Legal Question in Employment Law in Maryland
Employer withholding 401(k) and profit sharing
I resigned from an employer January 2003, now a year later he has refused to disburse funds from a 401(k) and from a profit sharing plan. Form 1099-R's were issued on both account, which tells me that he knows he owes the funds, but has not paid them to me. I contacted IRS about correcting the 1099 forms, but I want my money. Is there any other relief I am entitled to after a year and 3 months of an employer withholding this money?
1 Answer from Attorneys
Re: Employer withholding 401(k) and profit sharing
A claim for an employer's failure to pay a fringe benefit or any other remuneration promised for service may be filed pursuant to the Maryland Wage Payment and Collection Law. The court may award an employee an amount not exceeding 3 times the amount due, reasonable counsel fees, and other costs. You can file a legal complaint, claiming that your 401(k) and profit sharing play were fringe benefits or other renumeration promised for service, and request the court to order that your former employer pay treble damages, attorney fees, and costs.