Michelle Yau, chair of Cohen Milstein’s Employee Benefits/ERISA practice, has spearheaded some of the most significant ERISA class actions in the nation. Since 2022, Chambers USA has named her a “Top Ranked” individual in ERISA Litigation and in 2021, she was named a Law360 Benefits MVP. Michelle combines ardent dedication to protecting her clients’ retirement assets with rare insight into complex financial transactions and actuarial issues, informed by her Wall Street and government experience.
Michelle is passionate about righting economic injustice and protecting pension plan participants. She has a unique background having served as an Honors Program Attorney at the Department of Labor where she enforced and administered a variety of labor statutes and working as a financial analyst at Goldman Sachs in the Financial Institutions Group of the Investment Banking Division. This experience has allowed Michelle to play an instrumental role in important financial litigation, including high-profile ERISA lawsuits emerging from the Madoff Ponzi scheme.
Michelle is a senior editor of the ERISA treatise published by Bloomberg BNA, Employee Benefits Law, and a member of the Benefits Editorial Advisory Board for Law360.
During law school, Michelle was awarded several public interest fellowships, including the Heyman Fellowship for academic excellence and a demonstrated commitment to federal public service. As an undergraduate, she was selected as an Echols Scholar and awarded the Student Council Scholarship for leadership, academic achievement, and community service.
- Senior Editor of ERISA Treatise Employee Benefits Law published by Bloomberg & the ABA
- Member, Law360 Editorial Advisory Board – Benefits (2022-2023)
- Financial Analyst, Goldman Sachs & Co.
- District of Columbia
- Massachusetts
- Harvard Law School, J.D., 2003
- University of Virginia, B.A., Phi Beta Kappa, 1997
- Honors Program Attorney, U.S. Department of Labor, 2003-2007
- Heyman Fellowship, Harvard Law School
Current Cases
AMPAM Parks Mechanical ESOP Litigation
Barrios, et al. v. AMPAM Parks Mechanical, Inc., et al. (S.D. Cal.): Cohen Milstein represents employee participants and beneficiaries of the AMPAM Parks Mechanical, Inc. Employee Stock Ownership Plan in a class action lawsuit alleging that AMPAM Parks Mechanical and the founders of AMPAM, Buddy Parks, John D. Parks, James Parks, and Jason Parks breached their fiduciary duties in the management of the ESOP in violation of ERISA.
AT&T Pension Benefit Plan Litigation
AT&T Pension Benefit Plan Litigation (N.D. Cal.): Cohen Milstein represents participants and beneficiaries in the AT&T Pension Benefit Plan who allege that AT&T failed comply with ERISA’s actuarial equivalence requirements when providing married participants joint and survivor annuities.
CITGO Pension Plan Litigation
CITGO Pension Plan Litigation (N.D. Ill.): Cohen Milstein filed a complaint on behalf of a class of participants and beneficiaries of the CITGO Petroleum Corporation Salaried and Hourly Employees Pension Plans (the “CITGO Plans”), alleging violations of the Employee Retirement Income Security Act (“ERISA”). Plaintiffs’ complaint alleges that, prior to 2018, the CITGO Plans utilized outdated mortality tables to determine the value of joint and survivor annuities (“JSAs”), resulting in married retirees receiving less than the actuarial equivalent of the benefit that ERISA protects. This lawsuit seeks to recover amounts due to members of the class, and to reform the CITGO Plans to fully comply with protections afforded by ERISA to pension plan participants and their beneficiaries.
Casino Queen ESOP Litigation
Casino Queen ESOP Litigation (S.D. Ill.): Cohen Milstein represents ESOP participants who allege that the Board of Directors of CQ Holding Company, Inc. and related defendants violated ERISA when they created an ESOP to buy their Casino Queen stock for $170 million, a significantly inflated price.
Envision Management Holding, Inc. ESOP Litigation
Envision Management Holding, Inc. ESOP Litigation (D. Col.): Cohen Milstein represents Envision Management Holding ESOP participants in a lawsuit in connection with the sale of Envision Management Holding, Inc. to the ESOP at an inflated price, which caused a multi-million-dollar loss to the ESOP.
GWA, LLC 401(k) Profit Sharing Plan Litigation
GWA, LLC 401(k) Profit Sharing Plan Litigation (D. Conn.): On July 24, 2023, Cohen Milstein filed Andrew-Berry, et al. v. Weiss, Case No. Case 3:23-cv-00978 in the United States District Court of the District of Connecticut. This putative ERISA class action has been filed against GWA LLC, a hedge fund manager, and George A. Weiss, on behalf of Plaintiffs, who are participants in the GWA, LLC 401(k) Profit Sharing Plan (the “Plan”), and who allege that GWA, LLC and George A. Weiss breached their fiduciary duties and misused employee retirement plan assets to further their own pecuniary interest, in violation of Employee Retirement Income Security Act of 1974 (ERISA).
IBM Personal Pension Plan Litigation
Cohen Milstein represents participants and beneficiaries of the IBM Personal Pension Plan, who allege that the IBM Personal Pension Plan uses outdated mortality tables to determine the value of joint and survivor annuities, resulting in married retirees receiving less than the actuarial equivalent of the benefit that ERISA protects in violation of ERISA.
Intel Minimum Pension Plan Litigation
Berkeley v. Intel Corporation et al (N.D. Cal.): Cohen Milstein represents a putative class of pension plan participants and beneficiaries, who allege that the Intel Minimum Pension Plan utilized outdated mortality tables to determine the value of joint and survivor annuities, resulting in married retirees receiving less than the actuarial equivalent of the benefit that ERISA protects.
