Guest jvanheyde Posted June 25, 2009 Report Share Posted June 25, 2009 Assume a church plan is not subject to ERISA and the church amends the plan to increase the normal retirement age and decrease the accrued benefit. On what basis could a participant who has reached normal retirement age argue that his/her benefit could not be reduced. I've read that the anti-cutback rules of Code Section 411(d)(6) do not apply to Church Plans per 411(e)(1). It appears that any cause of action would have to be found in (i) the Plan document, (ii) state law or (iii) church law. If the Plan document reserves the right to amend the plan unilaterly and without regard to whether it reduces a participant's accrued benefit, then item (i) is out. Item (ii) seems like it would have to be like a promissory estoppel basis, that the participant did everything he was asked to do and was promised a certain benefit in return. Any thoughts on how to argue this amendment would not apply to a participant who reached normal retirement? Link to comment Share on other sites More sharing options...
Create an account or sign in to comment
You need to be a member in order to leave a comment
Create an account
Sign up for a new account in our community. It's easy!Register a new account
Already have an account? Sign in here.Sign In Now