EBIA Weekly Newsletter

Severance Arrangement Involving Limited Employer Discretion Was Not an ERISA Plan

   December 1, 2016

Hall v. LSREF4 Lighthouse Corporate Acquisitions, LLC, 2016 WL 6651389 (W.D.N.Y. 2016) In this dispute over severance benefits, an individual sued his former employer in state court. Asserting that the plan was subject to ERISA, the employer removed the lawsuit to federal court. (If ERISA applies, state-law claims are preempted, and available remedies are generally … Read More

Trial Court Rejects DOL Fiduciary Rule Challenge

   December 1, 2016

Nat’l Ass’n for Fixed Annuities v. Perez, 2016 WL 6573480 (D.D.C. 2016) Available at https://www.gpo.gov/fdsys/pkg/USCOURTS-dcd-1_16-cv-01035/pdf/USCOURTS-dcd-1_16-cv-01035-0.pdf A trade association representing the fixed annuity industry brought this lawsuit challenging the final DOL rule that defines who is a fiduciary when rendering investment advice for a fee and related rules in two prohibited transaction exemptions (PTEs). … Read More

How Do Health FSA Carryovers Affect HSA Eligibility?

   December 1, 2016

QUESTION: Many of our employees would like to establish health savings accounts (HSAs), so our company has decided to offer a high-deductible health plan (HDHP) option and allow employees to make pre-tax HSA contributions under our cafeteria plan. Some employees, however, participate in our general-purpose health FSA, which permits carryovers of up to $500. We … Read More