A review of the litigation environment and ongoing class action lawsuit and settlement news occurring in the retirement plan industry.
American Trust Account Security Lawsuit
In this case, plaintiffs – a plan participant and plan sponsor of the 112 participant Mandli Communications 401(k) Plan -allege that the Plan’s trustee, American Trust, permitted an unauthorized distribution from the participant’s account in response to a request from an unknown party. According to documentation provided by the plaintiffs, American Trust operates as a […]Read More
DST Systems Settlement
This lawsuit, involving the DST Systems Inc. Profit Sharing and 401(k) Plan offering of the Sequoia Fund has reached preliminary settlement. The Sequoia Fund was offered in the Plan and as a component of a non-participant directed account within the Plan, and was heavily invested in Valeant Pharmaceuticals International Inc., the stock at one time […]Read More
Takeda Pharmaceuticals Case
This case involves the Northern Trust Focus Funds, a suite of target date co-mingled investment products (CITs) offered within the Takeda Pharmaceuticals USA Inc. Savings and Retirement Plan. The aforementioned funds replaced the Fidelity Freedom Funds in the Plan’s investment menu only one year after introduction to the marketplace. The lawsuit claims that the Trusts […]Read More