In recent years, there has been a proliferation of lawsuits alleging breach of fiduciary duty against sponsors of 401(k) plans and service providers to those plans under the Employee Retirement Income Security Act, or ERISA. In a recent case, the Eighth Circuit held that a plan service provider did not violate ERISA despite having the ability to unilaterally set a low interest rate on a proprietary investment it offered to the employer’s 401k plan, and then profited from participants who invested in it.
Read more »Tag: erisa
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Eighth Circ. Finds Financial Conflict of Interest Not Always Sufficient to Constitute Breach of ERISA Fiduciary Duty of Loyalty Posted on: October 20, 2022 In: Labor & Employment
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ERISA: Everything Ridiculous Imagined Since Adam, But Important Nonetheless Posted on: September 20, 2021 In: Labor & Employment
ERISA, also known as The Employee Retirement Income Security Act of 1974, is sometimes as confusing to judges as it is to lawyers. Therefore, it is not surprising that both large and small employers often fail to familiarize themselves with the basic tenets of ERISA before providing health insurance and other “welfare” benefits to their employees.
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