Magna International Strikes Deal in 401(k) Plan Fee Class Action

Magna International of America Inc. and workers covered by its 401(k) plan reached a settlement in a lawsuit challenging the plan’s fee levels.

The parties came to an agreement during a May 3 settlement conference with Magistrate Judge Elizabeth A. Stafford, according to a docket entry issued in the US District Court for the Eastern District of Michigan. Details about the deal weren’t immediately publicly available.

The 20,000-person class action says Magna’s retirement plan charges excessive administrative fees and offers high-cost share classes of certain investment options despite the availability of cheaper alternatives.

Magna, an automotive supplier with a ...