Quest Diagnostics Beats Would-be Class Suit Over 401(k) Funds

Quest Diagnostics Inc. defeated a proposed class action over its 401(k) plan investments when a federal judge concluded that the company diligently monitored the plan and its funds.

Quest’s retirement plan committee hired an outside consultant to provide investment advice, met quarterly to review challenged funds using detailed outside reports, had a process for monitoring and removing underperforming funds, and received annual training on their fiduciary duties, Judge Julien Xavier Neals said in a Wednesday opinion awarding the company summary judgment.

The plan participants said the committee’s meeting minutes “fail to capture any meaningful discussion” of the consistent underperformance of ...