Litigio ESOP de Western Milling
Resumen de la Demanda Esta demanda, Zavala v. Kruse-Western Inc. et al., presentada en nombre de los participantes y beneficiarios del Plan de Propiedad de Acciones para Empleados de Western Milling (“ESOP”), alega numerosas violaciones de la Ley de Seguridad de los Ingresos de Jubilación de los Empleados Retirados (“ERISA”) en relación con la venta […]
Luxottica Group Pension Plan Litigation
Luxottica Group Pension Plan Litigation (E.D.N.Y.): Cohen Milstein represents Luxottica pension plan participants in a lawsuit, alleging that the plan used outdated mortality tables to determine the value of participants’ joint and survivor annuities, resulting in married retirees receiving less than the actuarial equivalent of the benefit that ERISA protects.
Nationwide Savings Plan Litigation
Nationwide Savings Plan Litigation (S.D. Ohio): Cohen Milstein represents participants in the Nationwide Savings Plan in a lawsuit, alleging that Nationwide improperly set its own compensation, earned impermissible profits at the expense of its employees, and exposed its employees’ retirement savings to undue risk.
New York Life Insurance Company 401(k) Litigation
New York Life 401(k) Plan Litigation (S.D.N.Y.): Cohen Milstein represents employees in a lawsuit against New York Life which alleges corporate self-dealing and the prohibited transfer of employees’ retirement assets to defendants at the expense of the retirement savings of New York Life employees and agents.
Southern Company Pension Plan Litigation
Southern Company Pension Plan Litigation (N.D. Ga.): Cohen Milstein represents participants and beneficiaries of the Southern Company Pension Plan, alleging that the Southern Company Pension Plan uses outdated mortality tables to determine the value of joint and survivor annuities and the amount it charges retirees for pre-retirement survivor annuities, resulting in married retirees receiving less than the actuarial equivalent of the benefit that ERISA protects.
WBBQ ESOP Litigation
Lloyd, et al. v. Argent Trust Company, et al. (S.D.N.Y): Cohen Milstein filed a lawsuit on behalf of alleging that the trustee of the WBBQ ESOP, Argent Trust Company and the company’s owner, and controlling managers and shareholders breached their fiduciary duties to the W BBQ Holdings, Inc. ESOP, causing the ESOP to engage in transactions that are prohibited under ERISA and in connection with the sale of the company to the ESOP for an inflated purchase price that far exceeded its fair market value.
Western Global Airlines ESOP Litigation
Western Global Airlines ESOP Litigation (D. Del.): Cohen Milstein represents employees in challenging the valuation of Western Global Airlines at approximately $1.3 billion, based on the sale of 37.5% of the company to the ESOP for $510 million. The lawsuit seeks to restore substantial losses to the ESOP and to disgorge all ill-gotten gains received by the Neff family.
Western Milling ESOP Litigation
Western Milling ESOP Litigation (E.D. Cal.): Cohen Milstein represents participants and beneficiaries of the Western Milling Employee Stock Ownership Plan, who allege that the ESOP’s trustees breached their fiduciary duties by engaging in risky investments in violation of ERISA, including purchasing 100% of Kruse-Western, Inc. company stock, which was valued at approximately 90% of the purchase price for several years after the ESOP Transaction.
Past Cases
Beacon/Madoff ERISA Litigation
In re Beacon Association Litigation (S.D.N.Y.): Cohen Milstein represented the trustees and participants of ERISA-covered employee benefit plans whose assets were invested by Beacon Associates LLC I and Beacon Associates LLC II (the “Feeder Funds”) in and lost money by investment the investment schemes of Bernard L. Madoff, Bernard L. Madoff Investment Securities, LLC.
BlackRock 401(k) Retirement Plan Litigation
BlackRock 401(k) Litigation(N.D. Cal.): Cohen Milstein successfully settled this certified class action in which plaintiffs alleged that the BlackRock 401(k) plan administrators engaged in corporate self-dealing—restricting plan options to BlackRock’s own proprietary funds, and in many cases failing to provide the lowest cost versions of those funds.
Dignity Health Church Plan Litigation
Dignity Health Church Plan Litigation (N.D. Cal.): Cohen Milstein was co-counsel to a class of defined benefit participants, which alleged that Dignity Health was improperly claiming that its pension plans were exempt from ERISA’s protections because they are “church plans,” and as a result underfunded its plans by over $1.2 billion. In June 2017, the Supreme Court reversed previous rulings on consolidated church plan cases and ordered plaintiffs, in this case, to file an amended complaint. On July 15, 2022, the court granted final approval of a $100 million settlement.
T. Rowe Price 401(k) Litigation
T. Rowe Price 401(k) Litigation (D. Md.): On July 6, 2022 the Court granted final approval of the $7 million settlement in this certified ERISA class action. Participants in the T. Rowe Price 401(k) plan alleged that plan fiduciaries violated their duties under ERISA causing the participants to pay millions of dollars in illicit fees by offering only T. Rowe Price’s own in-house investment funds in the 401(k) plan, failed to offer the lowest cost versions of those funds, and failed to consider funds from other companies that offered lower fees or better performance.
Triad Manufacturing, Inc. ESOP Litigation
Triad Manufacturing, Inc. ESOP Litigation (N.D. Ill.): Cohen Milstein represented participants and beneficiaries in the Triad Manufacturing ESOP who alleged that the ESOP's trustees breached their fiduciary duties in connection with the sale of Triad Manufacturing to the ESOP. In September 2021, the Seventh Circuit, in a precedent-setting decision, cited an exception to the Federal Arbitration Act that permits a court to overrule an arbitration agreement if it blocks a party from being able to bring claims under federal law. On August 23, 2023, the court granted final approval of a $14.8 million settlement and granted class certification.
Wells Fargo 401(k) Litigation
Becker v. Wells Fargo & Co. et al. (D. Minn.): Cohen Milstein achieved a $32.5 million settlement prior to class certification and expert discovery. The lawsuit alleged that Wells Fargo and its affiliates violated numerous provisions of ERISA by breaching their fiduciary duties and engaging in self-dealing transactions prohibited under ERISA.
World Travel ESOP Litigation
World Travel ESOP Litigation (E.D. Pa.): Cohen Milstein represents a putative class of employee stock option plan (ESOP) participants and beneficiaries who allege that the founders of World Travel and the ESOP trustees created the ESOP and then sold 100% of the employees World Travel stock to the ESOP at an above-market price, saddling it with over $200 million in debt.
