Pension plan administrator

A buyer meets this role when the target sponsors a pension plan and it is unclear who runs it. Ontario’s Act, section 8(1), lists who may administer a plan, including the employer, a pension committee and, for some plans, a board of trustees. Ask which applies. See what happens to the pension or benefits plan on a sale, and the multi-employer pension plan entry.

What the sources say

• Ontario Pension Benefits Act: the administrator applies for registration (section 9), ensures administration under the Act (section 19) and files an annual information return (section 20).
• Federal Pension Benefits Standards Act, 1985: section 7.4(1) has the administrator administer the plan and fund and file the required documents; under section 7.4(2), an employer that is not the administrator must give it the information it requires to comply with the plan’s terms and those duties.
• CRA: the administrator is the person or body with ultimate responsibility for administering the plan, resident in Canada unless the Minister waives that in writing.

What to ask

Ask who the named administrator is, which regulator the plan is registered with and whether any filing is overdue. Ask whether the sale would change who the administrator is. This entry covers Ontario, federal and CRA rules; check the rules where you are.