Virginia Federal Judge Says ESOP Trustee Acted As A Fiduciary In Stock Purchase

Mealey's (May 5, 2017, 1:18 PM EDT) -- LYNCHURG, Va. — A Virginia federal judge on May 2 denied a motion to dismiss a lawyer defendant in a case alleging that the defendants facilitated the purchase of company stock by an employee stock ownership and savings plan (ESOP) at an inflated price in violation of the Employee Retirement Income Security Act, saying that the attorney exercised discretionary authority or control over the management of the ESOP and, therefore, was a de facto fiduciary (Edward C. Hugler v. Adam Vinoskey, et al., No. 6:16-cv-00062, W.D. Va., 2017 U.S. Dist. LEXIS 67030)....