Investigations
Johnson & Johnson Prescription Drug Benefit Class Action
Did you work for J&J and purchase prescription drugs through its health plans? As reported by Reuters, a class action lawsuit has been filed against Johnson & Johnson for allegedly mismanaging its prescription drug program in its health plans and allowing plan participants to be overchanged for prescription drugs. If you purchased drugs through the […]
- Law360 Benefits MVP (2021)
- Chambers USA Top Ranked ERISA Litigation Plaintiff ( 2022-2023)
- Lawdragon 500 Leading Civil Rights & Plaintiff Employment Lawyers (2021-2023)
- Law360 Benefits Group of the Year (2019, 2021-2022)
March 19, 2024
Cohen Milstein Joins Prosecution of Novel ERISA Class Action Against Johnson & Johnson
Cohen Milstein recently joined plaintiff’s legal team in Lewandowski v. Johnson and Johnson, a novel class action filed in federal court in New Jersey, accusing J&J of mismanaging the prescription drug program in its health plan, costing employees millions.
Press Releases
February 26, 2024
New York Life To Pay $19M To Settle Retirement Plan Suit
Current and former New York Life Insurance workers asked a federal court Monday to approve a $19 million deal in a proposed class action alleging the insurance giant unlawfully kept underperforming proprietary investment options in two employee retirement plans. Plan participants leading the Employee Retirement Income Security Act suit said in a motion for preliminary […]
In the News | Law360
January 23, 2024
New York Life Strikes Deal To End Workers’ 401(k) Suit
New York Life Insurance Co. and thousands of current and former insurance company workers told a New York federal court Monday that they had struck a deal to settle a case alleging mismanagement of the employees’ 401(k) retirement plan. Parties to the Employee Retirement Income Security Act suit said in a joint letter to the […]
In the News | Law360
January 11, 2024
Michelle Yau to Discuss Current Issues in ERISA Litigation
Michelle Yau, chair of Cohen Milstein’s Employee Benefits/ERISA practice, joins an ABA webinar panel of distinguished plaintiff and defense lawyers who will discuss the current state of play in ERISA litigation and current case law relating to excessive fee cases, the validity of arbitration provisions, cybercrimes relating to theft of plan assets and data, and […]
Events | ABA Joint Committee on Employee Benefits
January 5, 2024
Cohen Milstein Presenta una Demanda Colectiva de ERISA Contra AMPAM Parks Mechanical por Enriquecer a los Propietarios a Expensas del Plan de Jubilación de Los Empleados
El principal subcontratista de plomería multifamiliar de diseño y construcción de California presuntamente traicionó a sus empleados en una transacción ilegal de ESOP de $247 millones Washington, DC – Cohen Milstein Sellers & Toll PLLC, una firma de abogados de demandantes de primer nivel, presentó una demanda colectiva en nombre de los empleados y participantes […]
Press Releases | Cohen Milstein
January 5, 2024
Cohen Milstein Files ERISA Class Action Against AMPAM Parks Mechanical for Enriching Owners at Expense of Employee Retirement Plan
California’s top design-build multifamily plumbing subcontractor allegedly sells out employees in illegal $247 million ESOP transaction Washington, DC – Cohen Milstein Sellers & Toll PLLC, a premier plaintiffs’ law firm, filed a class action on behalf of employees and participants of the AMPAM Parks Mechanical, Inc. Employee Stock Ownership Plan (ESOP). The lawsuit is against […]
Press Releases | Cohen Milstein
July 24, 2023
Weiss Multi-Strategy Hedge Fund Spurs Retirement Plan Class Suit
Hedge fund manager GWA LLC and its founder George A. Weiss was hit with a proposed class action claiming the entirety of its retirement plan is invested in alternative, proprietary investments including its flagship Weiss Multi-Strategy Partners hedge fund. The lawsuit, filed Monday in the US District Court for the District of Connecticut, claims the […]
In the News | Bloomberg Law
October 10, 2023
High Court Turns Away Push To Send ESOP Suit To Arbitration
The U.S. Supreme Court declined on Tuesday to review a Tenth Circuit decision that an arbitration provision in a radiology company’s employee stock ownership plan documents was unenforceable, despite the company’s argument that workers’ claims they were overcharged for company stock didn’t belong in court. In an order list, the justices rejected the July petition […]
In the News | Law360
August 29, 2023
ESOP Participants Urge Justices to Reject Arbitration Plea
Participants in a radiology company’s employee stock ownership plan urged the U.S. Supreme Court to reject a management-side petition for certiorari seeking to force arbitration of their benefits lawsuit, arguing the Tenth Circuit rightly found a provision in ESOP plan documents unenforceable because it purported to eliminate statutory remedies. The proposed class of participants in […]
In the News | Law360
August 15, 2023
3rd Circ. Backs Arbitration Denial in Airline ESOP Fight
The Third Circuit on Tuesday refused to force arbitration of a benefits suit from a proposed class of cargo airline workers who allege mismanagement of their employee stock ownership plan, backing a lower court’s decision without full briefing or arguments. In a two-page order, a Third Circuit panel granted a motion for summary affirmance in […]
In the News | Law360
August 4, 2023
No Pause in ERISA Class Suit for Supreme Court Appeal – Law360
A proposed class action alleging a radiology company and its founders overcharged an employee stock ownership plan can move forward, a Colorado federal judge has ruled, saying the defendants aren’t entitled to a stay while they appeal to the U.S. Supreme Court over an order that found federal benefits law trumped the company’s arbitration agreement. […]
In the News
July 31, 2023
Michelle Yau Invited to Speak on the Evolving World of ERISA
