Challenge to $922M Union 401(k) Plan Stays Alive

A proposed class action targeting a $922 million union 401(k) plan that covers about 27,000 Teamsters and other workers is moving forward.

The trustees of the Supplemental Income 401(k) Plan argued that the workers’ challenge to certain administrative fees was untimely under the Employee Retirement Income Security Act’s three-year deadline for filing certain claims of fiduciary breach. A federal judge disagreed Nov. 5, saying the three-year deadline didn’t apply because the workers weren’t given enough information about the plan to have “actual knowledge” of the disputed fee structure during the relevant time period.

The case brings a union retirement plan ...