09.23.24

401(k) Advice Rule Compliance Abandoned as Key Deadline Arrives

by: Ben Miller

Many firms gearing up to comply with the Labor Department’s embattled 401(k) investment advice rule have opted to change course on compliance since two federal courts paused the regulation that was originally scheduled to begin taking effect Monday. The about-face that suspended the rule was not entirely unexpected among retirement and life insurance industry professionals, who had anticipated potential Administrative Procedure Act challenges to the rule and sought to avoid unnecessary expenditures on complying with it, benefits lawyers say. Annuities industry players vocally opposed the rulemaking and filed both Texas legal challenges, which were led by the American Council of Life Insurers and the Federation of Americans for Consumer Choice, respectively.

Read the full article on Bloomberg Law