Rick Pearl Addresses Seventh Circuit ESOP Ruling With Law360

In a Law360 article on a recent Seventh Circuit decision, benefits and executive compensation partner Rick Pearl discussed how the ruling shows that certain stock-drop claims against public company employers can be avoided through the use of an independent fiduciary to oversee the plan.

“This is really a good decision because the court is essentially saying that if you make a designation, you’re done,” said Pearl. “You’re done with those matters that are designated; you just have to oversee the party to whom you’ve delegated fiduciary responsibility at reasonable intervals. That’s what’s really most important here.”

The full article is available for Law360 subscribers.