In most cases, denials of ERISA plan benefits by administrators who have been granted discretionary authority to interpret and apply the plan are reviewed under an abuse of discretion standard, and may only be reversed if the denial was arbitrary and capricious. Such deference, however, is not without limits, and there are circumstances in which
Defined Benefit Pension Plans
District Court Interprets Multiemployer Plan Fee-Shifting Provision to Encompass Attorneys’ Fees and Costs Incurred in Related Litigation
A multiemployer plan that prevails in an action to collect delinquent contributions or withdrawal liability is statutorily entitled to recover reasonable attorneys’ fees and costs “of the action.” In International Painters & Allied Trades Industry Pension Fund v. Florida Glass of Tampa Bay, Inc., No. 23-cv-00045, 2025 WL 712965 (D. Md. Mar. 5, 2025)…
Fourth Circuit Approves Award of Estimated Delinquent Contributions
Multiemployer benefit plans generally require contributing employers to submit “remittance reports” that identify the employees that performed covered work, the type of work performed, and the amount of time worked. Plans rely on the timely and accurate submission of these reports to ensure employers remit all required contributions and that participants accrue all benefits owed. …
Sixth Circuit Adopts IRS Standard to Determine Whether Activity Constitutes “Trade or Business” for Withdrawal Liability Purposes
Under 29 U.S.C. § 1301(b)(1), all “trades or businesses” under common control with an employer that has withdrawn from a multiemployer pension plan are jointly and severally liable for the employer’s withdrawal liability. The statute does not define what it means to be a “trade or business,” and though the statute references regulations promulgated by the…