Substantial Employer Law and Legal Definition
According to 29 USCS § 1301 [Title 29. Labor; Chapter 18. Employee Retirement Income Security Program; Plan Termination Insurance; Pension Benefit Guaranty Corporation], the term "substantial employer", for any plan year of a single-employer plan, means "one or more persons--
(A) who are contributing sponsors of the plan in such plan year,
(B) who, at any time during such plan year, are members of the same controlled group, and
(C) whose required contributions to the plan for each plan year constituting one of--
(i) the two immediately preceding plan years, or
(ii) the first two of the three immediately preceding plan years,total an amount greater than or equal to 10 percent of all contributions required to be paid to or under the plan for such plan year."