Corporate Finance

This latest forfeiture lawsuit dismissal aligns with recent decisions from other federal courts rejecting challenges to employer use of forfeited funds from departing, unvested employees.

Plan sponsors must benchmark their available investments yearly and replace the underperforming funds, according to Abernathy Daley 401k Consultants.

The Guiding and Establishing National Innovation for U.S. Stablecoins Act for the first time establishes federal guardrails for digital assets pegged to the U.S. dollar.

The dismissal of the lawsuit alleging JPMorgan Chase misused departing employees’ “forfeited” funds aligns with other federal judges’ rejections of the misuse claim under ERISA.

“The ‘Sell America’ narrative is an over-exaggeration, but we do expect slow and bumpy dollar depreciation.”

This week, Cigna was again sued for fiduciary violations for using forfeited funds to reduce employer contributions to the plan, following a similar suit last month. What’s surprising is that another health insurer, UnitedHealth, is now facing two similar 401(k) lawsuits.

This class-action suit is one of 50 filed in the past two years by employees challenging how employers use the “forfeited funds” from departing employees who leave before they are vested in the retirement plan.

Companies must decide whether to issue now, when rates are higher but tariffs are paused, or wait until autumn, when rates are expected to fall but tariffs may have kicked in.