In the past, ERISA has been found to only allow recovery when plan administrators have injured all plan participants by malfeasance. The US District Court ruled that LaRue was not entitled to sue for recovery, and the US Court of Appeals for the Fourth Circuit affirmed [opinion, PDF] the ruling. Lawyers for the plan administrators argued that allowing individuals to sue for recovery of losses would open the floodgates to excessive litigation. LaRue's lawyers argued that ERISA gives individuals the right to sue over losses in federal court. AP has more.
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