Employers are facing a surge in class action lawsuits challenging health plan premium surcharges imposed on smokers and other tobacco users, commonly referred to as “smoker surcharges.” Earlier this year Bass Pro Shops agreed to pay $4.95 million to settle one such lawsuit.Continue Reading Health Plan Tobacco Surcharge Litigation
On August 7, 2025, President Trump signed an Executive Order (the “Order”) directing the Department of Labor (“DOL”) to re-examine guidance on a fiduciary’s duties under ERISA regarding alternative asset investments in 401(k) and other defined contribution plans, and potentially issue one or more fiduciary safe harbors. Alternative assets generally include private equity, real estate, commodities and digital assets. The Order directs the DOL to take the above actions within 180 days. The Order also directs the Securities and Exchange Commission to facilitate access to alternative assets for participant-directed defined contribution retirement savings plans, including revisiting “accredited investor” and “qualified purchaser” rules.Continue Reading Alternative Investments and 401(k) Plans
On April 17, 2025, the U.S. Supreme Court issued a unanimous opinion on the requirements for plaintiffs to survive a motion to dismiss regarding an allegation that plan fiduciaries engaged in a prohibited transaction under the Employee Retirement Income Security Act of 1974 (“ERISA”). Cunningham v. Cornell University, 23-1007 (U.S. 2025).Continue Reading Cunningham v. Cornell University