ERISA Overview
The Employee Retirement Income Security Act (ERISA) governs the conduct of private employers who sponsor 401(k) and other retirement plan accounts. Employees across America today depend on their company sponsored retirement plans to provide them with income after their retirement. How an employer chooses which retirement plan investment options to make available to its employees plays a critical role in the retirement income of all its employees, especially in today's economic environment.
ERISA requires employers to exercise the highest fiduciary duty under the law when it comes to selecting plan investment options and investing plan assets. Employers must act prudently and make decisions solely in the best interest of employees participating in its retirement accounts. ERISA also requires the employer to provide complete and accurate information as well as certain other disclosures to its retirement plan participants and to offer a broad range of diversified investment options. When employers fall short on their ERISA fiduciary duties, again the highest under the law, employees can seek to hold their employers accountable for retirement account losses caused by the employers' breach.
Types of 401-k/Retirement Account Losses
Decline in the value of employer's company stock held in your 401-k/retirement account due to:
- Securities law violations by company management
- Management that drives a company to or near bankruptcy
Management's failure to make sure your 401-k/Retirement Plan is not engaged in other activities that may result in losses or loss of income:
- Excessive Fees paid to plan administrators, investment managers or other vendors
- Permitting plan administrators or investment managers to engage in practices such a securities lending
Representative Cases
In Re KeyCorp 2008 ERISA Litigation - View Complaint
In Re Merck (Vytorin) 2008 ERISA Litigation - View Complaint
In Re National City 2008 ERISA Litigation - View Complaint
In Re YRC Worldwide 2009 ERISA Litigation - View Complaint
In Re Advanta 2009 ERISA Litigation - View Complaint
In Re Flagstar 2010 ERISA Litigation - View Complaint