Benefits Issues With Corporate Transactions

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Our clients’ businesses are always changing. As part of this process, we assist our clients by conducting due diligence of employee benefits issues in connection with mergers, acquisitions, spin-offs and plant closings, including plan termination and withdrawal liability issues under the Employee Retirement Income Security Act (ERISA).

We assist our clients with benefit plan design and redesign often associated with restructuring. We are often engaged to assist in last-minute problem-solving sessions to develop solutions to unforeseen benefits issues that can bring negotiations to a standstill, such as benefits liabilities (cafeteria plan spending accounts, pension, COBRA, vacation pay claims), participant claims and lawsuits, successor liability, withdrawal liability, defined benefit funding, and plan freeze, conversion, transfer, transition relief and termination issues.

Our experience includes the representation of both buyers and sellers in stock and asset purchase transactions. In either case, our focus is to protect our clients from prior or future liabilities. Beginning with the diligence process, we review benefit structures and identify problem areas or potential issues that may arise as the deal progresses. We develop action plans to address any concerns, including plan clean-up and continuation, merger and/or termination while being mindful of our client’s goals with respect to employees, benefits and risks.