Stay informed on the latest legal developments impacting employee ownership with timely and concise summaries of key cases and rulings. Learn more about this digest »
Corey Rosen
In Robertson v. Argent Trust Company, No. 21-cv-01711-PHX-DWL, 2022 WL 2967710 (D. Ariz. July 27, 2022) a district court ruled that Isagenix could enforce a mandatory arbitration clause concerning its ESOP. Courts have recently come to mixed conclusions on this issue.
Corey Rosen
The Department of Labor has reached a $145 million settlement over an investigation in which the DOL alleged that the company’s 401(k) plan paid between $1,033 and $1,090 per share from 2013 to 2018 for Wells Fargo preferred stock.
Corey Rosen
In Gamino v. KPC Healthcare Holdings, Inc. et al., No. 5:20-CV-01126-SB-SHK (C.D. Cal. Jan. 15, 2021), employees agreed to a $5 million settlement with KPC Healthcare in an ERISA valuation case.
Corey Rosen
In Placht v. Argent et. al., No. 1:21-cv-05783 D (N.D. Ill., August 10, 2022), a district court allowed plaintiffs to proceed in an ESOP valuation case against the trustee, Argent Trust, but not the 12 other named defendants, who are all sellers in the transaction.
Corey Rosen
In Robertson v. Argent Tr. Co., No. CV-21-01711-PHX-DWL (D. Ariz. Jul. 27, 2022), a district court ruled that an arbitration clause in the plan document applies and dismissed the case against the ESOP trustee, Argent Trust.
Corey Rosen
In Burke v. Boeing, No. 20-3389 (7th Cir., Aug. 8, 2022), the 7th Circuit agreed with the lower court that Boeing defendants could designate an outside fiduciary with responsibility for the management of plan assets in the company’s 401(k)/ESOP. Plaintiffs alleged that the stock price drop caused by the 737 Max problem should have led to changes in the plan’s investment options, one of which allowed them to buy Boeing shares.
Corey Rosen
In Szalanski, Brenda v. Arnold, Mike et al., No. 3:2019cv00940 - Document 47 (W.D. Wis. 2022), a court ruled in favor of defendants in the sale of PDQ to Kwik Trip.
Corey Rosen
The Department of Labor has filed an amicus brief in Cedeno v. Argent Tr. Co., No. 20-CV-9987 (JGK), (S.D.N.Y. Nov. 2, 2021).
Corey Rosen
In Godfrey v. GreatBanc et al., No. 18 C 7918 (N.D. Ill., May 24, 2022) plaintiffs and defendants have reached a settlement agreement for $16.5 million.
Corey Rosen
After a prolonged process, the Senate is poised to approve President Biden’s nominee to be the head of the Department of Labor’s Employee Benefit Security Administration.
