Requires plaintiffs suing over certain retirement plan transactions to plausibly allege and prove that the transaction was not exempt under ERISA, and pauses all discovery while a motion to dismiss is pending.

• Requires plaintiffs in suits over certain prohibited plan transactions and employer securities trades to plausibly allege and prove that the transaction was not exempt under ERISA.
• Stays all discovery while a Rule 12 motion or a reply to an answer is pending, unless a court finds that particularized discovery is needed to preserve evidence or prevent undue prejudice.
• Requires parties aware of the complaint to preserve relevant documents during the stay, including documents held by plan recordkeepers, and lets a party seek sanctions for willful noncompliance.
• Lets state courts stay discovery in state actions subject to the federal stay when needed to aid their jurisdiction or protect their judgments.

• Judiciary Committee (House)
• Education and Workforce Committee (House)

Labor and Employment