For advisers, consultants, brokers, and insurance providers, no issue has been a bigger flashpoint over the past fifteen years than the standards of care for advice to individuals who have or may be considering opening an individual retirement account (“IRA”) or buying an annuity. This hub provides an overview of DOL’s efforts to impose ERISA’s fiduciary rules on the IRA and annuity marketplaces.
In this and prior efforts, we’ve worked with clients to help shape guidance, develop compliance strategies, and to push back in the courtroom when appropriate. For more detail on DOL’s current efforts and how we can help, contact us or reach out to your regular Groom attorney.
Groom Insights
- On April 23, 2024, the U.S. Department of Labor (“DOL”) unveiled its final package, named the “Retirement Security Rule and Amendments to Class Prohibited Transaction Exemptions for Investment Advice Fiduciaries” (the “Fiduciary Package”). The Fiduciary Package is scheduled to take effect on September 23, 2024.
- Litigation over the new rule has already begun. The Federation of Americans for Consumer Choice (“FACC”) filed a complaint in the Eastern District of Texas on May 2, 2024. Other litigation remains likely.
- Congress continues to be focused on the package. The House Committee on Financial Services held a hearing to discuss the package on January 10th and there have been a number of letters from members of Congress to DOL. The House Committee on Education and Workforce held a hearing on February 15th to explore the possible consequences of the proposal.
Final Rule
Ongoing Litigation
Groom’s View
Deeper Dive
2024 Final Rule – Groom Insights
Find our deep dive into the amended fiduciary rule, PTE 2020-02, PTE 84-24, and final amendments to PTEs 77-4, 75-1, 80-83, 83-1, and 86-128, below.
DOL Amends Fiduciary Advice Definition Regulation
DOL Finalizes PTE 2020-02 Amendments
DOL Finalizes PTE 84-24 Amendments
DOL Finalizes Changes to Other Exemptions Through Mass Amendment
2024 Final Rule
Redlines
Proposed 2023 Investment Advice Rule and Final 2024 Investment Advice Rule
1975 Definition of Investment Advice and Final (2024) Definition of Investment Advice
Current (2020) PTE 2020-02 and Final (2024) PTE 2020-02
Current PTE 84-24 and Final (2024) PTE 84-24
2023 Retirement Security Proposal
– A Deeper Dive
Find our detailed materials describing the proposals here.
Prior Guidance
Decisions
American Securities Association v. U.S. Department of Labor
Carfora v. Teachers Ins. Annuity Ass’n of Am.
Chamber of Commerce v. Dep’t of Labor
Market Synergy Grp, Inc. v. Dep’t of Labor (2018)
Market Synergy Grp, Inc. v. Dep’t of Labor (2017)
