Genentech 401(k) Fund Appeal Fails Under Ninth Circuit Case Law

Genentech Inc. defeated an appeal challenging the target-date funds in its workers’ 401(k) plan when the Ninth Circuit said the allegations against the biotechnology company lacked the facts necessary to state a viable ERISA claim.

The plan participants’ Employee Retirement Income Security Act claims fail under the standard set by the Ninth Circuit’s May decision in Anderson v. Intel Corp. Inv. Policy Comm., the court said Tuesday in a three-page, unpublished opinion. In Anderson, the appeals court said that ERISA claims of fiduciary imprudence based on retirement investments typically require a sound comparison to other investment options ...