In the last 36 hours, four new class action lawsuits were filed against major universities relating to their employee retirement plans, bringing the total number to 12. In addition to the eight universities sued over the last two weeks, plaintiffs have brought claims against Columbia, Cornell, Northwestern, and Southern California Universities
The new complaints are nearly identical to the first eight. Like the previous round of complaints, each retirement plan qualifies as a “jumbo plan,” meaning that it is in the top one-percentile of all defined contribution plans based upon the size of the plan's assets. The new complaints also focus on large service providers including TIAA, Fidelity and Vanguard and allege that offering numerous investment options at multiple vendors is a breach of fiduciary duty.
Michelle Ueding will be conducting a webinar on this subject August 25, from 1:00-2:00 P.M. Central. Please click here to RSVP.
Kutak Rock regularly works with colleges and universities on retirement plan compliance and fiduciary risk matters, including assisting our clients in organizing, conducting and documenting fiduciary committee meetings. Please contact your Kutak Rock attorney or a member of the Employee Benefits and Executive Compensation Practice Group if you have questions about how these lawsuits impact your retirement plan.