Case Updates
Outcome
May 25, 2012
The Court affirmed the district court's order, dismissing the plaintiff's complaint for lack of standing.
U.S. Chamber files brief addressing ERISA stock drop liability
April 20, 2011
NCLC urged the Sixth Circuit to hold that benefit plan participants may not sue their employers for economic harm from allegedly imprudent plan investments. A Keycorp employee alleges that the fiduciaries of the company's benefit plan imprudently allowed participants to invest in KeyCorp stock when they knew, or should have known, that the stock's price was artificially inflated due to an alleged failure to disclose material financial information. In its brief, NCLC argued that the district court properly dismissed the case because the employee actually profited from her investments and therefore lacked standing. NCLC warned that this case subjects plan sponsors to ERISA liability that extends far beyond what Congress intended.