Spano v. Boeing Company

Case Highlights

Status of the Case:

  • This is one of the original excessive fee cases filed by Schlichter Bogard & Denton on September 11, 2006.
  • The allegations in the case are:
    • (1) defendants caused the Plan to pay unreasonable administrative fees to its recordkeeper CitiStreet;
    • (2) defendants imprudently included, among the Plan’s 11 investment options, four mutual funds, when superior institutional investment products were available;
    • (3) that these same four mutual funds charged excessive fees which included kickbacks to CitiStreet in the form of revenue sharing;
    • (4) that among these four mutual options, the Technology Fund was included in the Plan even though it was undiversified and imprudent for a retirement plan, and the Small Cap Fund was included even though it failed defendants’ standards of prudence, because it provided additional revenue sharing fees to CitiStreet; and
    • (5) that the Boeing Company Stock Fund imprudently held high levels of low-yielding cash, allowing State Street to place cash in its own funds and receive multiple layers of fees.
  • The previous class certification granted was overturned on appeal to the 7th Circuit in 2011.
  • On September 19, 2013, the district court granted amended class certification based upon the 7th Circuit opinion in Abbott v. Lockheed Martin Corporation.


  • Excessive Fees
  • Imprudent Investments


Key Defendants:

  • Boeing Corporation

Significant Filings:





  • 7th Circuit Court of Appeals
    • Case No. 09-3001
  • Southern District of Illinois
    • Case No. 06-743


  • District Judge David R. Herndon (Chief Judge)
  • Magistrate Judge Donald G. Wilkerson


  • Boeing Company
  • Boeing Employee Benefits Plans Committee
  • Scott M. Buchanan
  • Boeing Employee Benefits Investment Committee

Attorneys – Plaintiffs:

  • Schlichter Bogard & Denton, LLP

Attorneys – Defendants:

  • Bryan Cave, LLP
  • Schiff Hardin, LLP
  • Gibson Dunn & Crutcher, LLP

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