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Claims of Late Enrollment in Pension Schemes Can Be Time-Barred
Precedential Decision by Judiciary or Regulatory Agency
Authors: Ole Kristian Olsby, Partner, and Veslemøy Lode, Associate – Littler Norway
On September 7, 2023, the Supreme Court ruled on an employer’s duty to pay contributions to an occupational pension scheme. An independent contractor had previously been reclassified as an employee by the court. The question before the Supreme Court was whether the claim was within the scope of Section 2 of the Limitation Act, which provides that monetary claims are time-barred after three years. The Supreme Court found that the claim was subject to the Section 2 limitation, which implied that late enrollment could only take place from a point in time three years before the limitation period was interrupted by a writ of summons, and not from the time this person was (wrongfully) hired as a contractor.
This means that, under Section 2 of the Limitation Act, claims for failed enrollment in pension schemes are limited to a period of three years before the legal action is initiated.
