A team of boutique plaintiffs’ attorneys is diving into 401(k) litigation. (Photo: Shutterstock)
Smaller-than-jumbo size retirement plans are being targeted in excessive fee lawsuits by a team of boutique plaintiffs’ attorneys new to the 401(k) litigation arena.
In the latest filing, participants in the defined contribution plan sponsored by TriHealth, Inc., a Cincinnati-based hospital system, allege plan fiduciaries breached their obligations under the Employee Retirement Income Security Act by offering an investment menu laden with excessively costly options, resulting in $7.2 million in lost gains to the plan between 2013 and 2017.
In court papers filed in the U.S. District Court for the Southern District of Ohio, attorneys for a prospective class of more than 12,000 plan participants allege that “administrative fees” charged to the plan between 2013 and 2017 were 90 percent more than fees on similar-sized plans when calculated on a per participant or percentage of plan asset basis.
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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.
