We previously reported on Retirement Plans Committee of IBM et al. v. Larry W. Jander, in our June 2019 newsletter which was an employer stock-drop case from the Second Circuit. In this case, IBM workers claimed the Retirement Plans Committee breached its fiduciary duty by allowing retirement funds to be invested in artificially-inflated employer stock because the committee members knew, but did not disclose, that IBM's microelectronics division was overvalued. At oral argument, the fiduciaries argued that the decision of the lower court was wrong because ERISA does not obligate fiduciaries to use insider information and that securities laws already provide a framework addressing disclosure of material information about public companies. The Justices ultimately declined to address these arguments, and remanded the case back to the Second Circuit “to decide whether to entertain these arguments in the first instance.” While it is possible that the Second Circuit will find that the IBM defendants waived these arguments to the extent that they were not properly raised previously, hopefully the Second Circuit’s final decision will shed more light on the intersection of ERISA and securities law with respect to employer stock investment and related disclosures.
- Partner
Antoinette Schindel practices in KMK Law's Employee Benefits & Executive Compensation Group. Antoinette regularly advises employers regarding Affordable Care Act (ACA) compliance issues, including health coverage and ...
- Partner
Lisa Wintersheimer Michel is the leader of the Employee Benefits & Executive Compensation Group. Her practice primarily involves all aspects of qualified retirement plans, including profit sharing plans, 401(k) plans ...
Topics/Tags
Select- Labor & Employment Law
- Discrimination
- EEOC
- Employment Law
- Department of Labor
- Labor Law
- Title VII
- FLSA
- NLRB
- Workplace Violence
- Department of Justice
- Coronavirus
- Non-Compete Agreements
- Religion Discrimination
- Performance Improvement Plans
- Reasonable Accommodation
- Pregnancy Discrimination
- Department of Homeland Security
- Immigration and Customs Enforcement
- Foreign Nationals
- Immigration and Nationality Act
- NLRA
- Diversity
- National Labor Relations Board
- Wage & Hour
- Privacy
- Artificial Intelligence
- Inclusion
- LGBTQ+
- Employee Benefits and Executive Compensation
- Federal Trade Commission
- Overtime Pay
- FMLA
- Arbitration
- Workplace Accommodations
- Employment Litigation
- IRS
- Litigation
- Medical Marijuana
- Social Media
- Employer Policies
- Americans with Disabilities Act
- Disability Discrimination
- Retirement
- National Labor Relations Act
- Accommodation
- Sexual Orientation Discrimination
- Race Discrimination
- OSHA
- Employer Handbook
- ERISA
- ADAAA
- Medical Cannabis Dispensaries
- Unions
- Whistleblower
- ACA
- Affordable Car Act
- Employer Rules
- United States Supreme Court
- Sexual Harassment
- Technology
- Federal Arbitration Act
- Transgender Issues
- Disability
- 401(k)
- Employment Settlement Agreements
- Sixth Circuit
- Fair Labor Standards Act
- Equal Employment Opportunity Commission
- Benefits
- Paycheck Protection Program
- Gender Identity Discrimination
- Posting Requirements
- Class Action Litigation
- Disability Law
- E-Discovery
- Evidence
- Securities Law
- Preventive Care Benefits
- Environmental Law
- Family and Medical Leave Act
- Health Savings Account
- SECURE Act
- Privacy Laws
- US Department of Labor Employee Benefits Security Administration
- Representative Election Regulations
- Healthcare Reform
- Older Workers' Benefit Protection Act (OWBPA)
- Affirmative Action
- Electronically Stored Information
- Equal Opportunity Clause
- Telecommuting
- Compensable Time
- Occupational Safety and Health Administration
- Security Screening
- Supreme Court
- E-Discovery Case Law
- Electronic Data Discovery
- ESI
- Unemployment Insurance Integrity Act
- American Medical Association
- Attendance Policy
- Classification
- Fair Minimum Wage
- Federal Minimum Wage
- Misclassification
- Return to Work
- Seniority Rights
- State Minimum Wage
- Wage Increase
- Confidentiality
- Disability Leave
- Equal Pay
- Genetic Information Discrimination
- Media Policy
- National Origin Discrimination
- Retaliation
- Social Media Content
- Antitrust
- Employment Incentives
- HIRE Act
- Social Security Tax
- Taxation
Recent Posts
- More on Equal Opportunity: Executive Order Seeks to End Disparate Impact Liability to promote Equal Opportunity
- PIP This: The Expansion of Actionable Adverse Employment Decisions in the Wake of Muldrow v. City of St. Louis
- The Independent Contractor Tug-of-War: Navigating the Latest DOL Shifts
- ICE Raids and Audits – What’s an Employer to Do
- New Online Registration Requirements for Foreign Nationals
- Workplace Violence: Are You Taking Required Steps to Protect Your Employees?
- EEOC & DOJ New Guidance on DEI-Related Discrimination: What Does it Mean for Employers?
- EEOC Targets 20 Large Law Firms regarding DEI related Employment Practices
- Ohio Senate Bill 11: Key Provisions and Implications for Employers
- Shifting Burdens: Is McDonnell Douglas Past Its Prime?