PLANADVISER Weekend Newsdash
Week ending July 8th, 2016
NOTE FROM THE EDITOR
Happy Friday, readers! Anyone who receives our bimonthly print edition will be familiar with our ERISA attorney columnists, including Groom Law Group’s David Kaleda; Marcia Wagner, of the Wagner Law Group; and Fred Reish and Joan Neri, with Drinker Biddle and Reath. This week’s roundup mailing includes their latest writing for the PLANADVISER audience, with a particular focus on your questions about the DOL fiduciary rule and related litigation. 
Editor's choice
Rollovers Under the Fiduciary Rule
ADVISER QUESTION: I’m an adviser who provides investment advice to ERISA plan committees. I also provide wealth management and financial planning services to individuals. Under the final Department of Labor fiduciary rule, will I be able to advise plan participants or wealth management clients about their distribution options under a plan or an individual retirement account? Read more >
The New Fiduciary Rule Is for Plan Sponsors, Too
For IRAs and non-ERISA plans, the standard will need to be reflected in a written contract that will be the basis for a new contract-based legal action by these retirement investors. For ERISA plans or plans served by fiduciaries receiving a level fee, the contract requirement is reduced to providing a written statement of the adviser’s fiduciary status and adherence to the best interest standard. Read more >
Fee-Only Fiduciaries
The DOL points to FINRA guidance as to articulating the meaning of “recommendation,” though it stops short of adopting that definition itself. Further, the final rule allows an adviser to provide “investment education” about distributions and rollovers without being deemed a fiduciary, for providing “investment advice,” but this educational exception may be narrowly interpreted by the DOL or a court. Read more >
The Latest in Fiduciary Litigation
Why the rash of suits? ERISA attorneys speculate the significant attention paid to the U.S. Supreme Court decision last year in Tibble v. Edison has played at least a small part in emboldening these firms to pick up the pace in bringing these lawsuits. Read more >
MOST POPULAR STORIES
Stimulus Bill Extends Some Provisions of the CARES Act

It also provides a way for retirement plan sponsors to avoid a partial plan termination.

Coronavirus Hardship Withdrawals, Taxes and Your Retirement Plan Clients
Coronavirus-related withdrawals made in 2020 were a financial lifeline for some, but they could also turn into a major tax headache for others.
Once They Catch On, PEPs Could Grow Exponentially
The current hesitancy over how they will take shape will be overcome by appreciation among advisers and sponsors alike at the prospect of expanding retirement coverage, sources say.
Warn Your Clients: Don’t Abuse Coronavirus Hardship Withdrawals
Though retirement plans can allow individuals to self-certify that they qualify for a penalty-free coronavirus-related distribution, should the IRS discover otherwise during a future audit, a participant can be subject to substantial penalties.
Lawsuit Challenges Fees in Kimberly-Clark's 401(k) Plan

The plaintiffs allege plan fiduciaries used what it calls ‘cobbled-together services from many providers’ and didn't monitor fees for any of them.

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