I. (§2.50) Enforcing Rights
Enforcement of an employee’s rights to benefits may be pursued several different ways. The appeals process with respect to the denial of benefits is discussed in §2.42 above. Federal and state courts have concurrent jurisdiction to hear actions to recover benefits, and attorney fees and costs may be allowed. 29 U.S.C. § 1132(e) and (f). Actions may be brought by individuals/participants, beneficiaries, or the Secretary of Labor. Section 1132(a).
Reporting and disclosure requirements and the fiduciary duties imposed on trustees can be enforced by the Department of Labor. The Secretary of Labor has the right to investigate books, reports, and potential violations of ERISA by any person. 29 U.S.C. § 1134. The Treasury Department determines the continued qualification of plans and the taxation of benefits. See I.R.C. §§ 401 et seq. There are also civil and criminal penalties imposed by the statutes. See 29 U.S.C. § 1131; 29 C.F.R. §§ 2575.209b-1, 2575.502c-1 to 2575.502c-3, and 4071.1 to 4071.3. The plan administrator may be personally liable or may be subject to an action for breach of duty. 29 U.S.C. §§ 1105 and 1109.
Recently, the U.S. Supreme Court has decided or accepted a number of cases addressing the enforcement rights of plan participants.
In 2008, the U.S. Supreme Court heard a landmark case, LaRue v. DeWolff, Boberg & Associates, Inc., 552 U.S. 248 (2008). Relying on Massachusetts Mutual Life Insurance Co. v. Russell, 473 U.S. 134 (1985), the Fourth Circuit in LaRue held that ERISA § 502(a)(2)
(29 U.S.C. § 1132(a)(2)) provides remedies only for entire plans, not for individuals. LaRue v. DeWolff, Boberg & Associates, Inc., 450 F.3d 570, 571–73 (4th...
