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Kifafi v. Hilton Hotel Retirement Plan, et al

Appellee, an employee and participant in Hilton’s retirement plan, sued for violations under the Employee Retirement Income Security Act (ERISA), 29 U.S.C. 1001 et seq. Appellee alleged that the Plan’s benefit accrual formula was impermissibly backloaded and that Hilton, the Plan sponsor and administrator, violated both ERISA and the Plan by failing to credit certain years of service when calculating employees’ vested credit. The court affirmed the district court’s finding, that the Plan was impermissibly backloaded and that Hilton failed to calculate participants’ vesting credit properly because the district court handled the case well within its discretion.