The U.S. Supreme Court has declined to review an appeals court decision in Tussey v. ABB Ltd., a landmark case highlighting the sometimes excessive expenses in 401(k) plans.
The class-action lawsuit, filed in 2006, will now return to the Missouri District Court where the claim originated.
After a 16-day bench trial in 2012, U.S. District Judge Nanette Laughrey awarded $35 million in damages to more than 12,800 participants in ABB's retirement plans. The court found that both ABB and Fidelity breached their fiduciary duty by failing to oversee recordkeeping costs and mapping participants into more expensive investment options, ultimately leading to losses in the value of their plans.
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