On June 26, 2020, the IRS issued Notice 2020-51, which provides guidance on the waiver of required minimum distributions (RMDs) for 2020 from certain retirement plans under the Coronavirus Aid, Relief, and Economic Security Act (“CARES Act”) and the required beginning date for RMDs under the Setting Every Community Up for Retirement Enhancement Act (“SECURE Act”). The SECURE Act extended the age for beginning RMDs Read More

During times of stock market volatility, there is typically an increase in the number of ERISA claims filed seeking recovery of investment losses. The COVID-19 pandemic certainly qualifies as a market volatility event, giving plaintiffs an opportunity to bring breach of fiduciary claims based on company stock losses in qualified retirement plans. In these cases, plaintiffs typically assert that, based on Read More

The Employee Retirement Income Security Act of 1974 (ERISA) became law before the computer age, so there are no provisions in the Act dealing with cybersecurity. In addition, there is no formal guidance from the IRS or Department of Labor on cybersecurity responsibilities either, leaving it to the courts to determine responsibilities under ERISA when a cybersecurity breach occurs that results in theft from a Read More

Recently, the U.S. Departments of Labor (DOL), Health and Human Services (HHS), and the Treasury released FAQ guidance relating to group health plans under the Coronavirus Aid, Relief, and Economic Security Act (CARES Act) and the Families First Coronavirus Response Act (FFCRA). Highlights from the FAQ guidance include the following: Covered Plans and Products COVID-19-related provisions under the CARES Act and Read More

On June 19, 2020, the U.S. Department of Health and Human Service’s (HHS) Centers for Medicare and Medicaid Services (CMS) published proposed final rules in the Federal Register that narrow or eliminate a number of nondiscrimination requirements under Section 1557 of the Affordable Care Act (ACA). Under Section 1557, certain healthcare insurers, providers, and benefit plans are prohibited from discriminating Read More

On June 11, 2020, the IRS issued Notice 2020-46 to address potential tax issues arising from employer leave-based donation programs that help victims of the COVID-19 pandemic in “affected geographic areas” that include all 50 U.S. states, the District of Columbia, and U.S. territories.  Leave donation programs typically allow employees with accrued vacation, sick, or leave time to donate their hours to be used by Read More

The U.S. Department of Labor (DOL) has issued an information letter stating that a fiduciary that complies with the requirements of Title I of the Employee Retirement Income Security Act of 1974 (ERISA) may include private equity as an investment option for 401(k) plan participants. In its information letter, the DOL noted that, “Private equity investments...present additional considerations to Read More

The Coronavirus Aid, Relief, and Economic Security Act (CARES Act) was signed into law on March 27, 2020, to deliver financial relief to American workers and businesses facing financial hardship from the COVID-19 pandemic. Going forward, there are some important considerations for companies involved in M&A transaction negotiations, especially when it comes to how CARES Act relief provisions affect employee Read More

On June 1, 2020, the U.S. Supreme Court held in Thole v. U.S. Bank, N.A., that defined benefit plan participants lack standing under Article III to pursue claims of fiduciary breach when the plan is fully funded.  Background Plaintiffs were fully vested retired participants in U.S. Bank’s defined benefit retirement plan and filed suit against the bank and other plan fiduciaries for allegedly mismanaging plan Read More