On April 8, 2016, the Department of Labor (DOL) published the Fiduciary Rule, which greatly expanded the universe of entities and persons that DOL deems to be fiduciaries with respect to retirement plans under the Employment Retirement Income Security Act of 1974 and with respect to Individual Retirement Accounts under the Internal Revenue Code. The Rule was originally scheduled to become applicable on April 10, 2017. However, in February of 2017, President Trump issued a memorandum directing DOL to reexamine the Rule to consider whether it would reduce access to investment services or increase litigation. Two months later, shortly before the April deadline, DOL extended the applicability date of some of the Rule’s requirements until June 7, 2017 and others until January 1, 2018. Then, in July of this year, DOL invited public comments on possible changes to the Rule and on whether the January 1 deadlines should be extended further. In the meantime, litigation has been waged over the Fiduciary Rule’s legality.
Jason Mendro, Partner at Gibson Dunn, discussed the past, present, and future status of the Fiduciary Rule
- Jason Mendro, Partner, Gibson, Dunn & Crutcher