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David focuses his practice on employee benefits, executive compensation and taxation. David has extensive experience in executive compensation issues, including compliance of deferred compensation agreements under Internal Revenue Code section 409A and the structuring and tax treatment of equity arrangements. He also implements equity compensation plans in partnerships and limited liability companies.

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.