Retirement Plan Mismanagement
JPMorgan Chase & Co. and other JPMorgan companies are settling class actions alleging they violated provisions of the Employee Retirement Income Security Act (ERISA) and breached their fiduciary duties for the way they managed 401(k) investments in certain JPMorgan Stable Value Funds.
Providence Health & Services is electing to settle a class action claiming it violated its fiduciary duties with respect to tis 401(a) Service Plan, its Multiple Employer 401(k) Plan, and its 403(b) Value Plan. The complaint alleged that those in charge of the plan made imprudent selection of investment options when there were superior, less expensive options available.
Do you live in California and work for a company with more than 500 employees? Do you participate in its 401(k) or other retirement plan? Retirement plans for such large companies are governed by the Employee Retirement Income Security Act (ERISA), and they must meet certain requirements. However, not all of them do—and that may eventually affect how much money you have to retire on.
Entities that handle retirement plans have a fiduciary duty to the plan and its participants. However, the complaint for this class action alleges that West Corporation and the Retirement Committee of the West Corporation Employee 401(k) Retirement plan did not fulfill the duties of a fiduciary because they permitted fees for the plan to be too high.
Participants in 401(k) plans must often pay fees to the mutual funds they invest in. The complaint for this class action alleges that various Fidelity companies required kickbacks from the mutual funds in its retirement plans, which then increased fees or decreased profits for the funds. The complaint claims that these secret payments violate the provisions of the Employee Retirement Income Security Act (ERISA).
This settlement resolves a class action brought against BB&T Corporation, BB&T Corporation Employee Benefits Plan Committee, BB&T Corporation Board of Directors, Compensation Committee of the Board of Directors of BB&T Corporation, and a long list of individuals.
Why would a company retirement plan sell securities at below fair market value? The complaint for this class action alleges that company insiders, some of whom had fiduciary duties to the plan, stood to benefit from the sales—unlike the participants in the plan, who suffered damages. The complaint brings claims under the Employee Retirement Income Security Act of 1974 (ERISA).
Verizon Communications, Inc. maintains four participant-directed, defined-contribution 401(k) retirement plans for its employees, with more than $30 billion in assets. The complaint for this class action alleges that Verizon and the other defendants in this case breached their fiduciary duties in their handling of the investments in the plans, with overly-complex, risky, and inappropriate investment options.
This class action concerns the investments in the Frontier Communications 401(k) Savings Plan. The complaint alleges that Frontier Communications Corporation and its Retirement Investment & Administration Committee did not fulfill their fiduciary duties to the plan, including maintaining adequate diversification, thus violating the Employee Retirement Income Security Act (ERISA).
This settlement resolves a class action against Fujitsu Technology and Business of America, Inc. Shepher Kaplan, LLC, and others with a fiduciary relationship with the Fujitsu Group Defined Contribution and 401(k) Plan.