A federal judge has denied a motion to dismiss abreach-of-fiduciary-duty lawsuit against Denver-based CatholicHealth Initiatives, saying that the overseers of the hospitalsystem’s defined benefit plan can be sued, even though the planoperates as a “churchplan.

The decision, filed on Sept. 30, was made in spite of the factthat, in August, U.S. District Judge Robert Blackburn rejected amagistrate judge’s recommendation that the court strip CHI of itschurch plan status.

Blackburn found that the allegations made by the lead plaintiff,Janeen Medina, were “adequate to put the individual defendants onnotice that they each allegedly failed to exercise the power oftheir positions to make the plan compliant with ERISA.”

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Nick Thornton

Nick Thornton is a financial writer covering retirement and health care issues for BenefitsPRO and ALM Media. He greatly enjoys learning from the vast minds in the legal, academic, advisory and money management communities when covering the retirement space. He's also written on international marketing trends, financial institution risk management, defense and energy issues, the restaurant industry in New York City, surfing, cigars, rum, travel, and fishing. When not writing, he's pushing into some land or water.