Title 29 — LaborRelease 119-73not60

§1431 Assistance by Corporation

Title 29 › Chapter 18— EMPLOYEE RETIREMENT INCOME SECURITY PROGRAM › Subchapter III— PLAN TERMINATION INSURANCE › Subtitle Subtitle E— Special Provisions for Multiemployer Plans › Part 4— financial assistance › § 1431

Last updated Apr 5, 2026|Official source

Summary

When the corporation gets an application for aid under sections 1426(f) or 1441(d) and finds the plan is or will be insolvent and cannot pay basic benefits on time, it must give enough money so the plan can pay those basic benefits. The corporation will set fair conditions to protect itself, require the plan to repay the aid on reasonable terms under its rules, and may give temporary funds before the final amount is decided to prevent hardship for participants.

Full Legal Text

Title 29, §1431

Labor — Source: USLM XML via OLRC

(a)If, upon receipt of an application for financial assistance under section 1426(f) of this title or section 1441(d) of this title, the corporation verifies that the plan is or will be insolvent and unable to pay basic benefits when due, the corporation shall provide the plan financial assistance in an amount sufficient to enable the plan to pay basic benefits under the plan.

(b)(1)Financial assistance shall be provided under such conditions as the corporation determines are equitable and are appropriate to prevent unreasonable loss to the corporation with respect to the plan.

(2)A plan which has received financial assistance shall repay the amount of such assistance to the corporation on reasonable terms consistent with regulations prescribed by the corporation.

(c)Pending determination of the amount described in subsection (a), the corporation may provide financial assistance in such amounts as it considers appropriate in order to avoid undue hardship to plan participants and beneficiaries.

Legislative History

Notes & Related Subsidiaries

Editorial Notes

Effective Date

Part effective Sept. 26, 1980, except as specifically provided, see section 1461(e) of this title.

Reference

Citations & Metadata

Citation

29 U.S.C. § 1431

Title 29 — Labor

Last Updated

Apr 5, 2026

Release point: 119-73not60