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Maryland University’s Health System to Face Retirement Plan Suit

July 15, 2022, 1:47 PM

Former University of Maryland Medical System employees can advance the entirety of their proposed class action claiming the health system’s retirement plans offered overly expensive investment options, including a poorly performing stable value fund, a federal court said.

The employees’ allegation that 15 of the plans’ funds could have been offered in cheaper and better performing share classes states a valid claim for fiduciary breach under the Employee Retirement Income Security Act, Judge Julie R. Rubin said in an opinion docketed Thursday. The health system argued these higher-cost share classes helped the plan by offsetting administrative expenses, but the employees ...