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Benefits
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January 30, 2025
Retired Atty Says Schwab, Others Flubbed His Contributions
A retired attorney said companies that managed his individual retirement plan, including Charles Schwab and Barnes & Thornburg LLP, hampered his tax savings by incorrectly classifying his pretax retirement contributions as posttax contributions, according to a lawsuit filed in an Indiana district court.
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January 30, 2025
Biz Groups Back 2nd Circ. Appeal In Morgan Stanley Pay Fight
Business trade groups including the U.S. Chamber of Commerce wrote in support of Morgan Stanley's Second Circuit appeal in a proposed class action from ex-advisers seeking additional deferred compensation, backing the investment bank's argument that an arbitrator should get to determine if federal benefits law applies to the arrangements.
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January 30, 2025
Symetra To Pay $2M To End Structured Settlement Suit
Insurance conglomerate Symetra has agreed to pay more than $2.1 million to settle a proposed class action in Washington federal court accusing two Symetra entities of luring roughly 2,000 recipients of personal injury settlements into selling their future stream of payments for a heavily discounted lump sum.
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January 30, 2025
Telephone Co. Workers Ask 8th Circ. To Revive 401(k) Fee Suit
Two workers urged the Eighth Circuit to revive their proposed class action claiming a telephone and data company allowed their $1.3 billion 401(k) plan to be overcharged with excessive fees, arguing the lower court held their claims to a high bar unsupported by circuit precedent.
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January 30, 2025
Magistrate Judge Endorses Sanctions In Union Benefits Fight
A New York federal magistrate judge overseeing a union benefits dispute recommended sanctioning an insulation hauling company that hasn't been responding to court paperwork, but stopped short of recommending that the district judge grant requests for default judgment against the company.
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January 30, 2025
Chancery Reverses Magistrate Toss Of Paramount Doc Suit
A Paramount Global pension fund stockholder has won a Delaware Court of Chancery reversal of a magistrate's dismissal of a suit for company books and records on events surrounding a proposed multibillion-dollar merger between Paramount and Skydance Media, in a decision heavily focused on unnamed sources.
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January 29, 2025
Jones Day Told To Provide Ex-Attys Family Leave Memo
Jones Day must hand over a memo from December 1993 to two ex-associates suing the firm over its allegedly discriminatory family leave policy, a D.C. federal judge ruled Wednesday, saying the firm had placed it "at issue" in the case and waiving any privilege that might have shielded the document.
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January 29, 2025
Court Garbled Pharma Owner's Fraud Charges, 6th Circ. Told
An Ohio district court misrepresented healthcare fraud charges against a pharmaceutical salesman to a jury, his attorney argued Wednesday before the Sixth Circuit, calling for the court to overturn his 2023 conviction and subsequent restitution order to pay $7 million to the IRS.
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January 29, 2025
Pension Plans Seek Trader's Testimony In $2B Tax Fraud Suit
Pension plans and individuals who Denmark's government alleges received fraudulent refunds have asked a New York federal court to allow U.K. court testimony into the record from a trader who Danish authorities say masterminded a $2.1 billion tax fraud, saying it shows he deceived other participants.
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January 29, 2025
4 Questions About Trump's Federal Worker Resignation Policy
President Donald Trump’s offer of letting federal workers resign with several months of paid administrative leave raises questions about its legality and whether workers will actually get paid, attorneys said. Here, Law360 explores four questions that stem from the policy.
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January 29, 2025
Southwest's Plan Oversight Cost Workers Millions, Court Told
Southwest Airlines cost workers millions of dollars in retirement savings by failing to ax a costly and underperforming investment fund from its combined $14 billion retirement plans, according to a proposed class action filed in Texas federal court.
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January 29, 2025
Labor Litigator Jumps To Holland & Knight In Calif., Colo.
Holland & Knight LLP has added an experienced labor and employment litigator who joins the firm's Los Angeles and Denver offices as an equity partner after 10 years with management-side employment firm Littler Mendelson PC.
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January 29, 2025
Workers Needed To Initiate Arbitration, Calif. Panel Says
A group of workers needed to initiate arbitration in their proposed class action claiming an insurance company misclassified them as exempt employees after a trial court sent their claims out of court, a California state appellate panel ruled, flipping the lower court's decision reviving the suit.
