T. Rowe Price Can’t Dodge 401(k) Fee Lawsuit Over In-House Funds

T. Rowe Price Group Inc. can’t escape claims that it violated federal benefits law by offering its own in-house, underperforming, high-fee investment funds in its $1.7 billion 401(k) plan when other cheaper, better-performing options were available.

T. Rowe is one among at least two dozen financial companies facing similar claims in federal courts across the country. Last week, Deutsche Bank agreed to pay $21.9 million to settle such claims, making it the sixth company to do so in recent years. So far, Wells Fargo and Capital Group have been the only companies that have defeated these lawsuits.

The ruling against ...