Principal Issues: Will the payment of prior years pension benefits by an RPP to a plan beneficiary after the death of the annuitant, qualify as a "qualifying retroactive lump sum payment" for purposes of section 110.2 of the Act in the following two scenarios: 1) A plan member's spouse receives a lump sum in respect of missed periodic pension payments of prior years that were due to the member before his or her death? 2) Where the RPP provides the continuation of benefits to a spouse after the death of the member, this member's spouse receives a lump sum in respect of these missed continuation benefit payments?
Position: 1) No 2) Question of fact, but likely yes
Reasons: 1) As the member's spouse was not entitled to receive the benefits from the RPP in the year to which benefits relate, the conditions of 110.2 have not been met. 2) As the spouse had entitlement to receive the pension benefits as the continuation of benefits were due to the spouse in the prior year, the provisions of 110.2 may be applicable, provided the other conditions of the provision have been satisfied