Photo of Alan Kandel

Alan works with top agribusiness industry clients throughout the Midwest. In addition, he knows the food business on a personal level because his spouse was co-owner of a catering company for nearly a decade. Alan’s benefits counsel strategically guides a wide variety of clients – publicly traded, privately held, tax-exempt and governmental – with qualified and nonqualified retirement plans, employee stock ownership plans (ESOP), welfare and fringe benefit plans, and deferred and equity-based plans. In addition, Alan advises buyers and sellers on employee benefit issues in corporate transactions. He defends companies in connection with Internal Revenue Service (IRS), Department of Labor and Pension Benefit Guaranty Corp. examinations and has represented clients in rulings and other matters before their national offices.

On December 29, 2016, the Department of Labor (DOL) issued Interpretive Bulletin 2016-01 (the “Bulletin”) relating to the exercise of shareholder rights by fiduciaries of employee benefit plans, including the voting of mutual fund proxies under 401(k) and similar retirement savings plans.

What is the Obligation?

Generally, the Bulletin provides that fiduciaries that manage employee benefit plan assets have a fiduciary obligation to exercise shareholder rights for securities (including mutual funds) held by such plans. Thus, plan fiduciaries may not simply ignore their voting rights.