Blackout Notice
(Defined Contribution Plan)

Summary

Use this form to provide notice to participants and beneficiaries of a defined contribution plan whose rights may be affected by a blackout period. This template includes practical guidance, drafting notes and optional clauses. This template is based on the model notice provided at 29 C.F.R. § 2520.101-3(e) which, when properly completed, will be deemed to satisfy enumerated requirements of ERISA § 101(i)(2)(A) (29 U.S.C. § 1021(i)(2)(A)), but will not extend to any other blackout notice requirements. Therefore, whether the entire notice fully complies with requirements, including the correct assessment of the proper time for delivery, is determined by the unique provisions of the particular plan and blackout period. 29 C.F.R. § 2520.101-3(e)(1). This template includes drafting notes and optional paragraphs which may be used where the blackout relates to the suspension of individual securities or the notice is provided less than 30 days before the blackout event. It also includes an optional footer to be used where the blackout relates to trading in an employer stock fund relating to publicly-traded employer securities and the blackout notice is treated as part of a prospectus for the employer security. For additional guidance, see Blackout Period Compliance for Participant-Directed Investment Retirement Plans. For a full listing of key content covering ERISA retirement plan investments, see ERISA Retirement Plan Investment Resource Kit. For a full listing of key content covering 401(k) and other defined contribution plan compliance, see 401(k) and Other Defined Contribution Plan Compliance Resource Kit. For a full listing of key content covering retirement plan notification requirements, see ERISA Retirement Plan Notices Resource Kit.