J&J, Workers Spar Over High Court Ruling on 401(k) Stock Drops

Johnson & Johnson told a federal judge in New Jersey that the employees who sued the company over the stock in their 401(k) plan have mischaracterized the U.S. Supreme Court’s recent ruling in a similar case involving International Business Machines Corp.

The parties disagree over how to interpret justices’ Jan. 14 opinion in Ret. Plans Comm. of IBM v. Jander, which sent an Employee Retirement Income Security Act lawsuit challenging a drop in IBM stock price back to the Second Circuit for more analysis. In Jander, the Supreme Court declined to address how federal securities law interacts with ...