Skip to page content
Employee Benefits Security Administration
Bookmark and Share

Summary of the Class Exemption Conditions

The class exemption under the service provider disclosure rule provides relief to responsible plan fiduciaries who did not know that the service provider had failed to disclose some of the required information. To get the relief provided by the exemption, the responsible plan fiduciary must meet the the conditions as summarized below (For more information, see the full text of the exemption):

(A) The responsible plan fiduciary did not know that the covered service provider failed or would fail to make the required disclosures and reasonably believed that the covered service provider disclosed the required information;

(B) Upon discovering that the covered service provider failed to disclose the required information, the responsible plan fiduciary requests in writing that the covered service provider furnish the information;

(C) If the covered service provider fails to comply with the written request within 90 days, the responsible plan fiduciary so notifies the Department of Labor;

(D) The notice contains the following information:

  1. The name of the covered plan;
  2. The plan number used for the covered plan's Annual Report;
  3. The plan sponsor's name, address, and Employer Identification Number or EIN;
  4. The name, address, and telephone number of the responsible plan fiduciary;
  5. The name, address, phone number, and, if known, EIN of the covered service provider;
  6. A description of the services provided to the covered plan;
  7. A description of the information that the covered service provider failed to disclose;
  8. The date on which such information was requested in writing from the covered service provider; and
  9. A statement as to whether the covered service provider continues to provide services to the plan;

(E) The notice is required to be filed with the Department of Labor not later than 30 days following the earlier of-

  1. The covered service provider's refusal to furnish the requested information; or
  2. 90 days after the date the written request is made;

(F) The notice is sent to the Department of Labor either:

  1. electronically through http://www.dol.gov/ebsa/regs/feedisclosurefailurenotice.html; or
  2. via mail to the U.S. Department of Labor, Employee Benefits Security Administration, Office of Enforcement, P.O. Box 75296, Washington, DC 20013.

(G) If the covered service provider fails to comply with the written request within 90 days, the responsible plan fiduciary is required to determine whether to terminate or continue the contract or arrangement consistent with its duty of prudence under ERISA. If the requested information relates to future services and is not disclosed promptly after the end of the 90-day period, then the responsible plan fiduciary is required to terminate the contract or arrangement as expeditiously as possible, consistent with the duty of prudence.

Back