ERISA is "a comprehensive statute designed to promote the interests of employees and their beneficiaries in employee benefit plans." And so the trustees and administrators of ERISA plans have fiduciary duties. The Sixth Circuit recently in Dudenhofer v. Fifth Third Bancorp described these duties as three parts:
- A fiduciary owes a duty of loyalty "pursuant to which all decisions regarding an ERISA plan must be made with an eye single to the interests of the participants and beneficiaries."
- ERISA imposes "an unwavering duty to act both as a prudent person would in a similar situation and with single-minded devotion to [the] plan participants and beneficiaries."
- ERISA fiduciaries must act for the exclusive purpose of providing benefits to plan beneficiaries.
Robert L. Abell
www.RobertAbellLaw.com
