ERISA Action Regarding Withdrawal Liability
In Retirement Plan of the UNITE HERE Nat'l. Ret. Fund v. Kombassan Holding A.S., No. 07-4143, an ERISA action claiming that defendant was responsible for the withdrawal liability incurred by a third party pursuant to sections 502(a)(3) and 4301(a) of ERISA, the court affirmed judgment for plaintiff where, in the circumstances presented here, defendant was an alter ego of the third party and was, therefore, responsible for its withdrawal liability.
As the court wrote: "Kombassan Holding A.S. ("Kombassan") appeals from a judgment of the United States District Court for the Southern District of New York (Rakoff, J.) holding it liable to the Retirement Plan of the UNITE HERE National Retirement Fund and its trustees (the "Plan") for withdrawal liability incurred by the entity Hit or Miss ("HOM") pursuant to sections 502(a)(3) and 4301(a) of the Employee Retirement Income Security Act of 1974 ("ERISA"), codified at, 29 U.S.C. §§ 1132(a)(3), 1451(a), in the amount of $668,929.00 plus prejudgment interest in the amount of $407,431.83, for a total of $1,076,360.83."
- Read the Second Circuit's Decision in Retirement Plan of the UNITE HERE Nat'l. Ret. Fund v. Kombassan Holding A.S., No. 07-4143