News & Analysis as of

Employee Benefits Excessive Fees Breach of Duty

Jackson Lewis P.C.

Sixth Circuit Affirms Dismissal of Excessive Fee Case Against DENSO International

Jackson Lewis P.C. on

The Sixth Circuit recently granted an employer win in an ERISA excessive fee case when it affirmed the dismissal of a proposed class action brought by current and former employees of DENSO International America, Inc., a...more

Ary Rosenbaum - The Rosenbaum Law Firm P.C.

Northrop Grumman is target for another Schlicter case

If there’s a Mount Rushmore of ERISA class-action litigators, you better believe Jerry Schlichter’s face is carved into it—probably right next to a 408(b)(2) disclosure and a stack of mutual fund fee charts. And once again,...more

Carlton Fields

Considerations for Plan Sponsors in the Wake of Cunningham v. Cornell

Carlton Fields on

Excessive fee cases against plans governed by the Employee Retirement Income Security Act (ERISA) have been on the rise for the last decade. ERISA litigation is expanding with novel theories such as forfeiture litigation....more

Dorsey & Whitney LLP

The Eighth Circuit’s “Meaningful Benchmark” Requirement for 401(k) “Excessive Fee” Lawsuits Continues to Generate Dismissals

Dorsey & Whitney LLP on

On August 21, 2023, the U.S. District Court for the District of Minnesota largely dismissed—for a second time—a putative ERISA class action challenging “excessive” fees and “poor” performance in a 401(k) plan. Fritton v....more

Jackson Lewis P.C.

ERISA Fiduciary Breach Action Narrowly Hurdles Motion to Dismiss in Minnesota

Jackson Lewis P.C. on

An ERISA action alleging breaches of fiduciary duty recently cleared the pleadings stage in Minnesota district court, narrowly avoiding a complete dismissal. See Schave v. CentraCare Health Sys., No. 22-cv-1555 (WMW/LIB),...more

Ary Rosenbaum - The Rosenbaum Law Firm P.C.

Nestle on verge of winning most of their case

A U.S. District Court federal magistrate judge in the Eastern District of Wisconsin mostly sided with Nestlé USA Inc by recommending the dismissal. of a class action lawsuit alleging fiduciary negligence and self-dealing in...more

Fox Rothschild LLP

In ERISA Excessive Fee Cases, the Pendulum May Be Swinging Back In Favor of Plan Sponsors

Fox Rothschild LLP on

A new decision from the U.S. Court of Appeals for the 7th Circuit in a so-called “excessive fee” case is good news for plan sponsors, particularly following the Supreme Court’s ruling earlier this year in Hughes v....more

Groom Law Group, Chartered

Sixth Circuit Addresses Key Issues in Excessive Fee Lawsuits

On June 21, 2022, the Sixth Circuit in Smith v. CommonSpirit Health unanimously affirmed the decision of the Eastern District of Kentucky dismissing with prejudice a putative class representative’s ERISA fiduciary breach...more

Jackson Lewis P.C.

New York Federal District Court Dismisses 401(k) Fee Class Action

Jackson Lewis P.C. on

A New York district court recently dismissed, without prejudice, a 401(k) plan participant’s putative class action complaint alleging breaches of fiduciary duty. The plaintiff alleged that the plan fiduciary-defendants...more

Goodwin

ERISA Litigation Update - April 2022

Goodwin on

Welcome to Goodwin’s ERISA Litigation Update. Litigation involving ERISA-governed benefits plans has exploded in recent years. Lawyers in our award-winning ERISA Litigation practice have extensive experience litigating these...more

Keating Muething & Klekamp PLL

Benefits Monthly Minute - February 2022

The February Monthly Minute examines the DOL’s recent focus on mental health parity compliance, the Hughes vs. Northwestern University retirement plan fee litigation, and the latest COVID-19 testing coverage guidance....more

Proskauer - Employee Benefits & Executive...

