[UPDATE – On Sunday, the court entered an order entertaining a joint motion by the parties to delay the start of the trial until Tuesday. The parties filed such a motion stating “Plaintiffs and Defendants hereby jointly request a one-day continuance so that the parties can determine whether the case can be resolved short of a full trial. ” We will continue to monitor.]
On Monday, December 15, 2014, the excessive fee lawsuit against Lockheed Martin goes to trial in the Southern District of Illinois after 8 years since the case was filed, two trips to the 7th Circuit and one failed cert petition to the Supreme Court. It is the third such fee lawsuit to go to trial against employer fiduciaries since a “blitzkrieg” of lawsuits was filed against Fortune 500 companies on September 11, 2006. The previous trials were against Edison International and ABB, Inc. and those cases have been covered extensively on this blog, as has the case against Lockheed Martin. See Victory for Plaintiffs: 7th Circuit Allows Class Certifications for Excessive Fee Cases and Supreme Court Declines to Hear Lockheed Martin Class Cert Appeal.
The three primary issues to be decided at trial concern the payment of excessive administrative fees, the stable value fund, and the company stock fund. Here are the final trial briefs as filed by the parties:
- Lockheed Martin’s Brief re: Excessive Administrative Fees
- Lockheed Martin’s Brief re: Stable Value Fund
- Lockheed Martin’s Brief re: Company Stock Fund
We will be monitoring the trial and will report on any major developments.