Chamber Backs Cornell in Appeal in ERISA Loss Causation Battle

Cornell University has support from the U.S. Chamber of Commerce in an appeal over the school’s retirement plan, with the pro-business group urging the Second Circuit to rule that the legal burden of proving loss falls to plan participants, not employers.

The Chamber’s brief, filed Tuesday in the U.S. Court of Appeals for the Second Circuit, is focused on loss causation in lawsuits alleging retirement plan mismanagement under the Employee Retirement Income Security Act.

According to the Chamber, the burden of proving that plan mismanagement caused the losses belongs to the plan participants, because a contrary rule would dissuade employers ...