Participants in two of RadioShack's retirement plans have filed a class-action in federal court alleging the company breached its fiduciary duty by continuing to offer company stock as an investment option, even after its poor performance made doing so imprudent.
The same court in 2008 dismissed part of another claim alleging Radio Shack impudently offered its own stock. In the earlier case, plaintiffs claimed the stock suffered an 8 percent drop after a $62 million company write-down related to obsolete inventory.
That claim was thrown out on the grounds that the company's "presumption of prudence" protected the decision to maintain company stock as an investment option.
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