Alorica Retirement Plan Fee Lawsuit Moves Forward in California

Former Alorica Inc. employees challenging their retirement plan’s fee levels defeated the customer service company’s latest motion to dismiss and received court permission to amend their claims against Morgan Stanley Smith Barney LLC.

Alorica sought to dismiss claims challenging the plan’s recordkeeping fees, saying the workers presented contradictory allegations about what an appropriate fee would be. Judge John W. Holcomb disagreed in a Tuesday order, saying the workers have consistently alleged that the plan’s annual recordkeeping fees were well above the $40-per-person level they say is reasonable.

Holcomb, who sits in the US District Court for the Central ...