McDermott Will & Emery
Subscribe to McDermott Will & Emery's PostsPiling On: Corporations Support the New York Times in Multiemployer Pension Calculation Dispute
By Diane Morgenthaler, Erin Steele, McDermott Will & Emery and Richard J. Pearl on Feb 19, 2019
Posted In Benefit Controversies, Employee Benefits, Retirement Plans
Several large employers are disputing how much money the New York Times owes a union multiemployer pension fund. Recently, six companies—including US Foods Inc. and United Natural Foods Inc.—filed an amicus brief supporting the New York Times in its case before the US Court of Appeals for the Second Circuit. Ruprecht Co., an Illinois meat...
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Worker Classification: Complications Beyond the Front Page
By Maria C. Rodriguez, McDermott Will & Emery and McDermott Will & Emery on Feb 7, 2019
Posted In Employee Benefits, Employment
When California’s Dynamex decision rolled out the “ABC test”, it placed the burden on the employer to prove independent contractor (IC) status. In a presentation at the Employment and Employee Benefits Forum in California, McDermott’s lawyers discussed the implications of Dynamex, as it applies to various types of employers as well as those using staffing...
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Ninth Circuit Clarifies “Actual Knowledge” for ERISA’s Statute of Limitations
By McDermott Will & Emery and Richard J. Pearl on Jan 15, 2019
Posted In Benefit Controversies, Employee Benefits, Fiduciary and Investment Issues, Retirement Plans
Late last year, the Ninth Circuit held that in order to trigger ERISA’s three-year statute of limitations a defendant must demonstrate that a plaintiff has actual knowledge of the nature of an alleged breach. Accordingly, the court held that merely having access to documents describing an alleged breach of fiduciary duty is not sufficient to...
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IRS Provides 403(b) Plan Relief for Improper Exclusion of Part-Time Employees
By McDermott Will & Emery and Joseph K. Urwitz on Dec 18, 2018
Posted In Retirement Plans
The IRS recently released Notice 2018-95 to provide transition relief to 403(b) plan sponsors that improperly excluded part-time employees from making elective deferrals under their plans. Employers must begin to operate the part-time employee exclusion under their 403(b) plans correctly for the plan year immediately following the transition relief period, which will mean as soon...
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First Circuit Holds Defendants Have Burden to Negate Loss Causation in ERISA Fiduciary Duty Cases
By McDermott Will & Emery and Chris C. Scheithauer on Nov 8, 2018
Posted In Employee Benefits, Fiduciary and Investment Issues, Retirement Plans
The US Court of Appeals for the First Circuit has solidified a circuit split on who has burden of proving loss causation in ERISA breach of fiduciary duty cases. The First Circuit joined the Fourth, Fifth and Eighth Circuits holding that once a plaintiff demonstrates a fiduciary breach, the defendant has the burden to negate...
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Tax Cuts and Jobs Act of 2017: Impact on Executive Pay of Tax-Exempt Organizations
By McDermott Will & Emery on Aug 28, 2018
Posted In Employee Benefits, Executive Compensation
The Tax Cuts and Jobs Act of 2017 (the “2017 Tax Act”) made some significant changes to the executive pay area for tax-exempt organizations with the imposition of a new excise tax on certain amounts paid to some employees of the tax-exempt organization. Imposing taxation in areas which previously had no such result will warrant...
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IRS Issues Long-Awaited Initial Guidance under Section 162(m)
By Andrew Liazos, Joseph K. Urwitz, McDermott Will & Emery and William R. Pomierski on Aug 23, 2018
Posted In Employee Benefits, Executive Compensation
On August 21, 2018, the IRS issued guidance regarding recent statutory changes made to Section 162(m) of the Internal Revenue Code. Overall, Notice 2018-68 strictly interprets the Section 162(m) grandfathering rule under the Tax Cuts and Jobs Act. Public companies and other issuers subject to these deduction limitations will want to closely consider this guidance...
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ERISA Preempts State Regulation of PBM–Pharmacy Pricing Agreements
By McDermott Will & Emery and Sarah P. Hogarth on Jul 31, 2018
Posted In Benefit Controversies, Employee Benefits, Health and Welfare Plans
ERISA broadly preempts state laws that “relate to” ERISA-governed employee benefit plans to ensure a uniform federal regulatory scheme and to relieve ERISA plans from the burdens of satisfying a patchwork of state laws. Recently, however, several states have enacted legislation designed to regulate the prices that pharmacy benefit managers, as third-party administrators for ERISA-governed...
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Lessons Learned from ESOP-Owned Companies from Recent Litigation
By McDermott Will & Emery on Jul 17, 2018
Posted In Employee Stock Ownership Plans (ESOPs)
Recent litigation and audit activity is focusing on the process undertaken by fiduciaries in connection with a transaction involving an ESOP. Eliot Burriss presented at the 2018 National Center for Employee Ownership Conference summarizing relevant litigation cases, exploring roles and responsibilities, and providing best practices. View the full presentation.
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SEC Director Makes Groundbreaking Speech about Blockchain Token Sales
By Anthony A. Bongiorno, McDermott Will & Emery, Alexandra Scheibe and David L. Taub on Jul 3, 2018
Posted In Executive Compensation, Fiduciary and Investment Issues
The Director of the SEC’s Division of Corporation Finance William Hinman gave a speech in which he discussed whether a digital asset originally offered as a security can become something other than a security over time. The speech provided some of the most important considerations to date for analysis of blockchain token transactions under US...
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