Common use of DISTRIBUTION OF EXCESS AGGREGATE CONTRIBUTIONS Clause in Contracts

DISTRIBUTION OF EXCESS AGGREGATE CONTRIBUTIONS. If any Employer Matching Contributions are made to the Account under an Employer-sponsored employee benefit plan, and this is not a Governmental Plan as defined in Section 1.17 of this Custodial Agreement, and the Employer’s plan does not satisfy the nondiscrimination tests of Section 401(m) of the Code for a plan year, the Employer (or the Plan Administrator if the Employer-sponsored plan is an ERISA Plan) may direct the Custodian to distribute the amount of any “excess aggregate contributions” (as defined in Section 401(m)(6)(B) of the Code) allocated to the Custodial Account on behalf of the Participant for the plan year, adjusted for any income or loss allocable thereto, to the Participant no later than 12 months following the close of such plan year in accordance with Section 401(m)(6) of the Code and the regulations thereunder. B Responsibility to Correct Excess Aggregate Contributions. The Employer or the Plan Administrator shall have the responsibility for determining whether any Employer Matching Contributions to the Account constitute excess aggregate contributions within the meaning of Section 401(m)(6)(B) of the Code and for directing the Master Custodial Administration Agreement Administrator to instruct the Custodian to distribute any such excess aggregate contributions to the Participant in accordance with the procedures of Section 401(m)(6) of the Code and the regulations thereunder. Neither the Master Custodial Administration Agreement Administrator nor the Custodian nor any affiliate shall have any responsibility for determining whether any contributions to the Account constitute excess aggregate contributions or ensuring that any excess aggregate contributions are timely corrected.