Schlichter Bogard & Denton's Suit on Behalf of MIT 401(k) Participants Advances
On August 31, Federal Magistrate Judge Marianne B. Bowler recommended that Schlichter Bogard & Denton’s suit against Massachusetts Institute of Technology (“MIT”) should proceed. Plaintiffs, who are current and former employees at MIT and participants in MIT’s 401(k) plan, allege that the university breached its fiduciary duties under ERISA by, among other things, failing to monitor the Plan’s excessive administrative fees and by providing high-cost, poor performing investment options.
In recommending that MIT’s motion to dismiss be denied, Judge Bowler stated that the Plaintiffs had sufficiently set forth claims for breach of the duty of prudence and that they should be allowed to pursue these claims in discovery.
The case is captioned Tracey v. Massachusetts Institute of Technology, No. 1:16-cv-11620 (D. Mass.). News coverage related to Judge Bowler’s ruling in favor of Schlichter Bogard & Denton can be found here.