Amex Execs Win ERISA Lawsuit Over Termination of Costco Deal

Three American Express Co. executives won a lawsuit accusing them of breaching their fiduciary duties by allegedly not disclosing in a timely manner that the credit card company wouldn’t renew its agreement with Costco Wholesale Corp. (Houssain v. Cheanault, S.D.N.Y., 1:15-cv-08184, motion to dismiss granted 9/28/17).

Amex Chief Executive Officer Kenneth Chenault didn’t have any fiduciary duty under the Employee Retirement Income Security Act to participants in the company’s retirement plan, Judge Paul G. Gardephe of the U.S. District Court for the Southern District of New York held Sept. 28. As to the other two executives, John Koslow ...