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Benefits
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August 27, 2024
AT&T Tells Justices 9th Circ. Erred In Reviving 401(k) Suit
AT&T urged the U.S. Supreme Court to review a Ninth Circuit ruling that upended its defeat of a class action alleging the company mismanaged its employee 401(k) plan, saying Tuesday the appeals court deepened a circuit split that threatens to cause chaos for plan administrators.
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August 27, 2024
Salesforce To Pay $1.35M To 50K-Plus ERISA Class
Salesforce will pay $1.35 million to more than 50,000 employees who accused the company, its board and its investment committee of violating the Employee Income Retirement and Security Act by picking expensive investment options and underperforming funds, according to a preliminary approval motion filed in California federal court.
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August 27, 2024
Grocery Co. Appeals Union Pension Fund's Win To 7th Circ.
A grocery retailer will appeal its Illinois federal court loss to the Seventh Circuit in a dispute over union pension fund withdrawal liability, after the court in July backed an arbitrator's decision that upheld the union's calculation of what was owed as compliant with federal benefits law.
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August 27, 2024
Travel Co. Inks $1.7M Deal To End 401(k) Mismanagement Suit
A travel company has agreed to pay $1.7 million to end a Nevada federal lawsuit alleging it loaded down its workers' $370 million 401(k) plan with excessive recordkeeping fees and costly investment funds in violation of its fiduciary duties under federal benefits law.
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August 27, 2024
Hospital CEO Says President Lied About Co.'s Financial State
The former CEO of a Nevada-based psychiatric hospital company claims the company's president knowingly transferred contracts to his own business so he could later claim the hospital company didn't have the money to honor the CEO's agreements, according to a lawsuit filed in Colorado federal court.
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August 27, 2024
11th Circ. Allows Fla. Law Banning Trans Care To Take Effect
The Eleventh Circuit has said a Florida law can take effect that bans gender-affirming care for transgender minors and restricts it for adults, granting the state's bid to scrap an injunction barring the law while it appeals a lower court ruling that found the statute unconstitutional.
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August 27, 2024
6th Circ. Reverses Geico's Win In Agents' Benefits Suit
The Sixth Circuit upended Geico's win in a lawsuit from insurance agents accusing it of misclassifying them as independent contractors and forcing them to lose out on benefits, saying more evidence is needed to determine if the insurer relied on unauthentic documents to get the suit tossed.
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August 27, 2024
Vt. High Court Affirms Denial Of Benefits To Marijuana Patient
The Vermont Supreme Court has affirmed an administrative law judge's decision not to issue a declaratory ruling whether off-duty medical cannabis use counts as misconduct for the purposes of terminating and denying benefits to a former transportation company employee.
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August 26, 2024
Banks' $20M Platinum Traders Antitrust Deal Gets Initial OK
A New York federal judge preliminarily approved Saturday a $20 million deal to resolve a nearly decade-old putative class action alleging Goldman Sachs, German industrial company BASF and two other banks fixed platinum and palladium prices.
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August 26, 2024
Funds Say Norfolk Southern Can't Ditch Derailment Fraud Suit
Pension funds have told a Georgia federal judge that they've laid out in exacting detail their allegations that Norfolk Southern eroded safety standards by embarking on risky cost-cutting moves and slashing its workforce, culminating in last year's fiery derailment in East Palestine, Ohio, and ultimately backfiring on investors.
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August 26, 2024
Siemens Misused 401(k) Plan Funds, ERISA Class Claim Says
The global technology and manufacturing giant Siemens Corp. wrongfully used forfeited 401(k) retirement plan assets to reduce the company's contributions instead of using the money to pay plan expenses, according to a proposed class action filed Friday in New Jersey federal court.
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August 26, 2024
Former X Worker Seeks Class Certification In Bonus Suit
A former X Corp. employee asked a California federal court to greenlight an approximately 2,200-member class in his lawsuit alleging the company reneged on promised bonuses after Elon Musk took over the social media company formerly known as Twitter.
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August 26, 2024
Insurer Wants Out Of Pa. Wig Widow's $4.5M Benefit Dispute
Lincoln National Life Insurance Co. asked a Pennsylvania state court to let it bow out of a dispute between a Pittsburgh wig and healthcare magnate's widow and his family partnership, arguing Monday that the court, not the insurer, had to choose between competing claims for a $4.5 million policy payout.
