Mumen-Rider

Well I went back to confirm the dates and I admit to some embarrassment. The ESOP termination was initiated upon sale of the company, which was 4/2017. Payout of the first 80% occurred 10/2017. The 20% holdback was supposed to be distributed 9/2018. So, only two months beyond the promised date at this point, and a bit less than two years since termination. Based on what I've learned on this site, despite being delayed, the distribution doesn't yet seem to meet the criteria for excessive delay. Given that they've provided me with a plausible reason, and based on the timeline in the SPD re: claims process, I'll give it another few months before forcing their hand with a claim. Thanks to everyone for responding!

After I requested the SPD and a copy of the claim form, the plan admin advised me that the reason for delay was the death of the trustee. It's been over two years since plan termination and I'm getting impatient, but I have to admit that sounds like a reasonable cause for delay.

Thanks for replying. My concern is based mostly on my desire to get this money out of the cash-equiv holding account and into investments, but also on the fact that I no longer work for the company and would like this loose-end to be resolved. I've requested a copy of the SPD so I can check the claims procedure. Hopefully my request by itself might spur them into providing a more detailed explanation.

My company's ESOP terminated after sale of the company. 80% of the funds were distributed one year after the termination event. The remaining 20% were supposed to have been distributed at the 2 year mark but the company is now stating that the distribution is delayed indefinitely because of "an issue with the Trustee." I'm posting here because while legal guidelines for distribution of a still-active ESOP are pretty clear, I haven't been able to confirm the guidelines for full distribution of a terminated ESOP. How long can the company delay on the remaining 20%? Thanks for any insight!