A recent wave of cases attempts to apply the same theory of liability for retirement plan excessive fee cases to health plans—specifically to arrangements with pharmacy benefit managers. While the cases thus far have been dismissed for lack of standing, health...
In late February, six class actions were filed against The Pension Specialists Ltd (Pension Specialists) in an Illinois district court over a data breach of personal and sensitive information retained by Pension Specialists on behalf of plan participants and the...
Employers often relocate employees to meet their business needs, respond to trends, and remain competitive. Many employers have corporate mobility programs and policies that allow them to identify top talent, place them strategically throughout the organization...
For plan years beginning in 2026, higher-compensated participants (not highly compensated employees under Section 414(q)) in 401(k) plans and salary reduction 403(b) plans will not be allowed to make catch-up contributions on a pre-tax basis. But they will be permitted...
ERISA sets forth many disclosure requirements for plan sponsors and administrators to furnish certain benefit plan-related documents to participants to apprise them of their rights, benefits, and obligations under their plans. A civil penalty remedy structure is...
Restricted stock units (RSUs) are a popular form of executive compensation which grant the recipient the right to receive company shares or a cash equivalent at a specified future date. These units often come with conditions based on time or performance before...
Plan sponsors have a fiduciary obligation to prudently select and manage the investment options they offer participants in a retirement plan, and the obligation is under special scrutiny by participants in a plan with participant-directed investments. Plan sponsors...
ERISA plan fiduciaries are often asked to consider investment of retirement plan assets in a private equity fund. In the United States, private equity funds are structured with features for various investments like venture capital and buyouts. Managed by sponsors...
When an employer contemplates an acquisition, merger, or other corporate transaction, the employer often wants to be sure that key employees remain during (and often for a time after) the transition. Retention agreements are useful for this purpose and can provide...
Fiduciaries must engage in a process to gather and evaluate the information needed to make pertinent plan decisions. Where fiduciaries lack the expertise to make those decisions, they must engage experts to help them. It is also important to know what decisions...
Sometimes, timing is everything. In a Presidential Memorandum dated January 20, 2025, the Trump Administration froze the issuance of agency regulations pending review. Thankfully, offering a parting gift, the Biden Administration’s Department of Labor (DOL...
A glossy annual report is a document containing key corporate information to be distributed to shareholders in advance of a publicly held company's annual meeting. Glossy annual reports should not be confused with annual reports on Form 10-K, which is the annual...
Beginning in 2024, the SECURE Act rules required employers to allow covered long-term part-time (LTPT) employees to participate in the deferral feature of a 401(k) plan once these employees met applicable age and service thresholds, now requiring just 500 hours...
Among the many SECURE 2.0 Act changes, Section 331 allows retirement plans (401(k), 403(b), and 457(b) plans) to make in-service qualified disaster recovery distributions to participants stricken by a qualified disaster. Distributions up to $22,000 to a qualified...
Fiduciaries of ERISA employee benefit plans must manage plan assets that involve securities (which can be in the form of corporate stock or mutual funds) and may be required to make and monitor decisions about voting proxies and exercising shareholder rights with...