A review of the litigation environment and ongoing class action lawsuit and settlement news occurring in the retirement plan industry.
Anthem 401(k) Plan Lawsuit
Participants in the Anthem, Inc. 401(k) Plan have filed a lawsuit against plan fiduciaries alleging a breach of fiduciary duties due to excessive investment management and administrative fees. The Anthem 401(k) Plan, a $5 billion plan, offers primarily Vanguard investment options and employs Vanguard as plan record keeper. Plaintiffs allege Anthem fiduciaries selected higher priced […]Read More
Principal Lawsuit Settlement
Principal has agreed to pay $3 million into a settlement fund (inclusive of attorney’s fees) and reduce plan fees by at least $8.1 million, reducing administrative expenses to its own company sponsored retirement plans from 14 to 7 basis points. Principal also agreed to add a self-directed brokerage window to its defined contribution plans and […]Read More
Novant Health Lawsuit Settlement
A settlement agreement has been filed in the suit against Novant Health concerning excessive fees and other ERISA fiduciary breaches. The settlement requests $32 million in monetary damages as well as Novant’s agreement to adopt a new investment policy statement and conduct a competitive bidding process for investment consulting, participant education services, and record keeping […]Read More