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.
Defined Benefit Pension Plans
Sixth Circuit Adopts IRS Standard to Determine Whether Activity Constitutes “Trade or Business” for Withdrawal Liability Purposes
By Neil V. Shah & Anastasia Gellman on
Under 29 U.S.C. § 1301(b)(1), all “trades or businesses” under common control with an employer that has withdrawn from a multiemployer pension plan are jointly and severally liable for the employer’s withdrawal liability.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…
District Court Holds Unenforceable Trust Provision Requiring Attorneys’ Fees for Arbitration
By Neil V. Shah & Anastasia Gellman on
Employers may be bound by multiemployer pension plans’ trust agreements and collections policies, but the force of these governing documents may have its limits. In Nevada Resorts Ass’n–Int’l All. of Theatrical Stage Emps. and Moving Picture Mach. Operators of the U.S. and Canada Local 720 Pension Trust v. JB Viva Vegas, L.P., No. 2:19-cv-00499…
Self-Help: The IRS Provides Interim Guidance for Self-Correction under the SECURE Act 2.0
By Katrina McCann on
The IRS recently issued Notice 2023-43 providing new interim guidance for self-correction of plan errors. This guidance applies to corrections made prior to the anticipated issuance of revisions to the Employee Plans Compliance Resolution System (“EPCRS”). Under this guidance, provided certain conditions are satisfied, most Eligible Inadvertent Failures (defined below) may be self-corrected, though there are specific types of failures that may not be self-corrected at this time (discussed below).