CSX Transportation Must Face Labor Department’s Pension Lawsuit

The Labor Department can move forward with a lawsuit accusing a Florida-based transportation company of taking unchecked fees from its workers’ pension plan, according to a federal court decision adopting the recommendation of a magistrate judge.

Judge Marcia Morales Howard on Wednesday declined to dismiss the department’s lawsuit accusing CSX Transportation Inc. of violating the Employee Retirement Income Security Act. Howard adopted the October report of Magistrate Judge Joel B. Toomey, who said the department had viable ERISA claims based on CSX’s alleged decision to pay itself administrative fees from its pension trust account.

CSX objected to the report, ...