Common use of Nonreversion Clause in Contracts

Nonreversion. No part of the Trust Fund will ever be used for or be diverted to purposes other than for the exclusive benefit of Participants and Beneficiaries except that, upon direction of the Plan Administrator, the Trustee will return contributions to a Participating Employer in the following circumstances, to the extent permitted by the Code and ERISA: (a) a contribution made by a mistake of fact will be returned, provided the return is made within one year after the payment of the contribution; (b) a nondeductible contribution will be returned, provided the return is made within one year after the Internal Revenue Service denies the deduction for the contribution, all Plan contributions being made expressly on the condition that the contributions are deductible in full for federal income tax purposes; and (c) any amount held in a Code ss. 415 suspense account (as described in ss. 6.2(d)) that cannot be allocated upon the termination of this Plan will be returned.