General Dynamics and FAMCO Class Action Settlement Of Class Action Lawsuit Over 401k Plan Fees.
A class action settlement has been reached in a class action lawsuit against General Dynamics Corp. (“General Dynamics”) and its 401(k) plan sponsor Fiduciary Asset Management LLC of Clayton (“FAMCO”) (collectively “Defendants”) (styled Will, et al. v. General Dynamics Corp.) alleging that thousands of participants in two General Dynamics 401K plans with assets worth approximately $6 billion were charged excessive fees, that billions of dollars worth of 401K business was given to FAMCO without a competitive bidding process and that costs and fees for plan participants were inflated, allegedly in violation of the Employee Retirement Income Security Act of 1974 (“ERISA”), according to class action settlement news reports.
Under the terms of the General Dynamics and FAMCO 401k Plan class action settlement, a $15.15 million settlement fund will reportedly be created by General Dynamics’ insurers, and FAMCO’s insurers and other sources.
The General Dynamics and FAMCO 401k Plan fiduciary class action settlement also reportedly provides, among other things, that:
Defendants will implement certain practices to maximize the returns plan participants receive from their 401(k) plan investments by keeping the costs of those investments low and have agreed to provide enhanced disclosures to participants regarding fees and expense associated with their 401k investments;
General Dynamics will continue to pay for the 401k plans’ record-keeping services on a per-participant, rather than an asset, basis, and will not provide subsidies to other benefit plans through the 401(k) plans;
General Dynamics will credit the 401(k) plans for volume discounts from investment managers who provide services to other General Dynamics benefit plans; and
FAMCO will be prohibited from recommending itself as investment manager or recommending the allocation of money to investment accounts it manages.
If You Have Thoughts On The General Dynamics and FAMCO 401k Plan Class Action Lawsuit Settlement, Share Your Class Action Comments
If you or someone you knew were employeed October 1994 to June 1997
You have until October 22nd to Participate in the Claim.
You can call Stettlement Administrator 866.682.1766
They can tell you where you can download the claim forms..... ACT FAST!
Posted By: Cynthia Merrill Artis
Friday, October 15th 2010 at 7:46PM
You can also
click
here to view all posts by this author...