Michelle C. Yau, chair of Cohen Milstein’s Employee Benefits/ERISA practice, has been invited to speak at Practising Law Institute’s annual 2023 ERISA: The Evolving World, a CLE program, accessible online and in person on July 31 – August 1. Michelle joins leading ERISA attorneys who will discuss a broad array of topics, including regulatory updates, […]
Events | Practising Law Institute
June 27, 2023
New York Life Workers Seek Class Nod In 401(k) Suit
A group of current and former New York Life Insurance Co. workers asked for class status in their New York federal court lawsuit alleging the insurance giant retained underperforming proprietary investment funds in two retirement plans, arguing that their claims can be litigated in one fell swoop. The employees said Monday that their Employee Retirement […]
In the News | Law360
June 14, 2023
5 Important Benefits Rulings From The 1st Half Of 2023
Here are five rulings from the first six months of 2023 that benefits lawyers should have on their radar. . . . ESOP Managers Lose 10th Circ. Arbitration Bid The Tenth Circuit issued a published opinion Feb. 9 rejecting a radiology company’s bid to compel individual arbitration of an ERISA class action from workers who […]
In the News | Law360
May 3, 2023
Three Cohen Milstein Attorneys Selected for Law360 Editorial Advisory Boards
MAY 3, 2023 FOR IMMEDIATE RELEASE Press Contact: cohenmilstein@berlinrosen.com THREE COHEN MILSTEIN ATTORNEYS SELECTED FOR LAW360 EDITORIAL ADVISORY BOARDS Legal Insights Sought in Areas of Benefits, Competition, and Wage & Hour Washington D.C. – Cohen Milstein, one of the nation’s leading plaintiff-side law firms, has announced that three partners have been selected to serve on […]
Press Releases | Cohen Milstein
April 24, 2023
Manufacturing Co. Agrees To $14.8M Deal in ESOP Suit
Retail display maker Triad Manufacturing and employee stock ownership plan trustee GreatBanc agreed to a $14.8 million deal to end a lawsuit from workers claiming they were overcharged for Triad stock, teeing up an end to a court battle that the Seventh Circuit refused to kick to arbitration. Proposed class representatives James Smith and Jerry […]
In the News | Law360
March 14, 2023
Dugan Denies Dismissal for Former Casino Queen Owners in Pension Fraud Suit – Madison
U. S. District Judge David Dugan denied stacks of motions to dismiss pension fraud claims against former Casino Queen owners on March 6 and March 8. He dismissed no one except defendants who died, and he dismissed them without prejudice. Attorney Michelle Yau, chair of Cohen Milstein’s practice focusing on the Employee Retirement Income Security […]
In the News | St. Clair Record
March 9, 2023
ESOP Managers Can’t Force Airline Workers to Arbitrate Suit
A cargo airline’s owners and the caretakers of its employee stock ownership plan must face an Employee Retirement Income Security Act lawsuit in Delaware federal court, a judge ruled Wednesday, throwing out their bid to arbitrate workers’ claims that the defendants mismanaged the transaction that created the ESOP. In a two-page order, U.S. District Judge […]
In the News | Law360
March 7, 2023
Casino Queen Execs Can’t Sink Workers’ ESOP Suit
An Illinois federal judge refused to free two Casino Queen founders and a former president from a lawsuit by workers alleging the executives siphoned millions from the workers’ retirement savings to buy stock in the company’s holding firm, saying he needs more information before making any decisions. On Monday, U.S. District Judge David W. Dugan […]
In the News | Law360
February 9, 2023
Manufacturing Co. Strikes Deal In ESOP Share Inflation Suit
A retail display manufacturing company has agreed to settle a proposed class action filed in Illinois federal court alleging it violated federal benefits law when it sold inflated company shares to workers through their employee stock ownership plan in a $106 million deal. Triad Manufacturing Inc. workers James Smith and Jerry Honse; Triad’s board of […]
In the News | Law360
February 9, 2023
10th Circ. Won’t Force Arbitration in Radiology Co. ESOP Row
The Tenth Circuit on Thursday rejected a radiology company’s bid to force into individual arbitration a federal benefits lawsuit from workers who alleged mismanagement of their employee stock ownership plan. The panel upheld an arbitration provision in ESOP plan documents as unenforceable because it blocked remedies under federal benefits law. A three-judge panel in a […]
In the News | Law360
January 27, 2023
ESOP’s Arbitration Clause Conflicts With ERISA, Judge Says
A Delaware federal magistrate judge recommended tossing a bid by a cargo airline’s owners to arbitrate a suit claiming they sold overvalued shares of the company to an employee stock ownership plan, finding the plan’s arbitration provision conflicts with the Employee Retirement Income Security Act. U.S. Magistrate Judge Jennifer L. Hall said Wednesday that while […]
In the News | Law360
January 27, 2023
Travel Co. Workers Agree To $8.7M Deal To End ESOP Suit
Workers for a travel company asked a Pennsylvania federal judge to sign off on an $8.7 million deal to resolve their proposed class action claiming their employee stock ownership plan was overcharged when it shelled out $200 million to buy shares from three of their employer’s founders. The employees asked the court Wednesday to greenlight […]
In the News | Law360
January 26, 2023
2022 Benefits Group of the Year: Cohen Milstein
Cohen Milstein Sellers & Toll PLLC finalized several multimillion-dollar settlements in federal benefits lawsuits last year and defeated an Illinois casino’s bid to escape a suit from workers alleging mismanagement of their employee stock ownership plan, earning the firm a repeat selection as one of Law360’s 2022 Benefits Groups of the Year. A federal judge’s […]
In the News | Law360
January 17, 2023
Envision’s Bid for ERISA Arbitration Appears Shaky in 10th Cir.
