Spouses who receive a marital settlement consisting of defendant's ERISA protected 401k or their IRA account will forfeit creditor protection on those accounts. I think this decision will likely be appealed.
https://www2.ascensus.com/news/industry ... ankruptcy/
Bad news for alternate payees
Re: Bad news for alternate payees
It was appealed and upheld. Hard for me to see the logic in the decision.Alan S. wrote: ↑Mon Oct 22, 2018 6:51 pm Spouses who receive a marital settlement consisting of defendant's ERISA protected 401k or their IRA account will forfeit creditor protection on those accounts. I think this decision will likely be appealed.
https://www2.ascensus.com/news/industry ... ankruptcy/
Re: Bad news for alternate payees
The panel decision to uphold can be appealed to the federal appeals court, and if the decision is further upheld, even to the Supreme Court.
Re: Bad news for alternate payees
Thanks for the post. I would argue this decision is not congruent with the intent of ERISA legislation, but I can't speak to the letter of the law. I think you may be right in that we will see further action on this case.