"Here the injury is arguably speculative at best -- and while the suits provided extensive commentary around the nature of the transaction, and the financial underpinnings (or lack thereof) of the entities to which the pension obligations were transferred -- none of that made the alleged injuries anything other than potential. That would seem to be the case with all of these lawsuits submitted thus far -- assuming the judges apply the same standard(s)." [Camire v. Alcoa U.S.A. Corp., No. 24-1062 (D.D.C. Mar. 28, 2025)]  MORE >>

"In the last year, at least four companies have faced class action lawsuits over their management of cash holdings in employee stock ownership plans, potentially signaling a new litigation trend.... [One] lawsuit survived a motion to dismiss in February ... The court pointed to the 'vast disparity' between Aerotech's cash-heavy approach and the practice of similar ESOPs, [noting] that the Aerotech ESOP held nearly 200 times as much cash as comparator ESOPs. The court stated that the vast disparity 'supports a reasonable inference of a lack of prudence.' " [Schultz v. Aerotech, Inc., No. 24-0618 (W.D. Penn. Feb. 20, 2025)]  MORE >>

"When M&A activity occurs, it is important to understand the impact it will have on your retirement plan. It is recommended that the retirement plan’s intent is discussed as early as possible in the negotiation process with counsel and the entity being acquired. It’s also important to review the respective plan documents to determine how related employers are treated in them."  MORE >>

"This worksheet helps you determine what percent of pay to save for retirement.... Results depend on many factors, including the assumptions you provide."  MORE >>

"Fiduciaries must carefully navigate the complexities of compliance with the sufficient information requirement.... Without the spread information for an annuity, plan sponsors and other investment fiduciaries set themselves up for a per se fiduciary breach since they cannot properly perform the required independent investigation and evaluation or the disclosure of material information required by ERISA ... Better to just avoid annuities and FIAs altogether[.]"  MORE >>

"Proactive plans should conduct training sessions that cover ERISA rules, as well as current litigation trends, at least once per year and any time a new member joins the committee."  MORE >>