Financial Mismanagement and ERISA Litigation Attorneys

Protecting Investments and Retirement Plans

You place a deep level of trust in those responsible for managing your investments and hard-earned retirement savings. When this trust is violated, whether by imprudent investment strategies, purposeful misrepresentation, poor decision-making, charging inappropriate or exorbitant fees, or other unlawfully abusive behaviors, the attorneys at Sanford Heisler Sharp McKnight can help you pursue civil claims for financial mismanagement.

Our Financial Mismanagement & ERISA Litigation Practice is staffed with experienced investment and securities lawyers who have spent much of their careers in the securities and financial services industry. Practice Group Co-Chair and Co-Vice Chairman Charles Field, who is a leader in 401(k) mismanagement or “ERISA” law, and is skilled at identifying and aggressively pursuing civil recovery for misrepresentation, fraud, and other forms of financial misconduct. Charles frequently writes about and comments on ERISA law and was the first to file a lawsuit against General Electric (“GE”) in what became a nationwide ERISA class action resulting in a $61 million settlement for participants in GE’s 401(k) retirement plan.

Financial Mismanagement and ERISA Litigation

Client Testimonials

At Sanford Heisler Sharp McKnight, we understand how retirement plan management is supposed to work for the benefit of employees. Our dedicated Financial Mismanagement & ERISA Litigation team has extensive experience litigating matters that center on complex investment products, investment performance, and breaches of fiduciary duties. We use that experience to assess whether plan fiduciaries have breached their duty to employees and their beneficiaries and evaluate whether those who have been aggrieved can recover damages.

On This Page

Types of Financial Mismanagement & ERISA Cases Our Law Firm Handles
Employee Retirement Income Security Act (ERISA) Violations
Employee Stock Ownership Plan (ESOP)
Consult with Our Experienced ERISA & Financial Mismanagement Litigation Team

Types of Financial Mismanagement & ERISA Cases Our Law Firm Handles

Drawing on more than 35 years of experience, our Financial Mismanagement and ERISA Litigation team protects retirement plans, investors, and retirees from unscrupulous companies, stockbrokers, and investment advisors who have taken advantage of them in securities or other financial services transactions.

Through actions brought under federal and state laws, Sanford Heisler Sharp McKnight can help investors recover the lost value of mismanaged investments, especially when these investments relate to:

401(k) mismanagement
Employee Stock Ownership Plan (ESOP) mismanagement
Investor abuse
Elder financial abuse in California

Employee Retirement Income Security Act (ERISA) Violations

Millions of employees across the U.S. rely on their retirement plans to deliver a sustainable retirement nest egg. It falls on the shoulders of employers and their appointed fiduciaries to keep pace with the market and the needs of an aging workforce.

But managing multimillion- and billion-dollar investment portfolios is no easy task. Employers and plan fiduciaries are challenged every day by volatile markets, uncertainty, and overall randomness. An even greater risk comes from imprudent and conflicted investment advice that is often imparted by someone in whom employees have placed their complete trust.

What is ERISA?

When employers fail to appropriately manage 401(k), 403(b), or private pension plans, employees have legal rights. The Employee Retirement Income Security Act of 1974 (ERISA) is a federal law that sets minimum standards for how employers should manage retirement plans. Under law, employers must act diligently when they select which investments to offer, carefully monitor investments on an ongoing basis, remove imprudent investments, avoid conflicts of interest, and prevent excessive fees.

The Fiduciary Duties of Plan Administrators & Employers

While fiduciaries have discretionary control over how a company’s retirement plan is invested, ERISA requires plan administrators to adhere to the duties of prudence, loyalty, and care. Actions contrary to these duties can lead to breach of duty claims on behalf of retirement plan participants.

Duty of Prudence: Requires fiduciaries to invest prudently, without exposing the plan to excessive risk
Duty of Loyalty: Requires fiduciaries to act solely in the interest of participants and beneficiaries of the plan, and not for the benefit of the employer, plan fiduciaries, or their subsidiaries and advisors
Duty of Care: Requires fiduciaries to actively evaluate plan investments, and to remove poorly performing funds from the plan when appropriate

Our Approach to ERISA Cases

We start by evaluating a plan’s investment performance to determine whether the plan is adequately preparing its employees for retirement. We then investigate the reasons behind the fiduciaries’ investment decisions. Once we confirm a poor investment process, we marshal resources and bring claims to seek recovery for the retirement plan and all the participants who have been harmed.

Employee Stock Ownership Plan (ESOP)

In an Employee Stock Ownership Plan, or “ESOP,” the employee retirement plan is invested primarily in the company’s private stock. In this regard, an ESOP effectively turns plan participants into stockholders of the company they work for. ESOP trustees run afoul of ERISA when they overvalue or undervalue the “fair market value” of the company stock for their own financial gain.

Consult with Our Experienced ERISA & Financial Mismanagement Litigation Team

Charles Field and our team of seasoned financial misconduct and trial attorneys are currently litigating ERISA class claims against UnitedHealth Group, Home Depot, The Capital Group, and Allstate for mismanaging 401(k) plans. These are high-stakes cases involving hundreds of millions of dollars and affecting the lives of over a million people.

If you suspect your employer is not managing your retirement savings prudently or believe your investments have been unlawfully managed, contact Sanford Heisler Sharp McKnight by completing the contact form below to discuss your claim and how we can help redress your financial harm.