Benefit Plan Participants Ask U.S. High Court To Clarify Dudenhoeffer

Mealey's (January 6, 2021, 9:32 PM EST) -- WASHINGTON, D.C. — Since the 2014 decision in Fifth Third Corp. v. Dudenhoeffer, courts of appeals have differed on whether employee stock ownership plan (ESOP) fiduciaries are immune from duty-of-prudence claims that are based on the failure to publicly disclose inside information where such a disclosure would cause a stock drop, Wells Fargo & Co. plan participants argue in their petition for a writ of certiorari filed Dec. 23 in the U.S. Supreme Court seeking a ruling on immunity, as well as whether Dudenhoeffer’s framework also applies to duty-of-loyalty claims....