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Benefits
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January 10, 2025
Ex-Twitter Exec Can't Snag Docs In Bonus Suit
A former senior director of compensation for X Corp., previously known as Twitter, won't be able to recover communications from Twitter management or financial records in his suit alleging unpaid bonuses after Elon Musk took over the company, a California federal magistrate judge ruled.
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January 10, 2025
IRS Proposes Rules For Roth Catch-Up Contributions
The Internal Revenue Service floated rules Friday for catch-up contributions made possible by the 2022 retirement law known as Secure 2.0, including the requirement that contributions made by certain participants be designated Roth contributions.
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January 10, 2025
Holland & Knight Balks At 'Tactical' DQ Bid In Benefits Fight
Holland & Knight LLP urged a Georgia federal court to reject a "purely tactical move" seeking to disqualify the law firm from representing doctors accusing its former client, Polaris Spine and Neurosurgery PC, of botching the distribution of their retirement benefits, arguing its prior representation of Polaris isn't related to the suit.
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January 10, 2025
Cruise Contractors Drop $2.8M Union Fund Debt Row
Two cruise ship contractors and a union pension fund have wrapped up their dispute over the contractors' $2.8 million debt to fund, indicating to a Louisiana federal judge Friday that they've settled the last outstanding issue in the case and are ready for the litigation to be dismissed.
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January 10, 2025
Taxation With Representation: Kirkland, Davis Polk, Wachtell
In this week's Taxation With Representation, Constellation acquires Calpine, Cintas seeks a deal with UniFirst Corp., Stryker Corp. acquires Inari Medical Inc., and Paychex Inc. buys Paycor.
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January 10, 2025
X Asks 9th Circ. To Back Dismissal Of $500M Severance Suit
Social platform X urged the Ninth Circuit to uphold the dismissal of a suit claiming it owes workers $500 million in severance after Elon Musk bought the business and conducted mass layoffs, arguing the lower court correctly found that the ex-employees couldn't sue under federal benefits law.
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January 09, 2025
Sentara Health Workers Say Retirement Fund Is Mismanaged
Two Sentara Health employees have filed proposed class action in Virginia federal court accusing the company's retirement fund managers of failing to properly manage a $136 million plan, arguing it lost millions due to the committee's retention of an underperforming stable value fund in the face of better options.
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January 09, 2025
5 Things Executive Pay Attys Should Keep An Eye On In 2025
Tesla chief executive Elon Musk will be seeking a green light for a $56 billion pay package while a new administration in the White House may scuttle proposed incentive pay regulations and a ban on noncompete agreements. Here, Law360 looks at five things executive compensation lawyers will be following in the new year.
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January 09, 2025
Fired Exec's Suit Paused As 4th Circ. Mulls Arbitration Denial
A Virginia federal judge paused a former gas company executive's lawsuit alleging breach of contract and wrongful termination while the Fourth Circuit decides whether to hear the company's midsuit appeal.
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January 09, 2025
MoFo Taps Goodwin Duo To Grow Exec Comp, Benefits Team
Morrison Foerster announced Wednesday that it has tapped two former Goodwin Procter LLP partners to expand its executive compensation and benefits group.
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January 09, 2025
Musk Could Dodge Some Claims In X Severance Suit
Six former Twitter employees who alleged they weren't paid severance benefits after Elon Musk took over the company shouldn't be able to proceed with their claims under Texas law, a Delaware federal magistrate judge said, but he recommended that claims under California and New York law be given a second chance.
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January 09, 2025
Faegre Drinker Worker Says Unum Blocked Disability Benefits
A Faegre Drinker Biddle & Reath LLP employee sued Unum Life Insurance Company of America in Minnesota federal court, claiming it conducted a shoddy review of her medical conditions to illegally deny her claim for disability benefits when a health issue made it impossible for her to do her job.
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January 09, 2025
George Santos' Sentencing Delayed For Podcast Earnings
A Brooklyn federal judge granted former U.S. Rep. George Santos' request to delay his sentencing in order to earn money through his weekly gossip podcast "Pants On Fire" that can go toward paying the roughly $580,000 he owes in restitution and forfeiture.
