AT&T Workers Tell Justices Revived 401(k) Case Not Circuit Split

AT&T Services Inc. should be held liable for prohibited transactions using 401(k) assets, a group of employees said in a US Supreme Court brief arguing that their Ninth Circuit win doesn’t conflict with other appeals court rulings.

The appellate reversal of a lower court’s ruling in favor of AT&T found that the telecommunications giant had engaged in prohibited transactions under federal benefits law by adding brokerage and investment advisory services to its existing recordkeeper contract, remanding the question of whether AT&T qualified for an exemption back to the district court.

The Supreme Court must now weigh AT&T’s contention that the ...