S Corporation ESOPs Can Give Workers a Retirement Savings Advantage
In such plans, they have more than twice the average retirement balance of other workers.
Tag: ESOP
DOL, Reliance Trust Settle ESOP Pricing Lawsuit
Reliance Trust will pay $4,545,454 back to the plan within 30 days.
Closely Watched Case Regarding Burden of Proof Dismissed And Settled
A significant split among circuit courts on this issue remains unresolved.
Second Decision in Wells Fargo Stock Drop Case Parses ‘Loyalty’ and ‘Prudence’
Given a second chance to argue their case, participants in a Wells Fargo retirement plan have again failed to meet the steep pleading standards set out by the influential Supreme Court decision known as Fifth Third vs. Dudenhoeffer.
Rainbow ESOP Challenge Easily Beats Motions to Dismiss
Plaintiffs in the lawsuit are participants and beneficiaries of the Rainbow Disposal Co., Inc. Employee Stock Ownership Plan, who seek to restore losses to the plan and to otherwise remedy a complicated series of alleged breaches of fiduciary duty.
DOL Investigation Results in $5 Million ESOP Settlement
The settlement agreement resolves a civil suit brought by the DOL, alleging Cactus Feeders Inc. ESOP fiduciaries failed to fulfill their obligations under ERISA during a December 2010 stock transaction.
ESOP Participants to Receive More Than $2 Million for Overpayment of Stock
A federal district court has entered a consent judgment requiring the fiduciaries of the Sonnax Industries’ employee stock ownership plan (ESOP) to pay $2,225,000 to the plan.
Judge Rejects Parts of DOL ESOP Expert Commentary in Fiduciary Breach Litigation
A complicated decision out of a Virginia district court weighs the merits of third-party expert commentary in ERISA litigation, in this case pertaining to an allegedly improper ESOP transaction.
ESOP Knowledge Can Provide Real Adviser Differentiation
In an interview with PLANADVISER, Jerry Ripperger, vice president of consulting at Principal, highlights a new, fee website the firm has rolled out to help advisers and their clients explore the potential benefits of launching employee stock ownership plans as part of a broader ownership transition.
Two ESOP Bills Progress in Congress
Both aim to promote employee ownership and have bipartisan support.
First Bankers Trust Settles Three ERISA Suits
The lawsuits alleged that First Bankers Trust violated the Employee Retirement Income Security Act when it approved stock purchases by three employee stock ownership plans.
Court Rules ERISA Statute of Limitations Can Be Waived
Defendants wanted their agreement to extend negotiations beyond ERISA's six-year statute of limitations to be nulled.
Time to Submit Plan Sponsor of the Year Nominations Is Running Out
Nominating a plan sponsor client is a great way to show appreciation
and highlight important best practices that are improving outcomes for defined
contribution and pension plan participants. Nominations for all types of
retirement plans will be considered, so don’t delay.
Wagner Aims to Fill Void Left by DLP
With the determination letter program gone, Wagner Law Group
is helping plan sponsors remain compliant with the IRS.
ESOP Participants Win Case Over Failed Diversification Implementation
A court used plain language of the ESOP plan document to show the plan administrator's failure to implement participants diversification elections was "arbitrary and capricious."
Court Recommends Dismissal of ESOP Challenge Against Wilmington Trust
The judge noted that stock must be purchased at an inflated price and sold at a loss for an economic injury to occur.
New ESOPs Are Created Each Year
Research from the NCEO finds ESOPs still hold a significant amount of retirement plan assets.
ESOP Failed to Meet Burden of Proof in Suit Against Transactional Trustee
A U.S. appellate court had to resolve a dispute about whose burden it was to prove or disprove a fiduciary breach before deciding on the case.
Stock Drop Challenge Filed Against Chicago Bridge and Iron
The proposed class action suit includes many of the classic
claims typically leveled in ERISA stock-drop litigation.
ESOPs Present Business Transition Planning Opportunity
Some ownership transitions are designed to wring every last dollar possible out of the business, but this is simply not what ESOPs are about.