Clorox 401(k) Forfeiture Suit Dismissed With Chance to Try Again

A former Clorox Co. employee challenging how the company handles forfeited money in its 401(k) plan must file an amended complaint to keep his proposed class action alive, a federal judge said.

Judge Yvonne Gonzalez Rogers largely granted the cleaning product manufacturer’s motion to dismiss, saying the employee’s claim of fiduciary breach under the Employee Retirement Income Security Act is “impermissibly broad.” Rogers gave the worker until Nov. 12 to file an amended complaint that includes more details about the particular facts and circumstances of the Clorox plan.

Rogers dismissed plaintiff James McManus’ claims of prohibited transactions under the statute, ...