Minnesota QDRO Model?

[Thornton]

I've been drafting QDROs in Wisconsin for several years. I am now working on my first Minnesota QDRO (Hennepin County). I have the Judgment of Divorce, property settlemt, etc. Does anyone know where I can get a model Minnesota QDRO, if there is such a thing. Otherwise, I'll use my Wisconsin template and revise as necessary. Thanks. 

[QDROphile]

Although I usually hate them when I see them, I usually ask a plan if it has any guides to drafting.  The plan can be the biggest hurdle.  The courts usually are pretty forgiving about the form of order unless it is contested.  And nobody seems to be concerned about the unauthorized practice of law in these matters.  It never hurts to check with the clerk of court about filing and submission procedures.

[Larry Starr]

5 hours ago, Thornton said:

I've been drafting QDROs in Wisconsin for several years. I am now working on my first Minnesota QDRO (Hennepin County). I have the Judgment of Divorce, property settlemt, etc. Does anyone know where I can get a model Minnesota QDRO, if there is such a thing. Otherwise, I'll use my Wisconsin template and revise as necessary. Thanks. 

There's no such thing as a state specific QDRO. There are certain formatting items for the court, but you can usually copy the same information format from the judgement of divorce if you have not previously handled one for a particular jurisdiction. Also, I've had a few judges who require signature lines at the end of the order for the participant and alternate payee to sign.  While this is absolutely not necessary, what the judge wants the judge gets.  I should point out that it is the judge's order; the parties (one or the other) don't have to agree with the judge's decision and nothing forces him (or her) to agree to the order itself by signing it.  It is an order from the judge to the plan.  I haven't yet had one where the two parties did not sign, but I am awaiting the day when one pissed off spouse says "I ain't gonna sign that f'in order" and then see what the judge does. 

[Thornton]

Thanks QDROphile and Larry! I'll go ahead and use the format of the Judgment of Divorce. 

[fmsinc]

There are 980,000 different ERISA qualified pension and retirement plans in the US.  Add Federal, State, County, City, and municipal plans and international plans.  The information you are looking for is Plan specific, not State specific.  ERISA and Federal plan preempt state law with regard to most pension and retirement matters.   

You need to contact the Plan Administrator of the Plan in question and ask them for their  "QDRO package" setting forth their unique requirements, language preferences, and procedures.  Note that the Plan may have a Third Party Administrator (TPA) who handles QDRO matters for the Plan and the Plan Administrator can refer you  to the TPA.  If you have a period statement of benefits and find Fidelity, Vanguard, Mass Mutual, Alight, Voya, T. Rowe Price, etc. you can be almost certain that a TPA is handling the matter, but it may be that these firms are just handling the investment aspect of the Plan but not the QDRO aspects.     

Note that ERISA Section 206(d)(3)(G)(ii) requires sponsors of qualified retirement plans to maintain written procedures for the administration of qualified domestic relations orders (“QDROs”), and the Plan Administrator has an obligation to ensure that a domestic relations order received by the plan is “qualified” before making the payments or taking other actions contained in the order.  The written procedures will  can and should be drafted to reflect the terms of the Plans that the Employer/Sponsor maintains.  This will help avoid the time consuming, costly, and sometimes frustrating process of modifying a draft QDRO to make sure that it does not require a form of distribution (or confer other rights) not allowed under the Plan document.  Written procedures will: (i)  Support more efficient review and helps to ensure that the parties will get the basics right and this will expedite the approval process; (ii) Avoid unnecessary expense and frustration by cutting down on the number of drafts that must be exchanged and minimizing confusion and delay.

The Plan Administrator may or may include a model order, but there is no guarantee that such an order will comply with the law of your state and with the intention of the parties as set forth in their written Agreement,  or of the Judge as set forth in the Judgment of Divorce.

Use a model order at your peril.  Attached is an excerpt from Gary Shulman treatise, "Dividing Pensions in Divorce".  I would recommend that you purchase this book and it's companion, "Qualified Domestic Relations Order Handbook", both published by Aspen.  

If you want to find out who the Plan administrator is look at the Form 5500 filed by the Plan with the Department of Labor, Employment Benefits Security Administration every year.  You can find it at  https://www.efast.dol.gov/portal/app/disseminate?execution=e1s1

Go forth and make sure your malpractice insurance is adequate to the risk you are undertaking in entering this area of the law.  It's easy to mess up and it's easy to get sued and sanctioned by the Bar for messing up.  Sorry to sound harsh.  This is a highly esoteric are of the law, so you might consider working with an experienced QDRO attorney for a while before striking out on your own.

David  

QDROs - Model QDRO Dangers.pdf

[MPLSLAW]

It seems like over 80% of the Minnesota QDROs I get for review on behalf of plan sponsors are drafted by Tom Hughes firm in Minneapolis.  

www.thomashughesltd.com 

[BenefitsPara]

Visit the Public Employees Retirement Association website:

https://www.mnpera.org/members/divorce/