Benefits & Executive Compensation News

Intercontinental Hotels Can’t Slip Pension Fund Withdrawal Suit

April 21, 2020, 3:07 PM

Intercontinental Hotels Group will have to face a multiemployer pension fund’s lawsuit seeking immediate payment of $8.3 million in withdrawal liability the fund says it’s owed, according to a Tuesday decision by the Southern District of New York.

IHG’s alleged failure to respond to the National Retirement Fund’s request for financial information gives the fund justification for demanding immediate payment of IHG’s alleged default, Judge Gregory H. Woods held. The fund can treat the failure to respond as an “insecurity default” that makes it more likely the debt won’t be paid, which justifies the acceleration request, Woods said.

The dispute...

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