State Local Pension

The New York State of Appeals held that a state retirement pension can be considered marital property and therefore the state government will honor a QDRO that is properly prepared and then issued to it by a court within the state. However, it is important to note that while the government will accept the document to divide a state pension or benefit, as a government plan, the same benefit is not protected by the Employee Retirement Income Security Act which only applies to private pensions.

Therefore, the only person that holds natural rights of membership to any plan within the State Retirement System is the member themselves. The spouse of the pension holder does not have any protections or rights unless outlined in the submitted and
approved QDRO. If the rights are not explicitly outlined in the QDRO following the divorce they will have no rights or protections in regards to the government pension plan in question. Therefore, it is vital that a knowledgeable firm draws up the QDRO and includes protective language so that the ex-spouse is protected throughout the division of the pension.

Northstar QDRO has experience working with both local and state government pension holders to craft QDROs that are acceptable and protective. The language and content of a QDRO are extremely important, so allow us to draft the QDRO for your clients following the dissolution of their marriage to ensure your firm and client are protected.