I recently blogged about a case in which a plan had established a shorter period of time (one year deadline) for filing a lawsuit, rather than relying on the state statute of limitation (six years) which would otherwise have applied. As I said in that blog, although courts have generally upheld reasonable plan deadlines, those
Understanding Employee Benefits and key developments in the employee benefits field and items of interest to our clients. MORE
ERISA Preemption
Top Hat Plan Benefits Can Be Garnished
In a recent District Court decision, a court held that non-qualified deferred compensation benefits being paid to a participant under a “top hat” plan could be garnished by the participant’s creditor. Employers who sponsor plans covered by ERISA know that creditors cannot garnish a participant’s benefits under a qualified retirement plan. Any state laws …
Short Term Disability Plan as a Payroll Practice
I blogged recently about an Eighth Circuit decision where the court concluded that a deferred compensation agreement with a single employee did not constitute an ERISA plan. I warned employers that courts do not always accept an employer’s characterization of a plan or program as being covered by ERISA. Another example of this phenomenon is …