On Friday, the US Supreme Court agreed to consider Fifth Third Bancorp v. Dudenhoeffer (U.S. No. 12-751, cert. granted 12/13/13). The Supreme Court stated that it will consider the following issue: “Whether, to state a claim that a fiduciary of an employee stock ownership plan violated the duty of prudence by continuing to invest plan assets in the employer’s stock, a plaintiff must rebut a presumption that the fiduciary acted prudently by alleging that the employer faced imminent financial peril?” Click here for a summary of the Sixth Circuit’s decision.
Russell Hirschhorn is a senior counsel in the ERISA Practice Center and the Labor & Employment Law Department, where he focuses on complex ERISA litigation and advises and represents employers, fiduciaries, trustees and plan service providers on ERISA benefit and fiduciary issues.