Arbitration clause limits remedies provided by statute Company urges court to focus on ‘effective’ vindication Envision Management Holding Inc.’s effort to force arbitration in a dispute over its employee stock ownership plan appeared to be in jeopardy on Tuesday, when a panel of Tenth Circuit judges had tough questions for the company’s lawyer. Judge Mary […]
In the News | Bloomberg Law
January 17, 2023
10th Circ. Skeptical of Forcing Arbitration in ESOP Row
The Tenth Circuit appeared skeptical Tuesday of a radiology company’s argument that ex-workers alleging the company mismanaged their employee stock ownership plan should be booted to individual arbitration, citing language in the Employee Retirement Income Security Act allowing workers to seek plan-wide relief. A three-judge panel during oral arguments quickly focused on whether workers’ rights […]
In the News | Law360
December 13, 2022
Employee Stock Ownership Plans – Understanding the Risks and Rewards
By Michelle C. Yau and Daniel R. Sutter Employee Stock Ownership Plans (ESOPs) are retirement plans that are set up to invest solely in the stock of the employer. Among other things, ESOPs offer the company and employee participants various tax benefits, making them “qualified” plans that are regulated by the Employee Retirement Income Security Act […]
Events
October 25, 2022
Federal Lawsuit Filed by Cohen Milstein Alleges Second Largest Utility Company in U.S. Miscalculated Retiree Pensions Resulting in Underpayment
FOR IMMEDIATE RELEASE Firm still signing up Southern Company Pension Plan participants for class action Washington, DC – Cohen Milstein Sellers & Toll PLLC, a premier plaintiffs’ class action law firm, represents retirees of the Southern Company Pension Plan (“the Plan”) in a class action lawsuit against Southern Company and its pension plan administrators. Plaintiffs […]
In the News
September 29, 2022
Cohen Milstein Investigates Arizona Public Service’s Parent Company for Miscalculating Pension Plan Mortality Tables Resulting in Underpayment
FOR IMMEDIATE RELEASE Firm to file class action E.R.I.S.A. lawsuit to hold Pinnacle West and fiduciaries accountable Washington, DC – Cohen Milstein Sellers & Toll PLLC, a premier plaintiffs’ class action law firm, is investigating the Pinnacle West Capital Corporation Retirement Plan in anticipation of a potential class action lawsuit. The investigation concerns whether the […]
In the News
September 26, 2022
Federal Lawsuit Filed by Cohen Milstein Alleges IBM Miscalculated Pension Plan Mortality Tables Resulting in Underpayment
Firm is still signing up retirees in IBM’s Personal Pension Plan Washington, DC – Cohen Milstein Sellers & Toll PLLC represents retirees of the IBM Personal Pension Plan (“IBM Plan”) in a class action lawsuit against IBM and the plan administrators. The plaintiffs seek to represent IBM’s married retirees. They allege that for married retirees […]
In the News
August 15, 2022
Workers Seek OK For ERISA Class Over $244M Stock Buy
Workers for an animal feed manufacturer asked a California federal judge for class status in their suit alleging they were charged an inflated $244 million for their employer’s stock just before its value plummeted because of a feed contamination scandal. Three workers filed their request for class certification Thursday in the suit lodged against Kevin […]
In the News | Law360
July 7, 2022
“Md. Judge OKs $7M T. Rowe Price ERISA Settlement”
A Maryland federal judge gave the final stamp of approval to a $7 million settlement between T. Rowe Price and a group of retirees who claimed the company mismanaged their retirement savings, after the judge had asked them to limit the scope of the pact. U.S. District Judge James K. Bredar in an order on […]
In the News | Law360
June 22, 2022
Is Your Retirement Plan Imposing a Marriage Penalty? What You Need to Know
If you’re married and enrolled in a pension plan with Intel, your plan’s Survivor Annuity may have been miscalculated in violation of the Employment Retirement Income Security Act (ERISA). Learn more about the Intel case. By Michelle C. Yau If you are a married person who receives a monthly pension check from a private company, […]
Articles | Cohen Milstein
June 22, 2022
The Cohen Milstein Benefits Blog
Employee Stock Ownership Plans – Understanding the Risks and Rewards Michelle C. Yau and Daniel R. Sutter Employee Stock Ownership Plans (ESOPs) are retirement plans that are set up to invest solely in the stock of the employer. Among other things, ESOPs offer the company and employee participants various tax benefits, making them “qualified” plans […]
Resources
June 7, 2022
“AT&T Workers Seek to Certify 300,000 ERISA Class Members”
A group of AT&T Inc. employees and retirees asked a California federal judge to certify two classes containing nearly 300,000 people total in a suit alleging the company miscalculates married couples’ pension plans. The workers said in a motion filed Monday that their case accusing AT&T of violating the Employee Retirement Income Security Act by […]
In the News | Law360
June 3, 2022
IBM Retiree Files Class Suit Over Pensions for Married Workers
Contact us to learn how you may be affected by this lawsuit. IBM retiree Joshua Knight has filed a proposed class action involving the IBM Personal Pension Plan, Bloomberg Law reports. The lawsuit, filed in the U.S. District Court for the Southern District of New York, challenges how IBM calculates retirement benefits for some workers […]
Articles | Bloomberg Law
May 20, 2022
Argent Lost BBQ Restaurant Workers Millions, Lawsuit Says
A former barbecue chain worker hit Argent Trust Co. with a proposed class action in New York federal court Friday, accusing it of violating federal benefits law and costing workers millions in retirement savings by letting them pay too much for their employer’s stock. Jamaal Lloyd filed the lawsuit against the Atlanta-based wealth management company […]
In the News | Law360
May 9, 2022
“ERISA Arbitration Likely Headed For High Court, Attys Say”
The question of whether employers can short-circuit Employee Retirement Income Security Act class actions by tucking requirements that workers individually arbitrate their claims into plan documents is likely bound for the U.S. Supreme Court, benefits attorneys say. The Seventh Circuit put a spotlight on this issue in September, when it declared arbitration agreements barring class claims were unenforceable […]
