PBGC Intervention Sample Clauses
The PBGC Intervention clause outlines the procedures and consequences if the Pension Benefit Guaranty Corporation (PBGC) becomes involved with a company's pension plan, such as initiating termination or assuming responsibility for the plan. Typically, this clause details the parties' obligations to notify each other of PBGC actions, cooperate with regulatory requirements, and address any resulting liabilities or funding shortfalls. Its core function is to allocate risk and clarify responsibilities in the event of PBGC intervention, thereby protecting both parties from unexpected financial exposure and ensuring compliance with federal pension regulations.
PBGC Intervention. Notwithstanding any provision of this Agreement to the contrary, in the event that at any time the Pension Benefit Guaranty Corporation (PBGC) or any other Governmental Authority asserts that the Offering may provide justification for the PBGC to seek termination of the Crown Pension Plan or Constar Pension Plan under ERISA or otherwise asserts that the Offering may increase unreasonably the long-run loss to the PBGC (within the meaning of ERISA section 4042(a)(4)) with respect to any Crown Pension Plan or Constar Pension Plan, Crown may, in its sole discretion:
(i) Enter into negotiations with the PBGC to resolve these issues and, upon satisfactorily resolving such issues, Constar shall fully comply with the terms of any agreement entered into by Crown with the PBGC; or
(ii) Transfer all assets and liabilities with respect to some or all of the Active Constar Employees and/or Former Constar Employees and their respective alternate payees arising prior to the Closing Date under the Crown Pension Plan to the Constar Pension Plan in a manner acceptable to the PBGC.
PBGC Intervention. In the event that at any time the Pension Benefit ----------------- Guaranty Corporation ("PBGC") or any other Governmental Authority asserts that the Distribution may provide justification for the PBGC to seek termination of the Pension Plan pursuant to ERISA section 4042 or otherwise asserts that the transaction may increase unreasonably the long-run loss to the PBGC (within the meaning of ERISA section 4042(a)(4)) with respect to the Pension Plan, IREX shall negotiate in good faith with the PBGC to resolve these issues and shall hold SPI harmless from any Liabilities related to the resolution of such issues.
PBGC Intervention. Notwithstanding any provision of this Agreement to the contrary, in the event that at any time the Pension Benefit Guaranty Corporation (PBGC) or any other Governmental Authority asserts that the Distribution may provide justification for the PBGC to seek termination of any CSC Pension Plan or Vlasic Pension Plan pursuant to ERISA section 4042 or otherwise asserts that the Distribution may increase unreasonably the long-run loss to the PBGC (within the meaning of ERISA section 4042(a)(4)) with respect to any CSC Pension Plan or Vlasic Pension Plan, CSC may, in its sole discretion:
(i) Retain all assets and Vlasic Liabilities with respect to Active Vlasic Employees and their respective alternate payees arising prior to the Distribution Date under the applicable CSC Pension Plan and require Vlasic to provide equivalent benefits under plans maintained by it with an offset for any benefits continued to be provided under the applicable CSC Pension Plan;
(ii) Enter into negotiations with the PBGC to resolve these issues and, upon satisfactorily resolving such issues, Vlasic shall fully comply with the terms of this Section 3.2(e); or
(iii) Reach such other agreement as may be satisfactory to CSC and Vlasic. In any case and notwithstanding any other provision of this Agreement, Vlasic shall be fully responsible and liable for any obligation to, agreement with, or undertaking (on behalf of or relating to any Vlasic Pension Plan) to the PBGC and shall hold CSC free from and fully indemnify it against any such obligation, agreement, or undertaking. If CSC retains any Vlasic Liabilities with respect to any Active Vlasic Employee and their respective alternate payees under any CSC Pension Plan, Vlasic shall fully reimburse CSC for the reasonable administrative expenses relating to any such liabilities.