Lifepoint 401(k) Investors Advance Suit Over Administrative Fees

A Tennessee federal judge ordered Lifepoint Health Inc. to defend litigation over its 401(k) plan management, saying the allegations of excessive administrative fees were viable under the legal standard set by the Sixth Circuit.

The plaintiffs, participants in Lifepoint’s retirement plan, said they paid annual 401(k) administrative fees of more than $48 per year when participants in similarly sized retirement plans paid significantly less for similar services. This is enough to state a viable claim for fiduciary breach in violation of the Employee Retirement Income Security Act, Judge William L. Campbell Jr. of the US District Court for the Middle ...