Corporate America is definitely not losing a lot of sleep over the 3rd Circuit’s July 2007 decision in Graden v. Conexant Systems Inc. But those in charge of ERISA compliance may be facing some restless nights.
The ruling–which gives individuals who pull their money from an ERISA plan a continuing right to sue plan administrators under the statute–does not increase the overall liability of plan sponsors. However, by broadening the circle of ERISA claimants, it makes record-keeping considerably more complicated for employers.
