Top of the Agenda - Legal

JPMorgan 36(b) case dismissal affirmed by 2nd Circuit

By Hillary Jackson

The U.S. Court of Appeals for the Second Circuit has affirmed a lower court's 2018 decision to dismiss an excessive fees case against JPMorgan Investment Management. Plaintiffs' assertions that the district court had misapplied the Gartenberg factors by considering them individually rather than collectively and that the complaint satisfied the ... >> CONTINUE READING <<<

BlackRock 36(b) plaintiffs appeal loss

By Hillary Jackson

Plaintiffs in the In re BlackRock Mutual Funds Advisory Fee Litigation excessive fees case have appealed a New Jersey District Court judge's February ruling in favor of the defendant. The eight-day trial last August marked the first time the sub-adviser fee comparison approach to suing under Section 36(b) of the ... >> CONTINUE READING <<<

BlackRock wins 36(b) case

By Hillary Jackson

An excessive fees lawsuit filed against BlackRock Advisors four years ago has been dismissed by a New Jersey judge, handing another win to an industry that's been dealing with charges of violations of Section 36(b) of the Investment Company Act of 1940 for years. This is the third such case ... >> CONTINUE READING <<<

WAMCO 36(b) case dismissed

By Hillary Jackson

An excessive fees lawsuit filed against Western Asset Management Co. last spring has been dismissed with prejudice. The suit, Winston v. Western Asset Mgmt. Co., was the second of only two new suits claiming section 36(b) violations to be filed since the 2016 AXA decision; the other, filed in 2017 ... >> CONTINUE READING <<<

MetWest 36(b) trial: Closing arguments set for February

By Hillary Jackson

The two sides in an excessive fees case against Metropolitan West Asset Management will reconvene in a Los Angeles courtroom on Feb. 22 to present closing arguments after wrapping up the trial in late December. The eight-day trial, being heard by U.S. District Court Judge George Wu of the Central ... >> CONTINUE READING <<<

Plaintiffs drop State Farm 36(b) case

By Hillary Jackson

Plaintiffs have dropped a lawsuit against State Farm Investment Management that alleged the adviser retained too-big a portion of the fees it charged for its LifePath funds. Ingenhutt v. State Farm Inv. Mgmt. Corp. dates back to mid-2015 and was amended, dismissed on a motion, and then revived over the ... >> CONTINUE READING <<<