– Re: 50-50% or 67-33% or 90%-10% EXCLUSIVE NYCDCC HIRING HALL
In Reply To
ERISA § 1108(c)(2) excerpt 2nd Cir. 8-20-02
Before: MINER and SACK, Circuit Judges, and BERMAN, District Judge.*
The clear intent of § 1108(c)(2) is to allow a fiduciary, which is otherwise prohibited from engaging in self-dealing transactions by § 1106, to receive reasonable compensation for the administration of a retirement fund. As we stated in Lowen v. Tower Asset Mgmt., Inc., 829 F.2d 1209, 1216 n. 4 (2d Cir.1987), "the services exempted under ERISA Section [1108(c)(2)] are services rendered to a plan and paid for by a plan for the performance of plan duties." Lobbying, and litigation against plan beneficiaries or their trustees cannot be construed "plan duties."
This post was updated on Dec 21, 2011; 12:47am.