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August 26, 2024
Paul Hastings Recruits Executive Comp Atty From Kirkland
Paul Hastings LLP announced Monday it has landed an executive compensation lawyer from Kirkland & Ellis LLP as a partner for its Chicago office.
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August 23, 2024
Prime Healthcare's 401(k) Was In Good Hands, Judge Rules
Prime Healthcare Services Inc. beat a proposed class action in a bench trial over claims it allowed its employee 401(k) plan to be saddled with poor-performing investments and high costs, after a California federal judge ruled that the plan was prudently managed.
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August 23, 2024
NJ Ups Fee Cap In Workers' Comp Cases, Boosts Judges' Pay
New Jersey Senate President and current acting Gov. Nick Scutari, a practicing attorney, signed two bills into law increasing pay for Superior Court presiding judges and county prosecutors, and increasing the cap on how much attorneys can collect in fees in workers' compensation cases.
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August 23, 2024
MLB Says Exec's Retirement Benefit Beef 2 Decades Too Late
Major League Baseball has struck back at one of its former executives who alleges he is owed $5.9 million, saying his suit makes no argument that would support his claim the league erroneously calculated his retirement benefits.
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August 23, 2024
1st Circ. Says Longshoremen Local Still On Hook For $1.7M
The International Longshoreman's Association pension fund is entitled to collect nearly $1.7 million in unpaid contributions and attorney fees from a union local in San Juan, Puerto Rico, following a merger with another local that had been in arrears, the First Circuit has ruled.
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August 23, 2024
Union 401(k) Plan Trustees Strike $5M Deal To End ERISA Suit
Two elevator workers asked a Pennsylvania federal court to sign off on a $5 million settlement that would wrap up a proposed class action alleging their union's retirement plan was loaded with excessive administrative fees and shoddy investment options.
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August 23, 2024
Georgia IP Firm Settles Attorney's Wrongful Firing Suit
A Georgia attorney and the Atlanta-based intellectual property firm where he used to work have reached a settlement ending the attorney's lawsuit alleging the firm violated the Uniformed Services Employment and Reemployment Rights Act by cutting his hours and then firing him after he returned from his annual two-week tour of duty with the Air Force Reserve.
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August 22, 2024
PBMs Can't Yet Duck Municipalities' Claims In Opioid MDL
The Ohio federal judge overseeing multidistrict opioid litigation on Thursday refused, for now, to throw out claims against pharmacy benefit managers Express Scripts Inc. and OptumRX Inc., finding that the PBMs' arguments were brought too early and a more robust record is needed.
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August 22, 2024
9th Circ. Revives Military Bias Claims Against Alaska Airlines
The Ninth Circuit on Thursday revived a class action alleging Alaska Airlines illegally denied accrued vacation and sick time to pilots on military assignments, saying the case now has the benefit of a decision from the court in a similar case involving the airline.
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August 22, 2024
Calif. Panel Backs Arbitration Denial In Staffing Co. Wage Suit
A California state appeals court refused to ship to arbitration a worker's lawsuit accusing a staffing agency of unlawfully miscalculating his sick leave wages, saying the arbitration pact he signed promised that all Private Attorneys General Act claims will be litigated in court.
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August 22, 2024
Casino Co., Workers Agree To Sweeping Class In 401(k) Suit
Caesars Holdings and a group of workers told a Nevada federal court Thursday they'd agreed to the certification of a class that could cover tens of thousands of participants in Caesars' $1.6 billion 401(k) plan who allegedly had their retirement savings mismanaged.
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August 22, 2024
Army Adviser Gets 12 Years For Scamming Gold Star Families
A former New Jersey financial counselor with the U.S. Army and a major in the U.S. Army Reserve was sentenced to 151 months in prison after pleading guilty to defrauding Gold Star families and other related crimes, the U.S. attorney's office announced.
Expert Analysis
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Litigation Inspiration: A Source Of Untapped Fulfillment
As increasing numbers of attorneys struggle with stress and mental health issues, business litigators can find protection against burnout by remembering their important role in society — because fulfillment in one’s work isn’t just reserved for public interest lawyers, say Bennett Rawicki and Peter Bigelow at Hilgers Graben.
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Series
Skiing Makes Me A Better Lawyer
A lifetime of skiing has helped me develop important professional skills, and taught me that embracing challenges with a spirit of adventure can allow lawyers to push boundaries, expand their capabilities and ultimately excel in their careers, says Andrea Przybysz at Tucker Ellis.
