Dispute Resolution

Pension Benefit Guaranty Corporation 82-32 October 28, 1982 RE FERENCE: [*1] 422 1 Resolution of Disputes OP INION: This r esponds to your letter requesting our opinion concer ning arbitration over w ithdrawal liability as required bySecti on 4221 of the Employee Retirement Income Security Act of 1974 ("ERISA"), as amended by the MultiemployerPensi on Pl an Amendments Act of 1980 Pub. L. 96-364, 94 STAT. 1208 (September 26, 19 80) ("Multiemployer Act").Spe cifically you wish to know what procedure to foll ow, in the absence of a PBGC regulation on the subject, when thepartie s to a dispute do not agree on the selection of an arbitrator. Under Sect ion 4221 of ERISA arbitrat ion of withdrawal liability disputes is to be conducted in acco rdance with fairand equit able procedures to be promulgated by the PBG C. While PBGC is working on such a regulation, there is noneed to await its publication. In the interim, multiemployer plan sponsors and employers may use any reasonableproce dures, such a s those established by the American Arbitrati on Association and the Federal Mediation andCo nciliation Service. See Section 405(a) of the Multiemployer Act, 94 STAT. 1303. Secti on 4221(b)(3) provides that arbitration proceedings be conducted in the sam e manner and subject [*2] to the same limit ations as an arbitration proceeding carri ed out under title 9, United States Code. T herefore, if the parties areunab le to agree on the naming of an arbi trator or to fair and equit able arbitration procedures they may apply to the courtfor ap propriate relief. I hop e this has been of assistance. Henry Rose Ge neral Counsel