[lbo-talk] ERISA

[kelley at pulpculture.org]

first, thanks for help on my previous question. To clarify, what I'm really 
thinking about negotiating is something I'd been offered a while ago: 
royalties or commissions. Bonuses isn't really apt here. It's a classic 
piece of intellectual property. Once I create it, it can faily easily be 
modified only slight and sold to 10, 100s, 1000s of clients. And, indeed, 
the whole thing was my suggestion and it turns out it's going to be a major 
focus since we rec'd a huge response for this product at a recent trade show.

If anyone has any thoughts on that, I'd be eternally grateful.

Thanks to Michael Perelman, btw, for reminding me that I should cover my 
tail in the event I leave the company but still turned over the 
deliverable. I'll be sure to write up a contract that requires payment upon 
delivery--which is monthly.

Anyone who wants to blow some time advising me how to tactfully but firmly 
negotiate a substantial raise, feel free! Book recommends? :) Justin was 
one hellah helpful the other day but words of wisdom from those who've done 
it before would be greatly appreciated.

Now for another question which Justin and I discussed a bit. I rec'd a 
retirement benefit under ERISA. If an employer, even one this small, offers 
a retirement plan for himself and his spouse, then he has to provide same 
to employees. (it's an INC. business--and I guess that matters here)

One important point: this company is so small that none of this is written 
down. There's no committee that runs the benefits plan. We fly by the seat 
of our pants... If there was a committee, the task would probably be 
dropped in my lap anyway! WEll, not for much longer since we're writing a 
job description and my foot's been firmly planted for a long ass time: no, 
i'm not working for free!

Am I right to assume that the same applies if the employer provides 
himself, spouse, family a health insurance plan. Can't imagine any reason 
why he'd pay out of pocket as an individual and not pay as an INC and 
deduct it.

http://law.wustl.edu/WULQ/76-1/761-21.html#IIB

. Business Owners

The ERISA status of business owners continues to be problematic. Labor 
Department regulations provide that a benefit program that covers only 
individuals who own, or whose spouses own, an interest in an unincorporated 
business (as partner or proprietor) is not a "plan" subject to federal 
regulation, but ERISA does apply if one or more common law employees is a 
participant.[101] To avoid distortions in the choice of business form, if a 
corporation is wholly owned by an individual (or by an individual and his 
or her spouse), a benefit program that does not cover any other employee is 
also exempt from ERISA.[102] These limitations can make federal benefit 
protections turn on the sometimes difficult distinction between a common 
law employee and a service partner.
<...>

ERISA applies if a benefit plan covers at least one common law employee 
along with business owners.