There is a new electronic delivery option for retirement plan sponsors who are looking for an easier and more efficient means of providing required plan information disclosures to plan participants and beneficiaries. Retirement plan administrators can now electronically notify participants and beneficiaries that certain disclosures are available on a specified website. In addition, retirement plan … Continue Reading
On Tuesday, June 18, 2018, The U.S. Department of Labor (“DOL”) released its long-anticipated final rule on association health plans, allowing small businesses to band together by geography or industry to create health plans as if they were a single large employer. Association health plans will not be subject to the Affordable Care Act’s essential … Continue Reading
On May 10, 2018, the 6th Circuit vacated the District Court for the Western District of Kentucky’s 2013 decision in “Clemons v. Norton Healthcare Inc. Retirement Plan”, No. 16-5124 (6th Cir. 2018). The District Court had granted summary judgment in favor of a class of former Norton Healthcare workers who chose to retire early and … Continue Reading
On November 29, 2017, The Department of Labor delayed through April 1, 2018, the applicability of a Final Rule amending the claims procedure requirements applicable to ERISA-covered employee benefit plans that provide disability benefits. The purpose of the Final Rule was to add procedural protections and safeguards similar to those applicable to group health plans … Continue Reading
The US Department of Labor has announced a proposed extension of the applicability dates of the fiduciary rule from April 10 to June 9, 2017 (read our prior blog post here) The proposal, issued March 1, comes in response to a directive from President Donald Trump to review the rule. The proposed extension is intended … Continue Reading
On Wednesday, February 9, a Texas federal judge upheld the U.S. Department of Labor’s (DOL) controversial fiduciary rule for retirement investment advisers — just hours after the agency had asked to stay the case in light of President Donald Trump’s directive to it on February 3rd to conduct an “economic and legal analysis” of the … Continue Reading
On March 1, 2016, the United States Supreme Court ruled on the scope of ERISA preemption as it relates to reporting requirements. In Gobeille v. Liberty Mutual Insurance Co. [pdf], the High Court held that ERISA preempts a Vermont statute regulating plan reporting requirements. The Vermont law addressed in Gobeille required disclosure of payments related … Continue Reading
Last week, the US Supreme Court heard arguments in Montanile v. Board of Trustees of the National Elevator Industry Health Benefit Plan. At issue in that case is whether a beneficiary of a benefit plan governed by ERISA can defeat enforcement of the plan’s right of subrogation (its lien) by dissipating the funds received by that beneficiary. A … Continue Reading
