Lessons from Recent Litigation

This article is based on a recent NCEO webinar by Ted Becker and Allison Egan of McDermott, Will & Emery. A number of recently filed lawsuits challenging ESOP transactions show some concerning trends: ESOP participants and the Department of Labor are increasingly suing non-fiduciaries as well as fiduciaries, are advancing more aggressive arguments about valuation financing, deal structure and control, and are attempting to extend the deadline for filing suits