A review of the litigation environment and ongoing class action lawsuit and settlement news occurring in the retirement plan industry.
BB&T Excessive Fee Settlement
Two weeks before trial and after three years of litigation, a preliminary settlement has been reached resulting from “arm’s length” negotiations in this excessive fee case, with the assistance of a national mediator. Settlement provides for a $24 million settlement fund, allocated to participant monetary recoveries as well as class counsel attorneys, class representatives, and […]Read More
Citigroup Self-Dealing Settlement
A $6.9 million settlement has been approved after being as a result of “arm’s-length” negotiations between parties. Plaintiffs in the case had alleged that Citigroup 401(k) Plan fiduciaries violated ERISA by selecting investments and plan services offered and managed by Citigroup subsidiaries or affiliates, therefore generating “substantial revenue” for Citigroup at the expense of 401(k) […]Read More
ConAgra Plan Document Interpretation Lawsuit
Plaintiffs in the ConAgra Brands $1.4 billion, 13,000+ participant Retirement Plan have filed a lawsuit claiming that CongAgra failed to follow the plan document, specifically with regard to the definitions of “compensation and permissible contribution”. Plaintiffs further claim that the defendants’ interpretation of plan language was motivated by the “desire to save money”, denying millions […]Read More