Bloomberg Law
Benefits & Executive Compensation News

401(k) Advice Rule Hits Major Roadblock in District Courts

Two Texas federal judges’ decisions to pause implementation of a recently finalized 401(k) advice rule while insurer groups’ challenges proceed signal difficulties ahead for the Labor Department as it tries to fend off multiple legal threats to the regulation.

Labor Department 401(k) Advice Rule Paused by Texas Judges

The Labor Department’s rule classifying more retirement advice providers as fiduciaries hit another major roadblock when a second Texas federal judge issued an order temporarily blocking the rule from taking effect.

Hanover Insurance Unit Sued Over PBM Litigation Defense Costs

A Hanover Insurance Group Inc. unit should have covered legal defense costs in litigation with a pharmacy benefit manager, a pharmacy company said in a federal lawsuit.

Dueling Rulings on Temp Worker Pay Laws Sow Confusion in States

The status of Illinois and New Jersey laws requiring that temporary workers receive compensation equal to direct-hire employees remains in flux, as staffing industry groups challenging the measures and the state lawmakers supporting them respond to differing court decisions.

Uber, Lyft California Prop 22 Ruling Opens Door to Challenges

Uber Technologies Inc. and Lyft Inc.‘s classification of drivers as independent contractors was left intact by California’s top court on Thursday—but it’s not the end of the companies’ fight in the Golden State.

PRACTITIONER INSIGHTS

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Patrick Haggerty
Patrick A. Haggerty, Tax and Accounting Services
Deborah Tuerkheimer
Northwestern University

Latest Stories

Sheet Metal Retirees Get Nod for Class Deal Boosting Pensions

Participants in a sheet metal workers’ pension plan received initial approval for a class settlement valued at more than $2.5 million that would boost the pensions of about 25 retirees who were approved for unreduced early retirement benefits.

Norfolk Southern Securities Claims Should Proceed, Judge Says

Norfolk Southern Corp. should continue to face an investor lawsuit alleging that the company failed to disclose increased risk-taking practices prior to a 2023 train derailment in East Palestine, Ohio, a federal magistrate judge said in a recommendation.

IN BRIEF

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Case: Health Care & Benefits/Long-Term Disability Benefits (S.D. Fla.)

The court granted in part an employee’s motion for summary judgment in this action against the Guardian Life Insurance Company of America challenging the denial of his long-term disability benefits related to his transient ischemic attack. Sami v. Guardian Life Ins. Co. of Am., 2024 BL 249502, S.D. Fla., 23-cv-20168-ALTMAN/Reid, 7/22/24

Case: Health Care & Benefits/Life Insurance (N.D. Miss.)

The court granted Guardian Life Insurance of America summary judgment on this ERISA action by an individual seeking to recover $85,000 in group life insurance proceeds following the death of his wife. Edwards v. Guardian Life Ins. of Am., 2024 BL 238398, N.D. Miss., 1:22-CV-145-KHJ-MTP, 7/12/24

Case: Retirement Plans/ERISA Compliance (S.D. Cal.)

The court granted in part and denied in part the Profit Sharing Plan II Administrative Committee’s motion to dismiss two former of Torrence’s Farm Implements’ action alleging failure to comply with ERISA. Rodriguez v. Profit Sharing Plan II Admin. Comm. , 2024 BL 244464, S.D. Cal., 23-CV-2236 JLS (JLB), 7/17/24

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