2 Pension Benefit Guaranty Corporation ." 1200 K Street, N.W., Washington, D.C. 200054028 

.. 

Re: - 

Plan) 

1 Case 196607, Polaroid Pension Plan [the 

The Appeals Board reviewed your appeal of'PBGC1s February 19, 

2004 determination that you are not entitled to a benefit from the 

Plan. For the reasons stated below, the Board decided that we must 

deny your appeal. 

Determination and Apueal 

PBGC determined that you are "not entitled to a PBGC benefit 

because a Qualified Domestic Relations Order dated November 20, 

1997 awarded full pre-retirement survivor pension 

benefit to an alternate payee." PBGC explained that you will have 

to repay most of the benefit amounts you received after the Plan 

terminated. 

Your March 7, 2004 appeal letter stated that: 

PBGC's determination that I am not entitled to the monthly amount that I have been 

receiving from the above Pension Plan is unfounded. After a thorough review of my case 

by the Polamid Pension Plan Depattment. 1 received documentation that I would be getting 

this monthly amount for the rest of my life. Therefore, I expect to keep receiving this monthly 

entitlement in the future." 

Discussion 

PBGC provides pension insurance according to the Employee 

Retirement Income Security Act of 1974, as amended (ERISA). If a 

plan sponsor is unable to support its pension plan, PBGC becomes 

trustee of the plan and pays pension benefits as defined in the 

plan subject to limitations set by Congress under ERISA. 

Records available to the Appeals Board reveal that on 

August 15, 2002, PBGC issued a Notice of Determination to the 

Plan's former sponsor (Polaroid) that PBGC would become trustee of 

the Plan. The records also show that the Plan's termination date 
6 .. is July 31, 2002 and that PBGC became trustee of the Plan on 

PI 

? .. September 12, 2002. 

5: 

31 (1) was born 

PBGC records show 

on - 

that your late 1 (2) husband, 

began working 

71 

for Polaroid 

on April 12, 1971, (3) quit working for Polaroid on November 30, 

1988, (4) was divorced from his previous spouse (the Alternate 

Payee) on or after December 31, 1988, (5) married you sometime in 

or around 1992, and (6). died on January 15, 1998. 

The record also shows that a Qualified Domestic Relations 

Order (QDRO) relating to benefits payable under the 

Plan was approved by Associate Justice Stephen C. Steinberg of the 

Probate and Family Court Dept. of the Commonwealth of Massachusetts 

on November 20, 1997 in the matter of divorce 

from the Alternate Payee. PBGC records also show that the QDRO was 

reviewed and approved by Polaroid on December 22, 1997. 

The 1997 QDRO states that the Alternate Payee "is entitled to 

receive the full Pre-retirement Survivor Annuity for the 

Participant's Accrued Benefit as accrued through 12/31/88." 

Because the Pre-retirement Survivor Annuity is the only 

benefit payable under the Plan as a result of your husband's death 

and because the record before the Appeals Board indicates that your 

late husband did not accrue any additional benefits under the Plan 

as a result of employment with Polaroid after December 31, 1988, 

the only benefit payable under the Plan is payable to the Alternate 

Payee. 

We regret that Polaroid made an apparent error in paying you 

a benefit after your husband died, but PBGC is not authorized by 

ERISA to pay benefits that are not payable under the terms of a 

terminated plan. 

Please note that PBGC's Recovery Policy requires PBGC to seek 

repayment of all amounts paid to you after the date on which PBGC 

issued its Notice of Determination (August 15, 2002). The Appeals 

Board has no authority to change PBGC policy. 

Decision 

Having applied Plan provisions and PBGCns rules to the facts 

in this case, the Appeals Board decided that we must deny your 

appeal. This decision is the agency's final action regarding your 

appeal. You may, if you wish, seek court review of this decision. 

PLEASE NOTE that PBGC will always, even after an appeal is 
.. closed, consider any new, specific evidence that you present (for 

$ example, evidence that your husband was rehired by Polaroid after .. 

e December 31, 1988) showing you may be entitled to a PBGC benefit. 

If you have or obtain any such evidence, please send it to PBGC, 1 Attn: Insurance Operations Department, P.O. Box 151750, 

Alexandria, Virginia 22315-1750. If you need other information 

from PBGC, please call the Customer Contact Center at 1- 

800-400-7242. 

Sincerely, 

- 

Michel Louis 

Appeals Board Member 

Printed on June 23, 2004 at 2:42 PM