Unless otherwise provided in regulations prescribed by the corporation, a plan sponsor may not cause a multiemployer plan to merge with one or more multiemployer plans, or engage in a transfer of assets and liabilities to or from another multiemployer plan, unless such merger or transfer satisfies the requirements of subsection (b) of this section.
A merger or transfer satisfies the requirements of this section if—
(1)in accordance with regulations of the corporation, the plan sponsor of a multiemployer plan notifies the corporation of a merger with or transfer of plan assets or liabilities to another multiemployer plan at least 120 days before the effective date of the merger or transfer;
(2)no participant’s or beneficiary’s accrued benefit will be lower immediately after the effective date of the merger or transfer than the benefit immediately before that date;
(3)the benefits of participants and beneficiaries are not reasonably expected to be subject to suspension under section
1426 of this title; and
(4)an actuarial valuation of the assets and liabilities of each of the affected plans has been performed during the plan year preceding the effective date of the merger or transfer, based upon the most recent data available as of the day before the start of that plan year, or other valuation of such assets and liabilities performed under such standards and procedures as the corporation may prescribe by regulation.
(c) Actions not deemed violation of section
1106(a) or (b)(2) of this title
The merger of multiemployer plans or the transfer of assets or liabilities between multiemployer plans, shall be deemed not to constitute a violation of the provisions of section
1106(a) of this title or section
1106(b)(2) of this title if the corporation determines that the merger or transfer otherwise satisfies the requirements of this section.
(d) Nature of plan to which liabilities are transferred
A plan to which liabilities are transferred under this section is a successor plan for purposes of section
1322a(b)(2)(B) of this title.
Part effective Sept. 26, 1980, except as specifically provided, see section
1461(e) of this title.
The table below lists the classification updates, since Jan. 3, 2012, for this section. Updates to a broader range of sections may be found at the update page for containing chapter, title, etc.
The most recent Classification Table update that we have noticed was Tuesday, August 13, 2013
An empty table indicates that we see no relevant changes listed in the classification tables. If you suspect that our system may be missing something, please double-check with the Office of the Law Revision Counsel.