In recent days, federal courts have dismissed two notablesuits regarding forfeiture reallocation, but most notably the Labor Department has now weighed in on behalf of plan fiduciaries in another case.  Could this be a turning point?  Nevin & Fred weigh in.

The suits – against JP Morgan and Wells Fargo – weredismissed in different courts on different grounds.  Still, they came at a time, and in a way, that suggests at least some federal courts are now inclined to see practices long sanctioned by practice (and the IRS) as meritless.

The real game changer, of course, might be the LaborDepartment’s “friend of the court” filing on yet another suit – one that the fiduciary defendants have already had success in challenging the suit, and yet find themselves (still) in court litigating the issue(s).

Speaking of the Labor Department, a federal judge in Texasrecently ruled on a suit filed challenging the application of the so-called fiduciary regulation, most specifically with regard to its implications on rollovers.

So what does all that portend for ERISA plan fiduciaries?  And what might the anticipated executive order from the Trump Administration expanding/opening the door for private assets in defined contribution mean?

All this and more in the latest episode of Nevin (Adams)& Fred (Reish)…

Episode Resources

Forfeitures

DOL Backs HP in Forfeiture Reallocation Suit Appeal

Wells Fargo Fends Off Forfeiture Fiduciary Suit

JP Morgan Gets Clear Win in 401(k) Forfeiture Reallocation Suit

Fiduciary Suit

Federal Court Vacates Part of Rollover Rule

Private Markets

Retirement Plan Participants Want Access to Private Market Investments

Private Market Investments: Promises and Potential Pitfalls 

https://issuu.com/usaretirement/docs/napa_net_the_magazine_summer_2025

Empower’sMurphy Responds to Warren's Private Market Criticism