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 »
Matthew Goedert
In Taylor v. BDO USA, P.C., plaintiff Tristin Taylor, a participant in the BDO USA Employee Stock Ownership Plan (ESOP), brought a putative class action under ERISA alleging that defendants breached their fiduciary duties when the ESOP allegedly overpaid for BDO stock.
Christopher Wingard
A district judge granted summary judgment for attorney Greg Hansen in the valuation case involving Bowers and Kubota, a Hawaii architecture firm (the “company”).
Rick Pearl
On June 20, 2025, a federal district court in Wisconsin dismissed an employee’s lawsuit challenging the sale of PDQ, a partially ESOP-owned company, to a third party buyer. Around 2017, PDQ’s board sought a buyer and ultimately reached an agreement with Kwik Trip.
Rick Pearl
In August of 2024, a federal district court entered judgment in the Department of Labor’s (DOL) favor and against certain defendants in a case involving RVR, Inc., d/b/a Cruise America, and the RVR Inc. Employee Stock Ownership Plan (ESOP). The judge determined that the $105 million ESOP transaction was overvalued by $72 million.
Lauren Wood
On July 10, 2025, the United States District Court for the Southern District of New York allowed plaintiffs to amend their original complaint to add the trustees and beneficiaries of two trusts as defendants. These trusts received proceeds from a 2016 sale to the WBBQ Employee Stock Ownership Plan (ESOP), which is the subject of the plaintiffs’ suit. The newly added trusts are now possible sources of recovery for the plaintiffs.
Christopher Wingard
On June 18, 2025, the U.S. District Court for the Western District of Wisconsin dismissed a class action lawsuit brought by Scott MacTaggert, a participant in the Extreme Engineering Solutions, Inc. ESOP.
Christopher Wingard
On June 17, 2025, the United States District Court for the Middle District of Pennsylvania approved a class action settlement in Tufano v. Pride Mobility.
James G. Steiker
In Chea v. Lite Star ESOP Committee, No. 1:23-cv-00647-JLT-SAB (E.D. Cal., June 10, 2025), a settlement has been reached in a valuation lawsuit at B-K Lighting. Plaintiffs alleged the shares were overvalued because of excessively optimistic forecasts and the ESOP paying for control it did not have.
Griffin O'Gara
A lawsuit alleging fiduciary breaches in connection with a 2016 ESOP transaction involving BSC Ventures Holdings, Inc. has reached a $8 million settlement.
Christopher Wingard
A lawsuit alleging fiduciary breaches in connection with a 2018 ESOP transaction involving Ritchie Trucking Service Holdings, Inc. has reached a $1.85 million settlement.
