Can Prototype Sponsors Adopt 401(k) Reg Amendment for Employers?

[namealreadyinuse]

I thought the IRS said that all adopting employers had to sign the 401(k) amendments, but it looks like some prototype sponsors are just adopting them for all adopting employers automatically if there are no special effective dates or election of optional provision.

Can anyone clear this up?

[Guest mjb]

There is no IRS requirement that an amendment must be signed if the employer does not have to make an election between options under the amendment. The amendment can be treated as a required change by the Ptype sponsor b/c of a change in applicable law if permitted under the Ptype document. What does the Ptype document say about required amendments b/c of a change in law?