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Fiduciary Duty Employee Retirement Income Security Act (ERISA) US Bancorp

Groom Law Group, Chartered

Court Challenges to DB Plan Actuarial Assumptions – One Year Later

Eleven cases have been filed against defined benefit pension plan sponsors and certain fiduciaries alleging that the plan’s assumptions—called “actuarial equivalence factors” or “actuarial equivalence assumptions”— for...more

Carlton Fields

Supreme Court Establishes New Standard for Fiduciaries of ESOP Plans

Carlton Fields on

The Supreme Court, in Fifth Third Bancorp v. John Dudenhoeffer (Dudenhoeffer), recently established new standards for determining when fiduciaries of Employee Stock Ownership Plans (ESOPs) act prudently regarding a company’s...more

Burr & Forman

Supreme Court Rules No Presumption of Prudence for ESOP Fiduciaries

Burr & Forman on

The United States Supreme Court clarified the duty of prudence that employee stock ownership plan fiduciaries owe to plan participants in its June 25, 2014 decision Fifth Third Bancorp v. Dudenhoeffer 134 S.Ct. 2459 (U.S....more

Patterson Belknap Webb & Tyler LLP

Supreme Court Rejects “Presumption of Prudence” in ESOP Cases

On June 25, 2014, the Supreme Court issued a decision in Fifth Third Bancorp v. Dudenhoeffer regarding the availability of relief against fiduciaries of an employee stock ownership plan (“ESOP”) for alleged breaches of the...more

Snell & Wilmer

Employee Benefits Update: Unanimous Supreme Court Issues ERISA Fiduciary Duty Opinion

Snell & Wilmer on

On June 25, the Supreme Court issued a unanimous decision in Fifth Third Bancorp v. Dudenhoeffer, which is likely to change the future of the Employee Retirement Income Security Act (ERISA) stock drop litigation. ...more

Morrison & Foerster LLP

U.S. Supreme Court Abolishes the Presumption of Prudence in ERISA Stock Drop Cases

A recurring scenario in ERISA litigation involves claims against fiduciaries of 401(k) retirement plans who are alleged to have breached their fiduciary duty by failing to discontinue investment in employer stock following a...more

Cozen O'Connor

Supreme Court Rejects Presumption of Prudence for ESOP Fiduciaries

Cozen O'Connor on

On June 25, 2014, the Supreme Court of the United States, in Fifth Third Bancorp v. Dudenhoffer, declared that no “presumption of prudence” applied to fiduciaries of “employee stock ownership plans” (ESOPs). ...more

BakerHostetler

Supreme Court Abolishes Presumption of Prudence in ERISA Stock-Drop Cases But Sets High Bar for Plaintiffs

BakerHostetler on

In an opinion that reversed nearly two decades of lower-court ERISA class action jurisprudence, the Supreme Court axed the well-established “presumption of prudence” in ERISA “stock-drop” cases. On June 25, the Court issued...more

Goodwin

Supreme Court’s Dudenhoeffer Decision Headlines New ERISA Litigation Update

Goodwin on

Goodwin Procter’s ERISA Litigation Practice published its latest quarterly ERISA Litigation Update. The update discusses (1) the Supreme Court’s ruling in Fifth Third Bancorp v. Dudenhoeffer that there is no “presumption of...more

Dechert LLP

Dudenhoeffer Eschews Moench Presumption But Encourages Careful Scrutiny Of Complaints: Future for ERISA Stock-Drop Litigation Is...

Dechert LLP on

Certain retirement plans, such as employee stock ownership plans (“ESOPs”), are specifically designed to invest all or a portion of their assets in stock of the sponsoring employer. For nearly twenty years, the federal courts...more

Faegre Drinker Biddle & Reath LLP

Supreme Court Nixes "Presumption of Prudence" in Employer Stock Cases

On June 25, 2014, the U.S. Supreme Court unanimously rejected the "presumption of prudence" that had been applied by lower courts in cases where a retirement plan holds stock of the employer sponsoring the plan. Fifth Third...more

Foley Hoag LLP

U. S. Supreme Court Clarifies Fiduciaries’ Duty of Prudence Under ERISA In Connection with Employee Stock Ownership Plans

Foley Hoag LLP on

On June 24, 2014, a unanimous Supreme Court held in Fifth Third Bancorp v. Dudenhoeffer that fiduciaries to an employee stock ownership plan (“ESOP”) were not entitled to a presumption under the Employee Retirement Income...more

Morgan Lewis

Supreme Court Rejects “Presumption of Prudence” in ERISA Employer Stock Cases

Morgan Lewis on

The Court’s Dudenhoeffer decision also provides some guidance for scrutinizing such claims at the pleadings stage. On June 25, the U.S. Supreme Court issued its unanimous decision in Fifth Third Bancorp v....more

Ballard Spahr LLP

In ERISA Stock Drop Case, Supreme Court Giveth and Taketh Away on Moench Presumption

Ballard Spahr LLP on

The U.S. Supreme Court recently eviscerated a key protection against stock drop lawsuits filed by participants in defined contribution plans that hold employer stock as an investment. In Fifth Third Bancorp et al. v....more

Dorsey & Whitney LLP

Supreme Court Rejection of Duty of Prudence Presumption—What Does it Mean for Retirement Plans?

Dorsey & Whitney LLP on

On June 25, 2014, the Supreme Court, in a unanimous decision, ruled in Fifth Third Bancorp v. Dudenhoeffer that there is no “presumption” of prudence extended to fiduciaries of employer stock ownership plans (“ESOPs”) in...more

Faegre Drinker Biddle & Reath LLP

Supreme Court Decides ESOP Fiduciary Duty Case: Fifth Third Bancorp et al. v. Dudenhoeffer et al.

On June 25, 2014, the U.S. Supreme Court decided Fifth Third Bancorp et al. v. Dudenhoeffer et al., No. 12-751, holding that a fiduciary of an employee stock ownership plan (ESOP) is subject to the same duty of prudence that...more

Ogletree, Deakins, Nash, Smoak & Stewart,...

Supreme Court Clarifies ESOP Fiduciaries’ Obligations

On June 25, 2014, the Supreme Court of the United States ruled that a fiduciary of an “employee stock ownership plan” (ESOP) is subject to the same duty of prudence that the Employee Retirement Income Security Act (ERISA)...more

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