In the News | Law360
April 4, 2022
Wells Fargo Inks $32.5 Million Deal Over Affiliated 401(k) Funds
Wells Fargo & Co. will pay $32.5 million to resolve litigation by workers who say the banking giant favored its own funds in their 401(k) plan over cheaper and better performing alternatives, settlement papers filed in Minnesota federal court show. The deal is expected to benefit more than 400,000 people who invested in Wells Fargo […]
In the News | Bloomberg Law
March 25, 2022
ERISA Trumps Radiology Co.’s Arbitration Pact
A radiology company and its founders must face a proposed class action alleging they overcharged their employee stock ownership plan in a $163.7 million sale, a Colorado federal judge ruled, saying the company can’t enforce an arbitration agreement because it conflicts with federal benefits law. U.S. District Judge Regina M. Rodriguez on Thursday said the […]
In the News | Law360
March 21, 2022
“Nationwide Can’t Ax Pension Plan Participants’ ERISA Claims”
An Ohio federal judge on Friday denied Nationwide Mutual Insurance Co.’s bid to toss a proposed class action alleging the company breached its fiduciary duty under the Employee Retirement Income Security Act through the mismanagement of employees’ pension plan. In a 14-page opinion, U.S. District Judge James L. Graham denied a request by Nationwide Mutual, its subsidiaries […]
In the News | Law360
March 1, 2022
“Overvalued Airline Cost ESOP Nearly $200M, Workers Say”
A group of employees at Western Global Airlines has filed a proposed class action in Delaware federal court accusing the cargo airline’s owners of overvaluing the company when they sold shares to the employee stock ownership plan, causing the plan to lose $188 million over two months. The employees said in their complaint Monday that […]
In the News | Law360
February 24, 2022
Citgo Must Face Early Retirees’ ERISA Suit
An Illinois federal court on Tuesday denied Citgo Petroleum Corp.’s bid to throw out a proposed class action alleging the company’s use of outdated metrics to calculate early retirement payouts meant retirees were shortchanged benefits, determining the former workers made valid claims under federal benefits law. In his opinion denying Citgo’s motion to dismiss Leslie Urlaub […]
In the News | Law360
February 22, 2022
“Citgo Petroleum Retirees Advance Challenge to Pension Calculation”
Citgo Petroleum Corp. must face a proposed class action claiming it shortchanges the pensions of certain married retirees by calculating their benefits using outdated lifespan data, according to a Chicago federal court ruling issued Tuesday. Citgo retirees Leslie Urlaub and Mark Pellegrini are moving forward with claims that the pensions they received from Citgo, which […]
In the News | Bloomberg Law
January 28, 2022
“Illinois Casino Must Face Ex-Workers’ Claims in ERISA Suit”
A federal judge on Friday denied an Illinois casino company’s motion to dismiss a proposed class action from former employees who allege they were cheated out of tens of millions of dollars in a series of multimillion-dollar transactions involving their retirement plan that violated the Employee Retirement Income Security Act. U.S. District Judge David W. […]
In the News | Law360
December 14, 2021
“Ex-Kruse Western Worker Advances $244 Million Stock Plan Suit”
Animal feed company Kruse-Western Inc. must face the bulk of a lawsuit claiming it forced workers to pay $244 million for company stock worth only $27 million following a contamination and recall, according to a California federal judge’s ruling. The proposed class action by former Kruse-Western employee Armando Zavala states a valid claim for a […]
In the News | Bloomberg Law
December 14, 2021
“Milling Co. Can’t Slip ERISA Suit Over $244M Stock Sale”
Milling company Kruse-Western Inc.’s board of directors must face a proposed class action for allegedly overcharging its employees in a $244 million stock deal before an animal feed contamination problem drove the company’s share value down, a California federal judge has ruled. U.S. District Judge Dale Drozd ruled on Monday that the lawsuit from former […]
In the News | Law360
October 19, 2021
“Dignity Health Judge Blesses $100M ERISA Deal on Third Try”
A California federal judge on Tuesday granted preliminary approval to a class action settlement he had twice rejected as defective, greenlighting a deal that would require Dignity Health to pay over $100 million to workers who claim the health system underfunded its pension plan by $1.8 billion via erroneous use of ERISA’s church-plan exemption. Nearly […]
In the News | Law360
September 13, 2021
7th Circ. Refuses to Kick ERISA Class Action to Arbitration
The Seventh Circuit rejected a St. Louis manufacturing company’s push to send a would-be class action from workers who say they were overcharged for company stock to individual arbitration, saying a “rare” exception to federal law applied. The three-judge panel issued a unanimous opinion Friday backing a district court’s decision not to send the Triad […]
In the News | Law360
August 11, 2021
“Citgo Sued for Allegedly Shortchanging Retirees of Millions in Pensions,” Houston Chronicle
A class action suit filed last week alleges that Citgo shortchanged retirees by millions of dollars in pension funds. Retired employees in two Citgo Petroleum Corp. pension plans filed a lawsuit Aug. 3 alleging their retirement benefits were diminished because of out-of-date actuarial data. The allegations apply to former Citgo employees who retired before Jan. […]
In the News
August 4, 2021
“Retirees Charge Citgo’s Use of Outdated Data Shortchanged Benefits,” Pensions & Investments
Retired employees in two pension plans operated by Citgo Petroleum Corp. have sued the company, the pension plans and fiduciaries saying they were shortchanged in their retirement benefits. The plaintiffs, seeking class-action status, allege they and other pensioners were harmed because the Citgo pension plans used out-of-date actuarial tables to calculate retirement benefits. “Plaintiffs and […]
In the News
August 4, 2021
“Citgo Petroleum Latest Employer Sued over Pension Lifespan Data,” Bloomberg Law
