Monthly Archives: June 2010

Congress, regulators and the financial industry itself sit on the cusp of requiring all financial service providers who provide investment advice to adopt the fiduciary standard. Now is a great time for ERISA Plan Sponsors (as well as those who provide investment advice to ERISA plans or participants), to familiarize themselves with the nature of fiduciary duties. The anticipated change in the law may expose these officers and vendors to a fiduciary liability they might not have anticipated.
Continue reading “Is the Fiduciary Standard Enough? 3 Critical Fiduciary Duties Every ERISA Plan Sponsor Must Know” »

A retirement plan trustee was protected by Employee Retirement Income Security Act’s (ERISA) 404(c) safe harbor shield against a lawsuit by two 401(k) participants in connection with wrongdoing charges against the plan’s investment adviser.

The plaintiffs filed the suit after finding out that their accounts had been hit with a significant asset loss because of the activities of the adviser, whom both had appointed to manage their accounts.

The court noted that plaintiffs David Tullis and Michael Mack were two physicians who maintained pension funds through the Toledo Clinic Employees’ 401(k) Profit Sharing Plan, and that in the early 1990s, they chose William Davis of Continental Capital Corporation as their investment adviser.
Continue reading “Court Keeps 404(c) Shield in Place for Trustee” »

The U.S. House of Representatives passed a bill Friday that provides for defined contribution plan fee disclosure and temporarily eases pension funding requirements.

The American Jobs and Closing Tax Loopholes Act (H.R. 4213) was considered by the House this week, after passing the Senate (see “Fee Disclosure Rides Along with Pension Relief”).
Continue reading “House Passes Fee Disclosure and Pension Funding Relief Bill” »