Court Orders Fiduciaries to Restore $6.5 Million to ESOP
The court found as a fiduciary to the ESOP, Evolve Bank failed to notice, question or investigate several red flags...
Tag: ESOP
Workers in ESOPs Have Double the Retirement Savings
ESOP participants have an average retirement balance of $170,326, more than twice the $80,339 that other workers have saved
Reliance Trust Settles DOL Lawsuit Over ESOP Valuation
The lawsuit alleged that employee stock ownership plan participants overpaid for company stock.
Plaintiffs’ Prudence Claims Snapped in General Cable Stock Drop Suit
In dismissing the stock drop challenge, the judge offers an illuminating review of what is required by ERISA’s duty of...
‘Prudence’ and ‘Loyalty’ Feature in Second Rejection of Wells Fargo Stock Drop Suit
While they won the day, defendants unsuccessfully argued that the Dudenhoeffer pleading standards should be applied not only to prudence claims, but...
Rainbow ESOP Lawsuit Easily Clears Early Motions
The text of the decision includes lengthy discussion of all 14 counts of ERISA fiduciary breaches, and why each is...
Stock Drop Lawsuit Tied to Allergan-Actavis Acquisition Dismissed
Ruling in favor of a detailed motion to dismiss filed by defendants, the court cites a long list of precedent-setting...
Cactus Feeders ESOP Fiduciaries Agree to Sizable DOL Settlement
Lubbock National Bank, the ESOP’s trustee, has also agreed to take steps that will ensure it fulfills its fiduciary obligations...
ESOP Fiduciaries to Pay More Than $2 Million to Settle DOL Lawsuit
The Department of Labor sued Sonnax Industries, company officers and ESOP fiduciaries Tommy Harmon and Frederick Fritz, and Illinois-based First...
Judge Rules on DOL ESOP Challenge with Mixed Results
The mixed decision comes after DOL moved for summary judgement; the defendants responded by moving to exclude key testimony from...
Benefits |
Owners and Employees Alike Can Benefit from ESOPs
A new website launched by Principal seeks to help business owners and their advisers talk through the possibilities of creating...
Two ESOP Bills Would Promote Employee Ownership
Both, one in the House and one in the Senate, have bipartisan support
6th Circuit Rules for Eaton Corp. in ESOP Suit
The appellate court agreed with a lower court that plaintiffs did not meet pleading standards set forth in the Supreme...
DOL Reaches Triple Settlement With First Bankers Trust
The DOL alleged in all three cases that the firm approved transactions without undertaking the due diligence required of an...
Court Finds ESOP Fiduciaries Had No Good Reason to Delay Diversification
The court granted summary judgment to the plaintiffs and ordered their benefits be paid along with prejudgment interest.
NY Skin Surgery Center to Pay $5 Million to ESOP
An investigation by EBSA found the owner of a laser surgery center in New York to have violated ERISA guidelines...
Court Sides With Wilmington Trust on ESOP Challenge
A judge said the plaintiffs did not allege an injury because, although the purchase price of the stock was allegedly...
ESOPs Still a Significant Share of Retirement Plans
Since 2010, an average of 229 new ESOPs have been created each year, the NCEO finds.
ESOP Did Not Meet Burden of Proof in Case Regarding Failed Transaction
An appellate court first discussed where the burden of proof lies in ERISA cases.
Stock-Drop Lawsuit Alleges Disclosure Failures
Plaintiffs attempt in their complaint to establish that fraud was at least potentially occurring, and that this should have been...