Citgo Petroleum Corp. shortchanges the pensions of certain retirees by calculating their benefits using “punitive” and “severely outdated” lifespan data, according to a proposed class action filed in the Northern District of Illinois. The lawsuit, filed Tuesday by Citgo retiree Leslie Urlaub, challenges how Citgo calculates the benefits of married workers who choose pension formats […]
In the News
July 15, 2021
The Escalating Litigation Involving Actuarial Equivalence on Taft-Hartley Plans: No End in Sight
By Michelle C. Yau, Mary J. Bortscheller, and Julie S. Selesnick The January 2020 edition of the Shareholder Advocate discussed important fiduciary liability concerns related to the actuarial equivalence requirements of ERISA. This article revisits the subject and provides an overview of court rulings that occurred in the past 18 months. Actuarial Equivalence Explained Actuarial […]
Articles | Shareholder Advocate Summer 2021
July 8, 2021
“Certainty Sought from Justices in Northwestern Retirement Fight,” Bloomberg Law
Benefits attorneys are hoping a Supreme Court ruling in a case against Northwestern University will restore certainty on what employees must show to plausibly allege their retirement plans are being charged excessive fees. The justices agreed last week to hear the long-running fight in their next term starting in October. It’s a case that could […]
In the News
May 17, 2021
“Wells Fargo Faces Lawsuit for Allegedly Mismanaging Its 401(k) Plan,” ThinkAdvisor
A judge has denied Wells Fargo’s request to dismiss a class-action lawsuit that claims the mega bank mismanaged its more than $40 billion 401(k) plan. Brought on behalf of participant Yvonne Becker in U.S. District Court for the District of Minnesota, the class-action lawsuit asserts that some high-level executives at Wells Fargo — who were […]
In the News
May 13, 2021
Judge Moves Forward Wells Fargo 401(k) Self-Dealing Suit
A federal district court judge has moved forward a lawsuit alleging that Wells Fargo 401(k) plan fiduciaries should have been able to obtain superior investment products at a very low cost but instead chose proprietary products for their own benefit, increasing fee revenue for the company and providing seed money to newly created Wells Fargo […]
In the News | PlanAdvisor
May 13, 2021
Judge Denies Wells Fargo Bid to Dismiss ERISA Suit, Pensions & Investments
A federal court judge in Minneapolis rebuffed an attempt by Wells Fargo & Co. and other defendants to dismiss an ERISA complaint filed by a participant in a company 401(k) plan. U.S. District Court Judge Donovan Frank on May 12 rejected every defense submitted in the case of Yvonne Becker vs. Wells Fargo Co. et […]
In the News
May 12, 2021
Wells Fargo Must Defend Affiliated Funds in $40 Billion 401(k)
Bank defeated similar suit in Eighth Circuit in 2018. But this lawsuit has more details, benchmarks, judge says. Wells Fargo & Co. must face a proposed class action challenging the affiliated funds in its $40 billion 401(k) plan after a Minnesota federal judge on Wednesday ruled that plan participants provided meaningful benchmarks showing how the […]
In the News | Bloomberg Law
April 8, 2021
“AT&T Workers Challenging Pensions Keep Case in California,” Bloomberg Law
AT&T Inc. failed Thursday to convince a federal judge in California to transfer to Texas or dismiss it from a proposed class action brought by employees who challenge the way the company calculates certain pensions. Six former workers sued in the U.S. District Court for the Northern District of California in October, claiming AT&T shortchanges […]
In the News
March 30, 2021
7th Circ. Judge Doubts Arbitration Can Resolve ERISA Suit
A Seventh Circuit judge on Tuesday pushed a St. Louis manufacturing company to explain how workers alleging retirement plan mismanagement can use individual arbitration to seek relief including the removal of directors, which would inevitably benefit other participants, when the plan’s arbitration provision says any relief can only benefit the claimant. In oral arguments Tuesday, […]
In the News | Law360
March 30, 2021
“ERISA Plan Arbitration Clause Faces Skeptical Seventh Circuit,” Bloomberg Law
Arbitration of ERISA plan mismanagement claims at issue. Judges focus questions on attorney arguing for arbitration. An attorney defending a mandatory arbitration clause in an ERISA plan document on Tuesday fielded tough questions from a panel of Seventh Circuit judges, which wanted to square statutory language authorizing plan-wide relief with a plan term requiring individual […]
In the News
March 15, 2021
Michelle C. Yau Invited to Speak at PLI’s “ERISA Fiduciary Investment Basics 2021” Program
Michelle C. Yau will participate in the Practising Law Institute webcast program “ERISA Fiduciary Investment Basics 2021” on March 15, 2021. Ms. Yau will co-present the “401(k) Plan Fiduciary Fundamentals” session, reviewing fundamental fiduciary considerations applicable to 401(k) and other plans with participant directed account investment. Click here to learn more or to register for the […]
Events
March 11, 2021
“New York Life Faces ERISA Lawsuit,” Pensions & Investments
A participant in a 401(k) plan run by New York Life Insurance Co. has sued the company and plan fiduciaries alleging violations of their ERISA responsibilities for two company retirement plans. “This suit is about corporate self-dealing and the prohibited transfer of employees’ retirement assets to defendants at the expense of the retirement savings of […]
In the News
March 2, 2021
New York Life Sued Over 401(k) In-House Funds, Default Option
If you are interested in learning more about this case or discussing how you may be affected, please complete our brief questionnaire. We will then follow-up to schedule a complimentary consultation with one of our attorneys. New York Life Insurance Co. was sued by a former employee who says the company engages in self-dealing and earns […]
In the News | Bloomberg Law
March 1, 2021
Employee Stock Ownership Plans: Vulnerable to Abuse?
Many traditional 401(K) plans are being replaced with employee stock ownership plans (“ESOPs”). While in many cases an ESOP is a valuable benefit to employees, they are also vulnerable to abuse. What is an ESOP? An ESOP is a qualified defined-contribution employee benefit plan designed to invest primarily in the stock of the sponsoring employer. […]
Articles | Cohen Milstein
March 1, 2021
Is My ESOP Account at Risk?
