Washington, D.C., partner Gregory Ossi was quoted in a Law360 article titled “2nd Circ. Pension Calculation Fight Has High Stakes For Cos.” The article discusses a case brought before the U.S. Court of Appeals for the Second Circuit, in which the New York Times is disputing the amount of money it owes to a union multiemployer pension fund. The case has drawn impassioned briefs in support of the New York Times from several companies that have seen their own potential liability increase significantly due to using a much lower discount rate assumption for calculating withdrawal liability from a union multiemployer pension plan than the interest rate the same plan uses to value unfunded vested benefits for funding purposes.
"The amount of dollars at stake can be incredible," Gregory said. "There's no other actuarial assumption that has a bigger impact [on withdrawal liability] than the interest rate."