Sears Holdings Corporation 401(k) Company Stock Fund ERISA Litigation
Robert A. Catalfamo, et. al. v. Sears Holding Corporation, et al., No. 1:17-cv-5230
United States District Court Northern District of Illinois Eastern Division
On August 10, 2017, Plaintiff filed a class action complaint in the Federal Court in Illinois on behalf of herself and others similarly situated who were invested in the Sears Stock Fund within the Sears Holding Corporation 401(k) plan. Plaintiffs allege that from August 22, 2014 through the present, Sears Holding Corporation (“Sears”) and related defendants breached their fiduciary duties to the participants and beneficiaries (collectively, “Participants”) of the Sears Holdings Savings Plan and the Sears Holdings Puerto Rico Savings Plan (collectively, the “Savings Plans”) in violation of the Employee Retirement Income Security Act (“ERISA”). Plaintiffs allege that Defendants violated ERISA, by, among other things:
- Failure to monitor the Sears Stock Fund and prudently manage the Master Trust’s assets invested in the Sears Stock Fund
- Breach of duty of loyalty and exclusive purpose
- Failure to adequately monitor other fiduciaries
- Prohibited transactions between plans and fiduciary
- Co-fiduciary liability
On August 18, 2017, the court issued an order appointing Keller Rohrback L.L.P. as Interim Co-Lead Counsel along with the firm of Stull, Stull & Brody.
On October 6, 2017, the Plaintiffs filed the Consolidated Class Action Complaint. The Defendants are to respond to the allegations in this complaint in late November 2017. We urge you to visit this website periodically, as the litigation proceeds, for additional information.
As of October 8, 2018, the action is currently stayed as per Sears’s Chapter 11 Petition. Proceedings will resume once the automatic stay provisions are lifted.