Taylor v. KeyCorp

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Plaintiffs sued on behalf of a class of similarly-situated participants and beneficiaries of the Keycorp 401(k) Savings Plan, under the Employee Retirement Income Security Act, 29 U.S.C. 1109, 1132, alleging that defendants breached their duties by failing to prudently manage the Plan’s investment in KeyCorp securities; that defendants failed to adequately inform participants about the true risk of investing in KeyCorp stock; that certain defendants breached fiduciary duties by failing to adequately monitor the management and administration of Plan assets; that certain defendants failed to avoid impermissible conflicts of interest; and that certain defendants are liable for the breaches of fiduciary duty committed by their co-fiduciaries. The district court dismissed one plaintiff because she had benefited from the alleged breaches of fiduciary duty, which allowed her to sell the majority of her holdings at an inflated price. The court denied a motion to allow another to intervene as named plaintiff. The Sixth Circuit affirmed. View "Taylor v. KeyCorp" on Justia Law