A review of the litigation environment and ongoing class action lawsuit and settlement news occurring in the retirement plan industry.
Vail Corporation Excessive Fee Case
A participant in the Vail Resorts 401(k) Retirement Plan has filed a lawsuit against the company, claiming that plan fees were excessive compared to those of comparable sized 401(k) Plans, lowering net returns to participants. A “commercially available program” was used to review the Plan’s “performance, comparable cost, and other key indicators.” More specifically, 18 […]Read More
Princeton University 403(b) Plan Settlement
This excessive fee case has reached conclusion, with an agreement in principle on settlement terms, inclusive of “therapeutic relief.” As with many higher education 403(b) plans, Princeton defendants were accused of excessive fees for recordkeeping services by contracting with two recordkeepers – TIAA-CREF and Vanguard- instead of one, causing duplicative and unreasonable fees for recordkeeping […]Read More
JP Morgan 401(k) Plan Excessive Fee Settlement
The parties in this class action lawsuit covering 300,000 participants in the $20 billion JP Morgan 401(k) Plan have reached an “agreement in principle to settle on a class-wide basis.” The case alleges that JP Morgan failed to use ‘“their expertise and the Plan’s bargaining power”’ to “secure lower fees” for the investment options in […]Read More