Supreme Court Preserves Schlichter Bogard & Denton Appellate Win in Longstanding 401(k) Case Against ABB
On Monday, October 2, the U.S. Supreme Court declined ABB, Inc.’s petition to review a longstanding 401(k) case filed in 2006 by Schlichter Bogard & Denton on behalf of participants in two 401(k) plans sponsored by ABB. In denying ABB’s petition to review the ruling of the Eighth Circuit Court of Appeals, the Supreme Court preserved a victory for ABB participants represented by Schlichter Bogard & Denton. ABB had argued that the Eighth Circuit erred in its ruling.
When interviewed, Schlichter Bogard & Denton’s founding and managing partner Jerome Schlichter said that the case remains before U.S. District Judge Nanette Laughrey, who previously ruled that ABB plan executives had “abused their discretion” when they mapped certain funds in the ABB retirement plans. Judge Laughrey recently ordered the parties to submit methodologies for calculating damages to participants arising from ABB’s breach of fiduciary duties.
When asked about ABB’s petition to the Supreme Court challenging the Eighth Circuit’s decision in favor of Schlichter Bogard & Denton, Jerome Schlichter stated that ABB’s argument “didn’t have merit” and that “[t]hey were wrong on the law.”
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