Supreme Court Ruling Allows Workers to Sue Over 401K Losses
Fri, 29 Feb 2008
The Supreme Court ruled that workers can sue benefits managers. Below is a summary of the original petition filed in the case:
Petitioner, a participant in a defined contribution pension plan, alleged that the plan administrator’s failure to follow petitioner’s investment directions “depleted” his interest in the plan by approximately$150,000 and amounted to a breach of fiduciary duty under the Em-ployee Retirement Income Security Act of 1974 (ERISA). The District Court granted respondents judgment on the pleadings, and the Fourth Circuit affirmed. Relying on Massachusetts Mutual Life Ins. Co. v. Russell, 473 U. S. 134, the Circuit held that ERISA §502(a)(2)provides remedies only for entire plans, not for individuals. CLICK HERE FOR FULL FILING
