In a significant legal development, Wells Fargo has secured preliminary approval for an $84 million settlement addressing allegations related to its employee stock ownership plan. The lawsuit accused the financial institution of breaching its fiduciary duties under the Employee Retirement Income Security Act (ERISA) by investing participants’ retirement savings in the bank’s own underperforming stock….
Recent discussions in legal and political circles have placed the spotlight on concerns surrounding the Employee Retirement Income Security Act (ERISA) and its litigation processes. A group of House Republicans and legal experts has raised alarms regarding what they perceive as potential abuse of ERISA-related litigation by plaintiffs. They argue that some lawsuits may exploit…
In a recent legal skirmish, Husch Blackwell LLP has responded assertively to accusations leveled by a former partner, who alleged that the firm violated the Employee Retirement Income Security Act (ERISA). The legal contention arose when the ex-partner claimed improper withholding of retirement contributions, mischaracterizing these as participant inputs rather than identifying them correctly as…
The U.S. Department of Labor has submitted a motion to the Fifth Circuit to dismiss appeals related to Biden-era investment advice regulations, which had broadened the definition of a fiduciary under the Employee Retirement Income Security Act (ERISA). These regulations, which sought to ensure greater fiduciary accountability, were initially blocked by two Texas courts in…
Husch Blackwell LLP is currently engaged in a legal defense concerning its 401(k) plan management after a lawsuit was filed by former partner Jerome A. McCluskey. The ex-partner alleges that the firm mishandled its retirement plan offerings, leading to excessive fees and financial mismanagement. The firm, however, maintains that its 401(k) processes comply with all…
The recent foray of private equity firms into the lucrative realm of 401(k) plans is set to create an unexpected financial beneficiary: high-earning lawyers. These legal professionals are positioned to profit significantly as private equity expands its footprint in the retirement savings industry, translating into more complex legal needs and thus, increased demand for specialized…
Wells Fargo has agreed to an $84 million settlement to resolve claims in an Employee Retirement Income Security Act (ERISA) class action lawsuit, marking a significant development in the bank’s legal journey. This suit alleged that the company mishandled its employee 401(k) plan by retaining high-cost, poorly performing investment options, negatively impacting employee retirement savings….
The European Court of Human Rights (ECtHR) recently mandated that Russia compensate Georgia over 253 million euros, attributable to human rights violations stemming from the Russian “borderisation” process in Abkhazia and South Ossetia, regions in conflict with Georgia. This development is part of a protracted legal struggle over accountability for actions contravening international human rights…
Simpson Thacher & Bartlett LLP is taking steps to navigate the nascent field of private equity investments within 401(k) retirement plans. Traditionally, private equity has been largely separated from individual retirement accounts, but shifts in financial regulations are paving the way for new opportunities. Part of this shift can be attributed to guidance from the…
A recent ruling has ordered a private equity fund to pay nearly $3 million in liabilities due to pension obligations. This decision highlights the often complex nexus between private equity firms and the financial responsibilities they assume when acquiring portfolio companies. The specific case involves a fund managed by a prominent private equity firm, which…
Arnall Golden Gregory LLP has been hit with a $50,000 fine after a federal court in California found the firm improperly shared confidential documents with the U.S. Department of Labor. The sensitive documents were supplied by United Behavioral Health in the context of a class action lawsuit. The case centers on allegations that United Behavioral…
Cigna Health and Life Insurance Company has agreed to a $5.7 million settlement to resolve a class-action lawsuit alleging the insurer misrepresented out-of-network providers as in-network within its directories. This case underscores the growing scrutiny over the accuracy of insurer provider directories, often referred to as “ghost networks,” which can mislead patients about available in-network…
The recent decision involving American Airlines and its 401(k) plan may pave the way for an increase in legal challenges related to environmental, social, and governance (ESG) investment options within retirement plans. The case, dismissed by the court, centered on allegations that the company violated its fiduciary duties by offering an ESG fund allegedly linked…
Rachel Faye Smith, a distinguished figure in the legal profession and the current Practice Group Chair at Morrison Foerster, offers a refreshing perspective on career development, particularly for those navigating the intricacies of legal practice. Speaking candidly about her unconventional career path, Smith emphasizes the importance of maintaining a broad view and remaining receptive to…
On September 16, 2025, a class action lawsuit was filed in the U.S. District Court for the Western District of Missouri against Husch Blackwell LLP and its Executive Board members. The suit alleges that the firm violated the Employee Retirement Income Security Act (ERISA) by delaying the transfer of employees’ 401(k) contributions to the retirement…
Husch Blackwell LLP, a prominent law firm with offices across the United States, is facing a class-action lawsuit alleging mishandling of its 401(k) plan. The suit, initiated by a former employee, claims that the firm and its leadership failed to uphold their fiduciary duties by permitting excessive fees and expenses within the plan. This legal…
A surge in cases under the Employee Retirement Income Security Act (ERISA) has caught the attention of legal professionals, as emerging lawsuits reveal unique angles on traditional benefits disputes. These cases highlight the evolving nature of employee benefit management in the face of changing workplace landscapes. Recent litigation has revealed several novel claims that could…
Schnader Harrison Segal & Lewis, a once-renowned law firm, has recently concluded litigation concerning its retirement plan, settling for $675,000. This legal battle marks one of the final chapters for the defunct firm, which had been grappling with financial issues and eventually shuttered its operations. The settlement has been reached as part of efforts to…
Schnader Harrison Segal & Lewis LLP has agreed to a $675,000 settlement to resolve a proposed class action alleging the firm misused retirement contributions from non-equity partners to support its operations during financial difficulties. The settlement motion was filed on August 12, 2025, in the U.S. District Court for the Eastern District of Pennsylvania. The…
The question of whether employers are willing to diversify 401(k) plans with cryptocurrency investments is gaining traction within corporate financial circles. As traditional investment vehicles face increased scrutiny and the digital asset market grows, companies are evaluating the potential benefits and risks associated with integrating cryptocurrency into retirement portfolios. Recent discussions have highlighted the innovative…
The recent ruling in the case involving Cornell University has generated significant implications for plaintiffs navigating Employee Retirement Income Security Act (ERISA) litigation. The judgment, which emerged from the Second Circuit, underscores new challenges plaintiffs may face when alleging breaches of fiduciary duty related to retirement plan management. Central to the Cornell ruling was the…
The Second Circuit Court has opted not to overturn a previous ruling subjecting Morgan Stanley’s deferred compensation plans to the Employee Retirement Income Security Act (ERISA). Morgan Stanley had contended that U.S. District Judge Paul Gardephe improperly addressed a key substantive issue during the review of a request to arbitrate a case concerning a group…
HP Inc. has received backing in its ongoing appeal before the Ninth Circuit concerning the management of forfeited funds within its 401(k) plan. A nonprofit law firm has filed an amicus brief supporting HP’s position, asserting that the company’s practices align with legal standards. The dispute centers on HP’s allocation of forfeited employer contributions—funds from…
Recent legal developments have seen a series of class action lawsuits challenging how employers utilize forfeited funds within 401(k) plans. These cases primarily focus on whether using forfeitures to offset future employer contributions violates the Employee Retirement Income Security Act (ERISA). Courts have increasingly ruled in favor of employers, affirming the legality of this practice….
Barnes & Thornburg has made a significant addition to its labor and employment department with the appointment of Paul Wilhelm as a partner, stationed in the firm’s Grand Rapids and Ann Arbor offices in Michigan. This development underscores the firm’s ambition to enhance its capabilities in employment law by bringing on a highly skilled litigator…