Morton Buildings’ $4 Million Stock Plan Settlement Gets Final OK

Morton Buildings Inc. finalized its $4 million class settlement with workers who sued the company’s prior owners and Argent Trust Co. over a transaction involving their employee stock ownership plan.

The lawsuit challenged a 2017 transaction in which Morton—a builder of farm, commercial, and residential structures—became 100% employee-owned through that ESOP. Plaintiff Jackie Lysengen said Argent, an investment management company that was charged with representing plan participants’ interests during the deal, allowed Morton’s selling shareholders to unload their interests at an inflated price and saddle the plan with tens of millions in debt.

The deal resolves the workers’ claims against ...