Pensions & Litigation
Clear as mud
Pensions are not a straightforward subject at the best of times. With the public spotlight on pensions it is not surprising that disputes are on the rise, especially for those involved with final salary schemes. Sponsoring Employers are concerned about managing their financial and regulatory risks. Trustees want to follow the correct decision making processes and are increasingly concerned about their personal liability. Members are entitled to what they have been promised. Professional Advisers and their professional indemnity insurers are bullish about claims against them.
Our Approach
We tailor our approach depending on who you are and what your dispute is.
A pension scheme’s Internal Dispute Resolution Procedure (IDRP) is the first port of call for trustees to consider member grievances. Members can also enlist the help of The Pensions Advisory Service (tPAS) and make a complaint to the Pensions Ombudsman. It is not uncommon for determinations of the Pensions Ombudsman to be appealed to theHigh Court, particularly where the same issue affects a much larger group of members and is of significant financial consequence.
Trustees and employers can apply to the High Court for directions on how their scheme ought to be administered, particularly where there is ambiguity or conflict in the scheme documentation. We can also facilitate funding negotiations between employers and trustees.
Formal litigation against pension scheme actuaries, administrators and lawyers for professional negligence is also usually conducted in the High Court. Typical claims relate to errors in pension payment, inadequate investment advice and lack of advice on changes to pensions law.
Our Experience
Recent examples of our pensions disputes work include:
- Acting for a sponsoring employer in relation to the additional funding burden caused by a failure to equalise male and female retirement ages in accordance with the decision of the European Court of Justice in Barber v GRE.
- Advising a local participating employer in a nationwide final salary scheme on the merits of making an application to the High Court for directions on how the scheme ought to be administered.
- Acting for a local charity in funding negotiations with the scheme trustees which were critical to the charity’s ongoing viability.
- Advising the sponsoring employer of a final salary scheme on complaints under the scheme’s internal dispute resolution procedure relating to incorrect ill health pension quotations.
- Making complaints to the Pensions Ombudsman for enhanced early retirement benefits on behalf of company executives.
- Advising FSA regulated firms on their pensions transfer and review cases.
If you have a query relating to pensions disputes please contact:
Jonathan Kitchin
01392 685246
jk@footanstey.com
