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Arizona Court Rejects Defendants’ Bid for Summary Judgment in Summit Center Kickbacks Case
On June 15, 2022, a Federal Judge in the United States District Court for the District of Arizona ruled that a lawsuit concerning illegal kickbacks to physicians was fit to proceed, denying Defendants’ attempt to defeat the legal action. The whistleblower lawsuit alleges that Northern Arizona Healthcare Corporation (“NAHC”), Northern Arizona Orthopedic Surgery Center, LLC, and Flagstaff Medical Center, Inc. (together, “Defendants”), which collectively operate healthcare facilities throughout northern Arizona,…
Fidelity to Allow Bitcoin Allocation in 401(k) Accounts
On April 26, 2022, Fidelity Investments, Inc. (“Fidelity”) announced that it will offer Bitcoin for employers to include as an investment option in their 401(k) plans. Fidelity will be the first major retirement plan service provider to offer crypto currency. This move comes after the Employee Benefits Security Administration (“EBSA”), an agency within the Department of Labor (“DOL”), published Compliance Assistance Release No. 2022-01 (“Release”) on March 10, 2022. In…
Universal ERISA: Miller Shah LLP Secures Victory at Third Circuit for 401(k) Participants
On June 1, 2022, the United States Court of Appeals for the Third Circuit upheld the United States District Court for the Eastern District of Pennsylvania’s decision to certify a class of more than 60,000 participants in a lawsuit against Universal Health Services Inc. ("UHS”) and the UHS Retirement Plan Investment Committee (together, “Universal” or “Defendants”) regarding the alleged mismanagement of the UHS Retirement Savings Plan (the “Plan”). Universal, like…
The Merits and Pitfalls of Mass Arbitration for Uber and Uber Drivers
The Rise of Mass Arbitration In recent years, U.S. companies have increasingly included mandatory arbitration clauses in their contracts, meaning any disputes between consumers or employees and the company must be resolved through arbitration. As it commonly costs between $300 and $400 for complainants to initiate an arbitration claim and because these clauses also commonly prevent customers and employees from participating in class action proceedings, the move to arbitration was…
Employees Sue Fluor Corporation Over Excessive 401(k) Fees
On April 5, 2022, Deborah Locascio and David Summers (“Plaintiffs”) filed an amended complaint against their former employer, Fluor Corporation (“Fluor”), and Mercer Investments (“Mercer”) in the United States District Court for the Northern District of Texas. Fluor is the plan sponsor for the Fluor Corporation Employees’ Savings Investment Plan (the “Plan”). As of December 31, 2020, the Plan had more than 15,000 participants with account balances and assets totaling…
Workers Seek Sanctions on Turf Farm
Workers of Briggs Traditional Turf Farm (“Briggs” or the “Farm”) have sought sanctions against their employer for misleading employees who could opt into a lawsuit against the Farm. The second amended complaint, filed on December 23, 2021, in the United States District Court for the Western District of Missouri, alleges that Briggs illegally and discriminately withheld overtime pay from workers with H-2A visas by purposely misrepresenting them as agricultural workers.…
Judge Denies Motion to Dismiss – PNC ERISA Class Action
On March 31, 2022, the Honorable Christy Wiegand, a Judge for the United States District Court in the Western District of Pennsylvania, granted in part and denied in part Defendants’ motion to dismiss a class action claiming PNC Financial Services Group Inc. (“PNC” or the “Company”) mismanaged its 401(k) retirement plan. The PNC Financial Services Group Inc. Incentive Saving Plan (the “Plan”) serves as a vehicle for PNC employees to…
Joint Task Force on Misclassification of Employees – Pennsylvania Department of Labor & Industry
Pennsylvania’s Joint Task Force on Misclassification of Employees (“Task Force”) held its fourth meeting of the year on April 22, 2022, the first in-person meeting since its assembly in January 2021. The Task Force is a bipartisan group of nominated volunteers representing business, labor, and government seeking to publicize a comprehensive understanding of worker misclassification and its consequences. This meeting occurred a month after the Task Force released its Annual…
Miller Shah Secures Preliminary Approval of $3.5 Million Settlement in Coca-Cola Bottling ERISA Class Action
On March 8, 2022, United States District Judge Frank D. Whitney of the Western District of North Carolina approved a $3.5 million settlement of class action claims alleging the Coca-Cola Bottling Company (“Coca-Cola Bottling” or the “Company”) mismanaged its defined contribution retirement plan (the “Plan”). Represented by Miller Shah, two former Coca-Cola Bottling employees (“Plaintiffs”) specifically alleged that the Company mismanaged the Plan by incorporating excessive fees and risky investment…
California Uber Drivers Settle Misclassification Claims for $8.4 Million
On February 17, 2022, a class of 1,322 California drivers announced an $8.43 million settlement (the “Settlement”) with Uber Technologies, Inc. (“Uber”) to resolve claims in James v. Uber. The Settlement, which comes in the wake of a $20 million initial settlement between Uber and a class of 15,000 California and Massachusetts Uber drivers in O'Connor v. Uber, compensates drivers for damages incurred after O’Connor and before the enactment of…
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