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Think Like A Lawyer: Forget Everything You Know About IRAC
The mode of legal reasoning most students learn in law school, often called “Issue, Rule, Application, Conclusion,” or IRAC, erroneously frames analysis as a separate, discrete step, resulting in disorganized briefs and untold obfuscation — but the fix is pretty simple, says Luke Andrews at Poole Huffman.
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Employers, Prep For Shorter Stock Awards Settlement Cycle
Companies that provide equity compensation in the form of publicly traded stock will soon have one less day to complete such transactions under U.S. Securities and Exchange Commission and Nasdaq rules — so employers should implement expedited equity compensation stock settlement and payroll tax deposit procedures now, say attorneys at Morgan Lewis.
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How Firms Can Ensure Associate Gender Parity Lasts
Among associates, women now outnumber men for the first time, but progress toward gender equality at the top of the legal profession remains glacially slow, and firms must implement time-tested solutions to ensure associates’ gender parity lasts throughout their careers, say Kelly Culhane and Nicole Joseph at Culhane Meadows.
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7 Common Myths About Lateral Partner Moves
As lateral recruiting remains a key factor for law firm growth, partners considering a lateral move should be aware of a few commonly held myths — some of which contain a kernel of truth, and some of which are flat out wrong, says Dave Maurer at Major Lindsey.
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Series
Cheering In The NFL Makes Me A Better Lawyer
Balancing my time between a BigLaw career and my role as an NFL cheerleader has taught me that pursuing your passions outside of work is not a distraction, but rather an opportunity to harness important skills that can positively affect how you approach work and view success in your career, says Rachel Schuster at Sheppard Mullin.
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Navigating ACA Reporting Nuances As Deadlines Loom
Stephanie Lowe at Liebert Cassidy walks employers through need-to-know elements of Affordable Care Act reporting, including two quickly approaching deadlines, the updated affordability threshold, strategies for choosing an affordability safe harbor, and common coding pitfalls.
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6 Pointers For Attys To Build Trust, Credibility On Social Media
In an era of information overload, attorneys can use social media strategically — from making infographics to leveraging targeted advertising — to cut through the noise and establish a reputation among current and potential clients, says Marly Broudie at SocialEyes Communications.
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Del. Ruling Stands Out In Thorny Noncompete Landscape
In Cantor Fitzgerald v. Ainslie, the Delaware Supreme Court last month upheld the enforceability of forfeiture-for-competition provisions in limited partnership agreements, providing a noteworthy opinion amid a time of increasing disfavor toward noncompetes and following a string of Chancery Court rulings deeming them unreasonable, say Margaret Butler and Steven Goldberg at BakerHostetler.
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A Post-Mortem Analysis Of Stroock's Demise
After the dissolution of 147-year-old firm Stroock late last year shook up the legal world, a post-mortem analysis of the data reveals a long list of warning signs preceding the firm’s collapse — and provides some insight into how other firms might avoid the same disastrous fate, says Craig Savitzky at Leopard Solutions.
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Series
Coaching High School Wrestling Makes Me A Better Lawyer
Coaching my son’s high school wrestling team has been great fun, but it’s also demonstrated how a legal career can benefit from certain experiences, such as embracing the unknown, studying the rules and engaging with new people, says Richard Davis at Maynard Nexsen.
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SG's Office Is Case Study To Help Close Legal Gender Gap
As women continue to be underrepresented in the upper echelons of the legal profession, law firms could learn from the example set by the Office of the Solicitor General, where culture and workplace policies have helped foster greater gender equality, say attorneys at Ocean Tomo.
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Verizon Benefits Ruling Clears Up Lien Burden Of Proof
A Rhode Island federal court recently ruled that a Verizon benefits plan could not recoup a former employee’s settlement funds from the attorney who represented her in a personal injury case, importantly clarifying two Employee Retirement Income Security Act burden of proof issues that were previously unsettled, says Mark DeBofsky at DeBofsky Law.
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4 Steps To Navigating Employee Dementia With Care
A recent Connecticut suit brought by an employee terminated after her managers could not reasonably accommodate her Alzheimer's-related dementia should prompt employers to plan how they can compassionately address older employees whose cognitive impairments affect their job performance, while also protecting the company from potential disability and age discrimination claims, says Robin Shea at Constangy.