An appeals court has approved a $3.175 million settlement between Edward Jones and its 401(k) plan participants despite a challenge from an objector.
The suit, first filed in 2016, alleged that Edward Jones chose more expensive investment options for plan participants, with higher recordkeeping fees, than what was available. The company agreed to the $3.175 million settlement in December 2018.
However, Shiyang Huang appealed the decision by Judge John Ross, U.S. District Judge for the Eastern
District of Missouri, to certify a settlement class and approve the settlement, including the award of lawyers’ fees and case contribution awards, according to information in an order from the U.S. Court of Appeals for the Eighth Circuit.
Huang claimed the employees lacked standing, but the Eighth Circuit upheld the settlement, including the award of the fees, according to the order.
The $3.175 million settlement could lead to as little as $10 in payouts for some of its existing and former employees, as reported.
Do you have a news tip you’d like to share with FA-IQ? Email us at firstname.lastname@example.org.