Analysis

Will Health Plan Costs Spur A New Wave Of ERISA Suits?

Law360 (June 20, 2019, 6:54 PM EDT) -- Workers claiming their retirement plans were unlawfully saddled with excessive fees have had some noteworthy successes in recent years, including a $55 million settlement with tech firm ABB Inc. in March. Now, attorneys are wondering if cases claiming health and welfare plans were allowed to overpay will be the next big trend in Employee Retirement Income Security Act litigation.

Two lawsuits echoing the familiar argument that plan fiduciaries violated ERISA by letting worker contributions go toward allegedly excessive fees and expenses — this time health plan costs — have laid the groundwork for what could be a popular new avenue....

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