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The Plan Administrator and each investment may, but only on a uniform and consistent basis, impose reasonable restrictions on the frequency with which all investors may give investment directions. In addition to (and not by limitation upon) such restrictions, the investor cannot give more than one investment direction in any valuation period and the latest investment direction in a valuation period cancels all earlier inconsistent investment directions in that valuation period.
(Ord. NIRC 97-1, passed 1-15-1997)
During the participant’s life, the participant shall direct the investment of his or her account. During the participant’s disability or incompetence, the person who has authority to act for the participant under a power-of-attorney accepted by the Plan Administrator or the agent according to § 35.037 or, if there is no such agent, the person that is the duly appointed and currently serving conservator or guardian of the estate of the participant shall direct the investment of the participant’s account. After the participant’s death, the beneficiary shall direct the investment of his, her or its account or each beneficiary shall direct the investment of his, her or its segregated account. A participant or beneficiary may delegate investment responsibility for all of his, her or its account to an agent or attorney-in-fact by giving written notice acceptable to the Plan Administrator and furnishing a power-of-attorney that is accepted by the Plan Administrator according to § 35.037. A participant or beneficiary cannot delegate investment responsibility for part of his, her or its account. Solely for the purposes of this subchapter and solely for convenience of reference, the person that has the duty or holds a power to give investment direction is referred to as the “investor”.
(Ord. NIRC 97-1, passed 1-15-1997)
Each investment direction shall be in writing and shall not be proper unless the writing is signed by the investor. Except as otherwise specified by the agent’s investment direction procedure, “writing” and “signed” shall be construed according to § 35.045, subject to any security procedures required by the agent or the issuer. Without limiting the comprehensive effect of the above, a signed writing includes, to the extent permitted by the applicable investment(s), a proper telephone communication made in the manner prescribed by the agent and the issuer.
(Ord. NIRC 97-1, passed 1-15-1997)
(A) The investor shall give his, her or its investment direction only to the Plan Administrator, except as otherwise permitted by a uniform written procedure adopted by the Plan Administrator. Notwithstanding that this plan’s procedure may permit the recordkeeper to receive investment instructions, any investment direction is not effective unless and until actually delivered in good form to and accepted by the Plan Administrator.
(B) For any investment, notwithstanding any service or assistance that may be provided by the agent, only the issuer(s) has authority to accept an investment direction and any direction is effective only when and as so received. Nothing in this plan or otherwise shall be construed to enlarge or augment any legal obligation of the agent.
(Ord. NIRC 97-1, passed 1-15-1997)
Notwithstanding any provision or privilege for investment direction, if, consistent with § 34.034, the participant or if, consistent with § 34.059, the beneficiary has selected more than one distribution commencement date, he, she or it is not permitted to make any investment transfer from any portion or investment of his, her or its account to any other portion or investment of his, her or its account that has a different distribution commencement date.
(Ord. NIRC 97-1, passed 1-15-1997)
(A) Except as provided by § 32.028, the Plan Administrator must accept every proper investment direction and the Plan Administrator is obligated to comply with such proper investment direction. Without limiting the comprehensive effect of the above, the Plan Administrator is not under any duty to question any investment direction of a participant or beneficiary (or his, her or its agent), or to make any investment recommendations, or to provide to any person any investment advice or investment education, or to provide any investment information.
(B) If the employer or the Plan Administrator or the plan-trustee provides any investment education or investment information or investment advice of any kind, the employer and the Plan Administrator and the plan-trustee shall not be liable for any loss or liability arising out of such investment education or investment information or investment advice.
(Ord. NIRC 97-1, passed 1-15-1997)
The Plan Administrator or any person may decline to implement any investment direction if:
(A) The person receiving the investment direction knows (or a court order has determined) that the investor is legally incompetent;
(B) The Plan Administrator determines (under a reasonable written procedure uniformly applied to all investors) that the investment direction could result in a loss in excess of the applicable account (or sub-account) balance;
(C) The investment direction would be contrary to this plan;
(D) The investment direction would be contrary to a court order, even if the court order is not a plan-approved domestic relations order;
(E) The investment direction would jeopardize the plan’s (or the plan-trust’s) tax qualified status;
(F) The investment direction would generate income that would be taxable to the plan-trust;
(G) The investment direction would result in a prohibited transaction within the meaning of I.R.C. § 503; or
(H) The investment direction would cause the plan-trustee or any person to maintain the indicia of ownership of an investment or any assets of the plan outside the jurisdiction of the district courts of the United States or outside the jurisdiction specified by the plan-trust agreement.
(Ord. NIRC 97-1, passed 1-15-1997)
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