If you are interested in learning more about this issue or discussing how you may be affected, please complete our brief questionnaire. We will then follow-up to schedule a complimentary consultation with one of our attorneys. An Employee Stock Ownership Plan (“ESOP”) is an ownership program where a company provides its employees with company stock, usually […]
Articles
January 25, 2021
“Casino’s Arb. Pact Too One-Sided to Be Enforced, Judge Says,” Law360
An Illinois federal judge handed a riverboat casino’s former employees a victory in their fight to keep a proposed ERISA class action in court, ruling Monday that the arbitration provision in Casino Queen’s employee stock ownership plan is invalid. If Casino Queen’s board of directors wanted the arbitration provision they added to the company’s ESOP […]
In the News
January 22, 2021
AARP Backs 7th Circ. Bid to Keep ERISA Suit in Court
The AARP and its charitable arm threw their support behind a former Triad Manufacturing Inc. worker’s bid to keep his proposed ERISA class action in the courthouse, telling the Seventh Circuit that the arbitration clause in Triad’s employee retirement plan was illegal. In an amicus brief filed Thursday in a case accusing Triad of mismanaging […]
In the News | Law360
October 13, 2020
“AT&T Sued for ERISA Violations,” Law Street
On Monday in the Northern District of California, AT&T was sued in a class-action complaint by six former AT&T workers who participate and are beneficiaries to AT&T’s Pension Plan; the suit revolves around AT&T’s alleged violations of the Employee Retirement Income Security Act (ERISA) in regards to the AT&T Pension Benefit Plan. Specifically, the plaintiffs […]
In the News
October 13, 2020
Michelle C. Yau to Speak at PLI’s “Pension Plan Investments 2020: Current Perspectives” Program
Michelle C. Yau will participate in the Practising Law Institute webcast program “Pension Plan Investments 2020: Current Perspectives” on October 13, 2020. Ms. Yau will speak as part of the “Litigation Update” session, examining pension plan fiduciary litigation, health and welfare plan litigation, and defined contribution plan litigation. Click here to learn more or to register […]
Events
May 6, 2020
Former Casino Queen Employees Sue Company Over 2012 Sale
Two former Casino Queen employees have filed suit against the casino’s old owners over the 2012 sale of the property that made it employee-owned. The plaintiffs, Tom Henseik and Jason Gill, allege the former owners of the Casino Queen Inc. sold their stake in the company into an employee stock ownership program (ESOP) at a […]
In the News | KWMU 90.7 St. Louis Public Radio
April 29, 2020
ESOP Participants Deal ERISA Lawsuit to Casino Queen
Two participants in the Casino Queen Employee Stock Ownership Plan have filed a class-action lawsuit against CQ Holding Co., East St. Louis, Ill., and other fiduciaries alleging they violated their duties in the management of the ESOP. The lawsuit, filed Monday in U.S. District Court in East St. Louis, alleges the company’s board of directors […]
In the News | Pensions & Investments
April 16, 2020
GreatBanc Hit With Class Suit Over $106 Million Stock Plan Deal
A lawsuit filed in the Northern District of Illinois accuses GreatBanc Trust Co. of mishandling a stock plan transaction that caused employees of Triad Manufacturing Inc. to pay $106 million for employer stock that may have been worth less than $4 million. The class action complaint, filed Wednesday by former Triad employee James Smith, claims […]
In the News | Bloomberg Law
March 18, 2020
“Wells Fargo Sued Over 401(k) Plan ERISA Violations,” Pensions & Investments
Participants in a 401(k) plan offered by Wells Fargo & Co. sued the company and fiduciaries, alleging that plan executives violated ERISA by using several proprietary investments and failing to explore cheaper and better-performing options. The defendants chose investments “that benefited Wells Fargo & Co. and its subsidiaries and executives,” said the complaint filed March […]
In the News
March 16, 2020
“Wells Fargo Hit With ERISA Suit Over $40B 401(k) Plan,” Law360
Wells Fargo & Co. has been hit with a proposed class action accusing the financial services company of mismanaging its $40 billion 401(k) plan by steering more than $5 billion of its workers’ retirement savings into proprietary funds that have cost them $100 million in losses. Yvonne Becker, a former Wells Fargo employee, lodged her […]
In the News
February 27, 2020
Intel 401(k) Ruling Settles One Issue, Leaves Others Waiting
In settling one dispute over the law that governs retirement plans, the Supreme Court may have opened the door for others down the road. The court set a new standard for determining the deadline for litigation over 401(k) plans under the Employee Retirement Income Security Act in a unanimous ruling Wednesday, but attorneys for plan […]
In the News | Bloomberg Law
February 26, 2020
Employers Lose Intel High Court Suit but Get Gift From Alito
The U.S. Supreme Court handed workers a big win Wednesday by preserving a six-year deadline to file ERISA class actions as the standard, but employers have already seized on language in Justice Samuel Alito’s opinion as a road map for how to impose a shorter deadline. Justice Alito ended the unanimous opinion — which affirmed […]
In the News | Law360
February 10, 2020
Cohen Milstein Issues Winter 2020 Shareholder Advocate
The Winter 2020 edition of the Shareholder Advocate includes: Equivalence Suits Target ERISA Fiduciaries – Michelle C. Yau Boards Must be Held Accountable for Sexual Harassment Scandals – Julie Goldsmith Reiser Judge in Greensky Allows Plaintiffs to Move Forward – Richard E. Lorant Blue Slips Ignored to Fill Federal Bench – Molly J. Bowen Fiduciary […]
Articles | Cohen Milstein
February 10, 2020
Equivalence Suits Target ERISA Fiduciaries
It is important for Taft-Hartley plan trustees to be informed of developments related to ERISA fiduciary liability. Cohen Milstein continuously monitors ERISA lawsuits, and in this issue of the Shareholder Advocate, we summarize developments related to several lawsuits concerning actuarial equivalence rules found in certain ERISA provisions. Over the last year, there were nine class […]
Articles | Shareholder Advocate Winter 2020
January 1, 2020
ERISA Cases to Watch in 2020: All Eyes on the High Court
2020 is shaping up to be a banner year for benefits law, with three ERISA cases already on the U.S. Supreme Court’s docket and a number of other high-profile lawsuits at the circuit court level that could attract the justices’ attention. The conservative-leaning Supreme Court could use the cases to limit workers’ ability to pursue […]
In the News | Law360