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January 29, 2025
RFK Jr. Disputes Anti-Vax Label In HHS Confirmation Hearing
Robert F. Kennedy Jr. attempted Wednesday morning to convince Republican and Democratic lawmakers that he is not anti-vaccine, despite many of his past comments to the contrary, as he hopes to convince them to confirm his appointment as head of the U.S. Department of Health and Human Services.
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January 28, 2025
Trump Targets Gender-Affirming Care For Minors In New Order
President Donald Trump ordered federal agencies late Tuesday to take steps to halt gender-affirming care for minors, including by cutting off Medicaid and military health coverage for what he called a "stain on our nation's history."
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January 28, 2025
Minn. AG Settles Novo Nordisk Insulin Claims With Price Cap
Minnesota's attorney general has reached a settlement resolving a long-running lawsuit accusing Novo Nordisk of inflating insulin prices, with the company agreeing to a $35 per month cap on out-of-pocket costs for state residents.
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January 28, 2025
Cigna Can't Escape Fight Over Prosthetic Coverage In Maine
Cigna must continue facing an Employee Retirement Income Security Act lawsuit by a man who was denied coverage of his prosthetic device, with a Maine federal judge saying she can't rule on the insurer's dismissal motion until she knows what entity funds the man's healthcare plan.
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January 28, 2025
Creditors Seek To End Yellow Corp.'s Exclusive Ch. 11 Control
The official committee of unsecured creditors in Yellow Corp.'s bankruptcy case filed a motion Tuesday to terminate the defunct trucking company's exclusive right to file a Chapter 11 plan, or alternatively, to convert the proceedings to a Chapter 7 liquidation.
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January 28, 2025
Union Worker Entitled To Higher Pension Benefits, Judge Says
A plumbing union pension plan violated federal benefits law when it refused to increase a worker's monthly payments because he opted to retire late, a Minnesota federal judge ruled, finding the plan's terms didn't prevent him from receiving a bump.
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January 28, 2025
Hand Sanitizer Co. Ex-Exec Inks $1M ESOP Deal
A former hand sanitizer company executive has agreed to pay $1 million to resolve claims from workers that he violated federal benefits law by helping organize a $398 million purchase of overvalued company stock by their employee stock ownership plan, according to filings in Illinois federal court.
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January 28, 2025
Trader Joe's Accused Of Badly Stocked 401(k), High Fees
Grocery chain Trader Joe's mismanaged its retirement plan for employees to the tune of tens of millions of dollars, according to a potential class action filed Tuesday in Massachusetts federal court.
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January 27, 2025
Virtu, Insiders Sued In Del. Over Stock Buybacks
Stockholders of Virtu Inc. have sued the global financial services venture's top brass in Delaware's Court of Chancery, alleging they diverted roughly $400 million from public stockholders through share repurchases that took advantage of the company's two-tiered corporate structure.
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January 27, 2025
Radiology Co.'s Ex-Workers Win Class Cert. In ESOP Suit
A Colorado federal judge on Friday certified an ERISA class action accusing a radiology company and its trustee of overcharging its employee stock ownership plan for purchase of company stock.
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January 27, 2025
Allstate Beats Plan Participants' $70M Poor-Performance Suit
An Illinois federal judge handed Allstate a pretrial win Monday over retirement plan participants' claim that the insurer cost them nearly $70 million by holding on to poor-performing funds, saying the plaintiffs' "apples and oranges" comparisons will not sway a jury in their favor.
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January 27, 2025
Attys Secure $967K Fee Award In Magna 401(k) Settlement
Lawyers for Magna International workers will take home nearly a million dollars in attorney fees as part of a $2.9 million class settlement over allegedly flawed investment options and fees in the company's employee retirement plan, after a Michigan federal judge signed off on the fees Monday.
Expert Analysis
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How HHS Discrimination Rule Affects Gender-Affirming Care
The U.S. Department of Health and Human Services' new final rule, which reinterprets the Affordable Care Act's anti-discrimination provision, greatly clarifies protections for gender-affirming care and will require compliance considerations from sponsors and administrators of most group health plans, say attorneys at McDermott.