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January 08, 2025
Wash. Justices To Review Airline Worker's COVID Comp. Case
The Washington State Supreme Court has agreed to review whether an allegedly botched jury instruction dooms an Alaska Airlines flight attendant's COVID-19 workers' compensation win, after a split lower appeals court upended the jury's verdict.
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January 08, 2025
JPMorgan Gets Early Win In Ex-Worker's Benefits Freeze Suit
A New York federal judge handed JPMorgan an early win Wednesday in an ex-worker's suit alleging the bank failed to properly disclose changes to an employee pension plan, finding the dispute was barred by a claim release the plaintiff signed in exchange for severance.
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January 08, 2025
Pension Plan Official's Estate Excused From Danish Tax Suit
A New York federal court approved Wednesday an agreement for Denmark's tax authority to settle its claims against the estate of a pension plan official whose plan allegedly defrauded the agency out of $9 million.
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January 08, 2025
Musk Appeals $56B Pay Package Rejection To Del. High Court
Tesla Inc. CEO Elon Musk and other top Tesla executives officially appealed to the Delaware Supreme Court on Wednesday a series of chancellor rulings that scuttled Musk's $56 billion, 10-year pay package and awarded a shareholder's counsel $345 million in fees in the yearslong derivative dispute.
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January 08, 2025
Shareholder Atty Urges Del. Justices To Revive Skechers Suit
An attorney for a shareholder of footwear maker Skechers Inc. told Delaware's Supreme Court on Wednesday that the Court of Chancery had ample reason to keep alive his suit alleging failure to control insider use of corporate aircraft for personal travel that the court dismissed instead.
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January 08, 2025
2nd Circ. Backs NYC Hospital In Retirement Plan Fee Suit
The Second Circuit refused Wednesday to reopen a proposed class action claiming Montefiore Medical Center allowed its employee retirement plan to be saddled with excessive recordkeeping fees, saying the workers leading the suit failed to show the plan paid too much for the services it received.
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January 08, 2025
Chancery Awards $176M Atty Fee In Tesla Board Pay Suit
Delaware's chancellor approved on Wednesday a $176.16 million Tesla stockholder class attorney fee award to three firms for a settlement of an excessive director compensation suit that is expected to return $734 million to the company through a combination of director stock, option and cash givebacks.
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January 08, 2025
SeaWorld Strikes $1.25M Deal In 401(k) Mismanagement Suit
SeaWorld agreed to pay $1.25 million to resolve a class action alleging it hindered its $237 million retirement plan with pricey funds and expensive recordkeeping fees, a California federal court filing said.
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January 07, 2025
AT&T, Biz Groups Urge Justices To Back Cornell's ERISA Win
Top business and employee benefits industry lobbying groups along with telecommunications giant AT&T urged the U.S. Supreme Court to uphold Cornell University's victory over a federal benefits lawsuit alleging retirement plan mismanagement, in a flood of amicus briefs at the high court before arguments later this month.
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January 07, 2025
5 Argument Sessions Benefits Attys Should Check Out In Jan.
The U.S. Supreme Court will hear from Cornell University workers looking to revive a retirement plan mismanagement suit and a former firefighter who says federal disability bias law protects post-employment benefits, while circuit courts will weigh gender-affirming care restrictions and a battle over pension annuity payments. Here, Law360 looks at five arguments that benefits attorneys ought to keep an eye on this month.
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January 07, 2025
6th Circ. Declines To Send Publix Questions To Ga. High Court
The Sixth Circuit won't certify a set of questions about Georgia state nuisance law to the state's Supreme Court, after ruling that Publix Super Markets Inc. hasn't shown the appeals court needs to step in before a bellwether trial in the national opioid multidistrict litigation.
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January 07, 2025
Amazon Says Worker's $1.6M Atty Fees Are Excessive
An Amazon employee hasn't prevailed in his claims that the e-commerce giant hurdled his promotions for his U.S. Marine Corps Reserve leave, the company said, urging a Washington federal court to deny his $1.63 million in attorney fees requested as part of his settlement.
Expert Analysis
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Ring In The New Year With An Updated Employee Handbook
One of the best New Year's resolutions employers can make is to update their employee handbooks, given that a handbook can mitigate, or even prevent, costly litigation as long as it accounts for recent changes in laws, court rulings and agency decisions, say attorneys at Kutak Rock.
