The US Supreme Court recently declined to review the “stock drop” cases decided late last year by the US Court of Appeals for the Second Circuit involving Citigroup and McGraw-Hill. Patrick L. Gearren, et al. v. The McGraw-Hill Companies, Inc., et al., No. 11-1550 and Stephen Gray, et al. v. Citigroup Inc., et al., No. 11-1531. This allows to stand two decisions which are very favorable to the defense of fiduciaries of certain retirement plans that invest in company stock.Continue Reading Supreme Court Allows Favorable Employer Stock Ruling to Stand
Employers Must Treat Health Plan Rebates Appropriately
Posted in Executive Compensation and ERISA
One of the many provisions of the Patient Protection and Affordable Care Act, also referred to as the Healthcare Reform Legislation, provides that health insurers must spend a certain portion of the premiums they receive on clinical services and health care quality-improving activities. If an insurer spends less on such services and activities than the pre-established level, the difference must be refunded to the insurer’s policyholders in the form of rebates. The first such rebates were recently issued to policyholders nationwide.Continue Reading Employers Must Treat Health Plan Rebates Appropriately