News & Analysis as of

Motion to Dismiss 401k Supreme Court of the United States

Robinson Bradshaw

Lower Pleading Standard for 401(k) Plan Prohibited Transaction Suits

Robinson Bradshaw on

In its April 17 decision in Cunningham v. Cornell University, the U.S. Supreme Court established a plaintiff-friendly standard for ERISA prohibited transaction claims, resolving a circuit court split. As a result, plan...more

Baker Botts L.L.P.

SCOTUS Holds ERISA Requires No Additional Pleading Requirements beyond § 1106 Elements for Prohibited-Transaction Claims,...

Baker Botts L.L.P. on

On April 17, 2025, the Supreme Court of the United States clarified the pleading requirements to bring a prohibited-transaction claim under the Employee Retirement Income Security Act of 1974 (“ERISA”) in Cunningham v....more

Jackson Lewis P.C.

Supreme Court Clarifies ERISA Prohibited Transaction Pleading Standards

Jackson Lewis P.C. on

On April 17, 2025, the U.S. Supreme Court, in a unanimous opinion, resolved a circuit split and established a plaintiff-friendly pleading standard for ERISA prohibited transaction claims in Cunningham v. Cornell University,...more

Husch Blackwell LLP

Supreme Court Decision Means Defense of ERISA Prohibited Transaction Claims Just Got More Difficult and More Protracted

Husch Blackwell LLP on

On April 17, 2025, the Supreme Court decided Cunningham v. Cornell University, unanimously holding that a plaintiff can state a valid claim under ERISA by merely alleging that a plan used “plan assets” to pay a service...more

Groom Law Group, Chartered

Cunningham v. Cornell: Supreme Court Lowers Bar for ERISA 406(a) Claims

On April 17, 2025, the Supreme Court ruled in Cunningham v. Cornell University that, to state a claim under ERISA section 406(a), plaintiffs need only allege the elements contained in section 406(a). Prior to the Supreme...more

Kilpatrick

The Supreme Court Delivers Troubling Decision for ERISA Excess Fee Cases

Kilpatrick on

On April 17, 2025, the U.S. Supreme Court issued a unanimous opinion that has the potential to make it more difficult for defendants to have excess fee cases for 401(k) or 403(b) plans dismissed at an early stage of...more

Faegre Drinker Biddle & Reath LLP

Supreme Court Decides Cunningham v. Cornell University

On April 17, 2025, the Supreme Court decided Cunningham v. Cornell University, No. 23-1007, holding that a plaintiff may state a prohibited-transaction claim in violation of ERISA § 406(a) without referencing the exemptions...more

Proskauer - Employee Benefits & Executive...

Wisconsin Federal District Court Issues Five Rulings on Motions to Dismiss 401(k) Investment and Fee Cases – Is There a Way to...

Defense counsel frequently lament the difficulties of defending 401(k) investment and recordkeeping fee litigation when different judges render conflicting rulings on motions to dismiss seemingly indistinguishable...more

Proskauer - Employee Benefits & Executive...

Industry Coalition Unites to Support Dismissal of ERISA Fiduciary-Breach Claims Related To BlackRock Target Date Funds

The filing of a new 401(k) plan “excessive fee” or “investment underperformance” complaint is hardly “news” these days given the proliferation of suits that have been filed over the past several years. In fact, hardly a week...more

McDermott Will & Emery

A Light in the Dark: Seventh Circuit Helps Clarify New Pleading Standards for 401(k) Fee Cases

McDermott Will & Emery on

A recent US Court of Appeals for the Seventh Circuit case supplies answers to many questions left open in 401(k) fee litigation cases after the US Supreme Court’s ruling earlier this year in Hughes v. Northwestern University....more

Snell & Wilmer

Second Time Around: Seventh Circuit Given First Opportunity to Analyze the Duty of Prudence Post Hughes

Snell & Wilmer on

On August 29, 2022, the U.S. Court of Appeals for the Seventh Circuit affirmed the dismissal of a 401(k) plan participant’s claims that plan fiduciaries mismanaged the $1.1 billion 401(k) plan and charged participants...more

McAfee & Taft

Unanimous Supreme Court holds retirement plan fiduciaries must monitor and remove all imprudent investment options

McAfee & Taft on

Last week, on January 24, the U.S. Supreme Court issued its much-anticipated decision in Hughes v. Northwestern University, unanimously holding that retirement plan fiduciaries have a duty to continuously monitor retirement...more

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