A press release from Stull, Stull & Brody says that on August 12, 2010, the United States District Court for the Northern District of Ohio, Eastern Division, granted KeyCorp’s motion to dismiss the ERISA class action complaint which was filed on behalf of certain participants who held KeyCorp common stock in their accounts in the Keycorp 401(k) Savings Plan.
The press release notes that the ERISA class action, Taylor v. KeyCorp, et al., No. 1:08-cv-01927, was brought on behalf of participants in the Plan whose Plan accounts held KeyCorp common stock at any time from December 31, 2006 to the present. According to the plaintiffs’ attorneys the case alleged that KeyCorp and other fiduciaries of the Plan breached their fiduciary duties by offering KeyCorp stock as an investment option under the Plan when KeyCorp stock was not a prudent investment for retirement savings accounts.
The announcement noted that in dismissing the case, the Court ruled that neither of the plaintiffs who brought the suit had suffered injury from their holding of KeyCorp stock in their Plan accounts and, therefore, the plaintiffs lacked standing to sue.