02.03.2021 03.16 CST

Plaintiffs’ must use truly comparable benchmarks in claiming imprudent fiduciary decisions.

Fiduciary Litigation Update

Fiduciary Litigation Update

New court rulings may benefit employers.

A recent court case provides some potentially valuable guidance into ways plan fiduciaries can approach fiduciary litigation. Most importantly, the case could force plaintiffs to focus on truly comparable situations in alleging that a plan’s actions were imprudent--this would limit plaintiffs’ ability to use, as benchmarks of prudent behavior, general industry data or different categories of investments (such as comparing index funds to actively managed funds).

07.02.2018 07.00 CST

A new chapter may be opening in the ongoing saga of litigation against plan fiduciaries. A new target in this sage - plan vendors’ use of participant confidential financial to facilitate the cross-sales of non-plan financial products.

Fiduciary Lawsuits: A New Chapter Opening?

Fiduciary Lawsuits: A New Chapter Opening?

Latest Complaint Against NYU Raises New Challenges

Plaintiffs in the lawsuit against the NYU retirement plans have filed an amended complaint. This new complaint challenges the use, by the plans’ recordkeeper, of participant confidential financial data and the recordkeeper’s cross-selling of non-plan financial products to plan participants.

22.09.2017 10.04 CDT

: It is for plan administration to diverge from plan documents. It is also risky.

Do What You Say You Are Going to Do

Do What You Say You Are Going to Do

Employers Paying the Cost for Not Following Plan Documents.

Two recent cases (Acosta v. Macy’s, Inc. and Erwood v. Life Ins. Company of North America) serve as reminders of how easy it is for plan administrative practices to diverge from plan documents. The cases also illustrate the risks of allowing this to happen.