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Exploring An Alternative Model Of Litigation Finance
A new model of litigation finance, most aptly described as insurance-backed litigation funding, differs from traditional funding in two key ways, and the process of securing it involves three primary steps, say Bob Koneck, Christopher Le Neve Foster and Richard Butters at Atlantic Global Risk LLC.
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Series
Teaching Yoga Makes Me A Better Lawyer
Being a yoga instructor has helped me develop my confidence and authenticity, as well as stress management and people skills — all of which have crossed over into my career as an attorney, says Laura Gongaware at Clyde & Co.
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A Vision For Economic Clerkships In The Legal System
As courts handle increasingly complex damages analyses involving vast amounts of data, an economic clerkship program — integrating early-career economists into the judicial system — could improve legal outcomes and provide essential training to clerks, say Mona Birjandi at Data for Decisions and Matt Farber at Secretariat.
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Asset Manager Exemption Shifts May Prove Too Burdensome
The U.S. Department of Labor’s recent change to a prohibited transaction exemption used by retirement plan asset managers introduces a host of new costs, burdens and risks to investment firms, from registration requirements to new transition periods, say attorneys at Simpson Thacher.
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7 Effects Of DOL Retirement Asset Manager Exemption Rule
The recent U.S. Department of Labor amendment to the retirement asset manager exemption delivers several key practical impacts, including the need for managers, as opposed to funds, to register with the DOL, say attorneys at Ropes & Gray.
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Kansas Workers' Comp. Updates Can Benefit Labor, Business
While the most significant shake-up from the April amendment to the Kansas Workers Compensation Act will likely be the increase in potential lifetime payouts for workers totally disabled on the job, other changes that streamline the hearing process will benefit both employees and companies, says Weston Mills at Gilson Daub.
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Del. Ruling Highlights M&A Deal Adviser Conflict Disclosures
The Delaware Supreme Court recently reversed the Court of Chancery's dismissal of challenges to Nordic Capital's acquisition of Inovalon, demonstrating the importance of full disclosure of financial adviser conflicts when a going-private merger seeks business judgment rule review, say attorneys at Debevoise.
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How FTC's Noncompete Rule May Affect Exec Comp Packages
In the event the Federal Trade Commission's final noncompete rule goes into effect as currently contemplated, companies will need to take stock of how they structure post-employment executive compensation arrangements, such as severance agreements and clawbacks, says Meredith O'Leary at King & Spalding.
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E-Discovery Quarterly: Recent Rulings On Text Message Data
Electronically stored information on cellphones, and in particular text messages, can present unique litigation challenges, and recent court decisions demonstrate that counsel must carefully balance what data should be preserved, collected, reviewed and produced, say attorneys at Sidley.
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Series
Swimming Makes Me A Better Lawyer
Years of participation in swimming events, especially in the open water, have proven to be ideal preparation for appellate arguments in court — just as you must put your trust in the ocean when competing in a swim event, you must do the same with the judicial process, says John Kulewicz at Vorys.
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Opinion
SEC Should Be Allowed To Equip Investors With Climate Info
The U.S. Securities and Exchange Commission's new rule to require more climate-related disclosures will provide investors with much-needed clarity, despite opponents' attempts to challenge the rule with misused legal arguments, say Sarah Goetz at Democracy Forward and Cynthia Hanawalt at Columbia University’s Sabin Center for Climate Change.
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Don't Use The Same Template For Every Client Alert
As the old marketing adage goes, consistency is key, but law firm style guides need consistency that contemplates variety when it comes to client alert formats, allowing attorneys to tailor alerts to best fit the audience and subject matter, says Jessica Kaplan at Legally Penned.
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Series
Walking With My Dog Makes Me A Better Lawyer
Thanks to my dog Birdie, I've learned that carving out an activity different from the practice of law — like daily outdoor walks that allow you to interact with new people — can contribute to professional success by boosting creativity and mental acuity, as well as expanding your social network, says Sarah Petrie at the Massachusetts Attorney General’s Office.
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Think Like A Lawyer: Follow The Iron Rule Of Trial Logic
Many diligent and eager attorneys include every good fact, point and rule in their trial narratives — spurred by the gnawing fear they’ll be second-guessed for leaving something out — but this approach ignores a fundamental principle of successful trial lawyering, says Luke Andrews at Poole Huffman.