MetLife $4.5 Million 401k Plan Settlement (ERISA)

MetLife $4.5 Million 401k Plan Settlement (ERISA)

October 22, 2024 11:51 AM

If you participated in the MetLife 401(k) Plan at any time from July 19, 2015, to December 31, 2021, you may be eligible to claim a portion of a class action settlement .

MetLife Group, Inc. has agreed to pay $4,500,000 to settle a class action lawsuit for alleged breaches of fiduciary duties under the Employee Retirement Income Security Act of 1974 (ERISA).

Who are the class members?

You are considered a class member if you participated in the MetLife 401(k) Plan and invested in the MetLife Index Funds during the class period from July 19, 2015, to December 31, 2021.

However, individuals with responsibility for the Plan’s investment or administrative functions are excluded from the class.

How much can class members get?

The settlement fund of $4,500,000 will be distributed to class members after deducting administrative expenses, attorneys' fees, and service awards to the named plaintiffs.

Class members will receive a pro rata share based on their average account balance and the specific Plan investment options they chose during the class period.

For example, if the net settlement fund is $3,000,000 after fees and costs, and a class member's account balance was 1% of the total balances, they would receive $30,000. The actual amount may vary depending on the final net settlement fund and each member's account balance.

• Participant Class Members : Payments will be deposited directly into their Plan accounts.
• Former Participant Class Members : Payments will be made by check or through a rollover to a qualified retirement account.

Class members do not need to file a claim to receive compensation. Payments will be distributed automatically.

Former participants who prefer a rollover must complete and mail a Former Participant Rollover Form by December 20, 2024.

Payment methods

• Direct deposit into Plan accounts for current participants.
• Check or rollover to a qualified retirement account for former participants.

$4.5 Million settlement fund breakdown

The settlement fund of $4,500,000 will cover:

• Attorneys' fees, not to exceed one-third of the settlement fund.
• Service awards of up to $15,000 for each named plaintiff.

The remaining amount will be distributed to class members.

When is the MetLife 401(k) Plan Settlement payout date?

The court will hold a Fairness Hearing on January 9, 2025, to determine whether to grant final approval of the settlement. If approved, payments will be made within 60 days if any and all appeals are resolved.

Why is there a class action settlement?

The lawsuit alleged that MetLife breached its fiduciary duties under ERISA by including investment options affiliated with MetLife and failing to monitor fees and performance. The settlement avoids the costs and risks of further litigation.

Settlement Open for Claims