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What 2024 Trends In Marketing, Comms Hiring Mean For 2025
The state of hiring in legal industry marketing, business development and communications over the past 12 months was marked by a number of trends — from changes in the C-suite to lateral move challenges — providing clues for what’s to come in the year ahead, says Ben Curle at Ambition.
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Series
Group Running Makes Me A Better Lawyer
The combination of physical fitness and community connection derived from running with a group of business leaders has, among other things, helped me to stay grounded, improve my communication skills, and develop a deeper empathy for clients and colleagues, says Jessica Shpall Rosen at Greenwald Doherty.
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Opinion
6 Changes I Would Make If I Ran A Law School
Reuben Guttman at Guttman Buschner identifies several key issues plaguing law schools and discusses potential solutions, such as opting out of the rankings game and mandating courses in basic writing skills.
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5 Employer Defenses To Military Status Discrimination Claims
A Colorado federal court's recent ruling, finding a Navy reservist wasn't denied promotion at his civilian job due to antimilitary bias, highlights several defenses employers can use to counter claims of violations of the Uniformed Services Employment and Reemployment Rights Act, say attorneys at Littler Mendelson.
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Firms Still Have The Edge In Lateral Hiring, But Buyer Beware
Partner mobility data suggests that the third quarter of this year continued to be a buyer’s market, with the average candidate demanding less compensation for a larger book of business — but moving into the fourth quarter, firms should slow down their hiring process to minimize risks, say officers at Decipher Investigative Intelligence.
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Opinion
Congress Should Expand Investment Options For 403(b)s
Lawmakers should pass pending legislation to give 403(b) plan participants access to collective investment trusts, leveling the playing field for public sector retirement investors by giving them an investment option their private sector counterparts have had for decades, says Jason Levy at Great Gray Trust Company.
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Think Like A Lawyer: 1 Type Of Case Complexity Stands Out
In contrast to some cases that appear complex due to voluminous evidence or esoteric subject matter, a different kind of complexity involves tangled legal and factual questions, each with a range of possible outcomes, which require a “sliding scale” approach instead of syllogistic reasoning, says Luke Andrews at Poole Huffman.
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Think Like A Lawyer: Note 3 Simple Types Of Legal Complexity
Cases can appear complex for several reasons — due to the number of issues, the volume of factual and evidentiary sources, and the sophistication of those sources — but the same basic technique can help lawyers tame their arguments into a simple and persuasive message, says Luke Andrews at Poole Huffman.
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Justices Mull Sex-Based Classification In Trans Law Case
After the U.S. Supreme Court heard oral argument in U.S. v. Skrmetti this week, it appears that the fate of the Tennessee law at the center of the case — a law banning gender-affirming healthcare for transgender adolescents — will hinge on whether the majority read the statute as imposing a sex-based classification, says Alexandra Crandall at Dickinson Wright.
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Every Dog Has Its Sick Day: Inside NYC's Pet Leave Bill
In what would be a first-of-its-kind law for a major metropolitan area, a recent proposal would amend New York City's Earned Safe and Sick Time Act to include animal care as an accepted use of sick leave — and employers may not think it's the cat's meow, say attorneys at Morrison Cohen.
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Rethinking Clawback Policies For 2025 Compensation Season
The start of a new year presents an opportunity for companies to reassess their executive compensation clawback policies, and while mandatory Dodd-Frank clawbacks are necessary, discretionary policies can offer companies greater flexibility to address misconduct, protect their reputations and align with shareholder priorities, say attorneys at Debevoise.
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Series
Gardening Makes Me A Better Lawyer
Beyond its practical and therapeutic benefits, gardening has bolstered important attributes that also apply to my litigation practice, including persistence, patience, grit and authenticity, says Christopher Viceconte at Gibbons.
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ERISA Ruling Is A Win For DOL Regulatory Authority
In Rappaport v. Guardian Life Insurance, a New York federal court recently issued a notable disability benefits ruling in finding that the U.S. Supreme Court’s Loper Bright opinion does not affect how existing U.S. Department of Labor regulations apply in Employee Retirement Income Security Act litigation, says Mark DeBofsky at DeBofsky Law.
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Litigation Inspiration: Reframing Document Review
For attorneys — new ones especially — there is much fulfillment to find in document review by reflecting on how important, interesting and pleasant it can be, says Bennett Rawicki at Hilgers Graben.