SECTION 19. NONTRANSFERABILITY OF OPINION LETTER

An Opinion Letter issued to a Provider is not transferable. In the case of a change in entity with respect to a Provider, an Opinion Letter issued to the Provider may not be utilized by the changed entity. In addition, if a different entity assumes sponsorship of a Pre-approved Plan, it must submit an application for a new Opinion Letter under the name of the different entity and meet all the applicable requirements to be a Provider. The application may be filed at the time of the assumption of plan sponsorship by the new Provider, and the filing is not limited to the applicable Submission Period. The application is subject to a reduced user fee as provided in the successors to Rev. Proc. 2023-4 (as updated annually). The new Opinion Letter will recognize the change in sponsorship and will not modify the scope of or change the reliance on the original Opinion Letter. The IRS may, in appropriate circumstances, request documentation of the assumption of sponsorship prior to issuing an Opinion Letter to the new entity. Examples of a change in entity include, but are not limited to, the acquisition of a Provider by another entity, the sale or transfer of the stock or assets of the Provider to another entity, and any other circumstance that results in a change in a Provider’s employer identification number.

SECTION 20. NOTIFICATION OF ADOPTING EMPLOYER REGARDING FAILURE OF THE FORM OF THE PLAN TO

SATISFY QUALIFICATION REQUIREMENTS OR SECTION 403(b) REQUIREMENTS

If a Provider has knowledge that the form of an Adopting Employer’s plan may no longer satisfy the Qualification Requirements or Section 403(b) Requirements, as applicable, and the Provider does not submit a request to correct the failure to satisfy those requirements under EPCRS, the Provider must notify the Adopting Employer that the plan may no longer satisfy those requirements, advise the Adopting Employer that adverse tax consequences may result from the failure of the form of the plan to satisfy those requirements, and inform the Adopting Employer about the availability of EPCRS. This section 20 does not impose a requirement on a Provider to monitor compliance of an Adopting Employer’s plan with the Qualification Requirements or Section 403(b) Requirements, as applicable, but it provides that the Provider has a duty to inform the Adopting Employer if the Provider has knowledge that the Adopting Employer’s plan may no longer satisfy those requirements.