Empower and Vanguard Penalized for Undisclosed Conflicts
Nature Abhors a Vacuum - and So Should Fiduciaries
The recent decision by the U.S. Court of Appeals for the 5th Circuit to invalidate the DOL’s fiduciary rules creates further confusion in an area that had already suffered from an excess of …confusion. A few things to note in considering this state of affairs: • The 5th Circuit’s opinion goes to the core of key […]
Court of Appeals Strikes Down Fiduciary Rule
On March 15 the U.S. Court of Appeals for the Fifth Circuit struck down the DOL’s new fiduciary rule. This adds yet more uncertainty and confusion to a regulatory, legal and political tale that already has more than its share of … uncertainty and confusion. This blog post tries to make some sense of what […]
The New Federalism: Employee Benefits in the Laboratory
The past year has seen a number of articles describing new state laws covering a range of benefits-related areas. Examples include New York State’s new paid leave act and Nevada’s law regulating fiduciary behavior. And more such laws are around the corner – a recent Kaiser Health News article noted that at least nine states […]
Fiduciary Lawsuits: A New Chapter Opening?
A new chapter may be opening in the ongoing saga of litigation against plan fiduciaries. This new chapter could lead plan sponsors and advisors to rethink – and expand – their view of the scope of their fiduciary responsibility. On January 10, the plaintiffs in the lawsuit against New York University’s plans filed an amended […]
Spectre, Meltdown and HIPAA: An Unpleasant Trio
Question: What do employers and James Bond Have in common? Answer: Both have to combat Spectre. However, the problem for employers is that in addition to fighting the new Spectre computer bug, employers must also combat the Meltdown computer bug. And, employers must do so in a way that complies with HIPAA. This blog will […]
Association Health Plans on the Move
A new proposed regulation represents the latest phase of the Administration’s efforts to reshape the American health care system. The proposed regulation, issued in response to President Trump’s October 12 executive order, opens the way to expand association health plans (AHPs). An AHP is a health plan sponsored by a group of unrelated employers, linked […]
The Senate Tax Bill: A Benefits Perspective
The Senate has now passed its version of a revamp to the tax code (H.R. 1). The legislation makes significant changes to many provisions of the code, including dramatic changes to corporate and individual taxation. The bill now goes on to a conference committee to reconcile differences with the bill passed by the House of […]
A Sheep in Black Wolf’s Clothing: A Cautionary Tale
The U.S. Department of Labor has taken a series of legal actions against a multiple employer welfare association (MEWA) plan operated by Black Wolf Consulting. The actions taken by the DOL against this plan (the AEU Holdings LLC Employee Benefits Plan) include freezing bank accounts, replacing the plan fiduciaries, and issuing an order to dozens […]
Internal Revenue Service Prepares to Levy 2015 ACA Penalties
The Affordable Care Act (“ACA”) remains on the books, despite all of the rhetoric about potential legislative and/or administrative changes. And, in a significant new development, the IRS is poised to begin levying penalties on employers, under the ACA’s employer mandate, for 2015. This is important for a number of reasons: • Regardless of what happens […]