District Court Declines to Dismiss 401(k) Fee Litigation Case in First Decision Post-Hughes

In the first decision since the Supreme Court’s ruling in Hughes v. Northwestern Univ., No. 19-1401, 595 U.S. ___ (U.S. Jan. 24, 2022), a Georgia federal district court held in favor of plaintiffs and declined to dismiss...more

Fox Rothschild LLP

SCOTUS Revives ERISA Participants’ Excessive Fee Claims Against University

Fox Rothschild LLP on

The U.S. Supreme Court ruled in favor of participants in the Northwestern University retirement plans, breathing life again to their breach of fiduciary duty claims under the Employee Retirement Income Security Act (ERISA). ...more

Goodwin

ERISA Litigation Update - December 2021

Goodwin on

Welcome to Goodwin’s ERISA Litigation Update. Litigation involving ERISA-governed benefits plans has exploded in recent years. Lawyers in our award-winning ERISA Litigation practice have extensive experience litigating these...more

Bass, Berry & Sims PLC

Supreme Court Hears Oral Argument: Are Allegations of Excessive Retirement Plan Fees Sufficient to State a Claim under ERISA?

Bass, Berry & Sims PLC on

On December 6, the U.S. Supreme Court heard oral argument in the case of Hughes v. Northwestern University. The question at issue is whether allegations that a defined-contribution retirement plan paid fees that substantially...more

Goodwin

ERISA Litigation Update - July 2021

Goodwin on

Welcome to Goodwin’s ERISA Litigation Update. Litigation involving ERISA-governed benefits plans has exploded in recent years. Lawyers in our award-winning ERISA Litigation practice have extensive experience litigating these...more

Goodwin

ERISA Litigation Update - April 2021

Goodwin on

Welcome to Goodwin’s ERISA Litigation Update. Litigation involving ERISA-governed benefits plans has exploded in recent years. Lawyers in our award-winning ERISA Litigation practice have extensive experience litigating these...more

Proskauer - Employee Benefits & Executive...

District Court Dismisses ERISA Fee Litigation against 401(k) Plan for Failure to Exhaust

A federal district court in Georgia recently dismissed claims brought by a participant in the Rollins, Inc. 401(k) Plan (the “Plan”), on behalf of a putative class of all plan participants, alleging that defendants breached...more

Ogletree, Deakins, Nash, Smoak & Stewart,...

Wisconsin Becomes a Hotbed for ERISA Class Action Claims

In recent months, Wisconsin federal courts have witnessed a dramatic increase in class litigation raising breach of fiduciary duty claims under the Employee Retirement Income Security Act of 1974 (ERISA). These claims target...more

Proskauer - Employee Benefits & Executive...

“Divane Intervention”: ERISA 401(k) Plan Investment Claims Dead On Arrival

A federal district court in Illinois recently dismissed “excessive fee” and “imprudent investment” claims against the plan fiduciaries of the CareerBuilder 401(k) plan fiduciaries, relying largely on the Seventh Circuit’s...more

Proskauer - Employee Benefits & Executive...

Arbitrator To Decide Whether ERISA Fiduciary Claims Should Be Arbitrated

A federal district court in Texas referred to arbitration a 401(k) plan participant’s ERISA breach of fiduciary duty action based on allegations that certain plan investment options charged excessive fees...more

Proskauer - Employee Benefits & Executive...

Third Circuit Resuscitates Claims Against University 403(b) Plan Fiduciaries

Over the past several years, the ERISA plaintiffs’ bar has targeted university-sponsored 403(b) plans, arguing that the plan fiduciaries breached their fiduciary duties and engaged in prohibited transactions in connection...more

McDermott Will & Schulte

ERISA Health Plan Fiduciaries Defeat DOL’s Excessive Fee Claims

In one of the first ERISA cases to address claims against fiduciaries for excessive health plan fees, the court entered judgment in favor of the defendants on all counts. The decision addresses health plan fiduciary standards...more

McDermott Will & Schulte

ERISA Plan Controversy: Rising Stakes for Those Unprepared

WHAT’S THE EXPOSURE? • Settlements up to $140 million • Last year alone, settlements of $17 million, $22 million, $24 million, and among others • Plaintiffs’ lawyers generally get 1/3 of the settlement amounts • Plaintiffs’...more

Seyfarth Shaw LLP

ERISA University Excessive Fee Cases Take Another Hit

Seyfarth Shaw LLP on

Seyfarth Synopsis: Excessive fee complaint dismissed because the diverse selection of funds available to plan participants negates any claim that Defendants breached their duties of prudence simply because cheaper funds were...more

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