Reichhold Ltd. v. Wong
Pension Surplus Distribution: Employees Transferred to Successor Plan Not Entitled to Surplus
Summary
A case involving the transfer of employees to a successor employer's pension plan and whether they are entitled to share in the surplus distribution of the original employer's pension plan. The court ruled that transferred employees are not entitled to the surplus if assets and liabilities were properly transferred to the successor plan, under the Pension Benefits Act.
Outcome
No entitlement to surplus distribution where assets and liabilities were properly transferred to successor plan
Key Factors
- pension plans
- surplus distribution
- transfer of assets
- Pension Benefits Act
- fiduciary duty
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