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Is Personal Information of Retirement Plan Participants an ERISA Plan Asset?
Jackson Lewis P.C.
July 10, 2020 "The essence of the allegations is that employers breach their fiduciary duties of loyalty and prudence when they permit plan service providers to profit from the use of plan assets -- sensitive personal information of plan participants -- for non-plan purposes.... There are some measures plan sponsors can take to minimize the risk of these kinds of claims. [1] Consider relationships with plan service providers more carefully and earlier in the process.... [2] Limit by contract the ability of plan service providers to use plan participant data to market or sell to participants products unrelated to the retirement plan, unless the participants initiate or consent." |
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