Fujitsu 401(k) Plan Class Action Settlement

Fujitsu Technology and Business of America Inc. and other defendants have agreed to pay $14 million to settle a class action lawsuit alleging it violated the Employee Retirement Income Security Act (ERISA).

Beneficiaries and participants of the Fujitsu Group Defined Contribution and 401(k) Plan from June 30, 2010 through Sept. 30, 2017 may be entitled to benefits from this class action settlement.

The defendants named in the Fujitsu class action lawsuit include: Fujitsu Technology and Business of America Inc., the Fujitsu Group Defined Contribution and 401(k) Plan Administrative Committee, the Fujitsu Group Defined Contribution and 401(k) Plan Investment Committee, Shepherd Kaplan LLC, and others.

The plaintiffs accuse the defendants of breaching their fiduciary duties with respect to the 401(k) plan in violation of ERISA.

“Defendants have breached their fiduciary duties of loyalty and prudence by designing and administering one of the most expensive large 401(k) plans in the country,” the Fujitsu 401(k) class action lawsuit said.

The plaintiffs allege that the Fujitsu 401(k) plan had high fees that could be attributed to three factors. First, the Fujitsu defendants allegedly failed to monitor the plan’s recordkeeping and administrative expenses, and failed to take steps to ensure low recordkeeping expenses. As a result, the plan allegedly paid a far higher price than a prudent fiduciary would have paid for the same services.

Second, the plaintiffs claim that the defendants failed to monitor the amount of revenue sharing payments made to the plan’s recordkeeper by the mutual funds within the plan and, in cases in which an investigation would have shown the plan did not need to use higher-cost mutual funds to pay recordkeeping expenses and other administrative services, they allegedly failed to switch to lower-cost share classes.

Third, the defendants reportedly failed to manage the plan’s investments in a cost-conscious manner.

“In addition to manage the Plan in a cost-conscious manner, Defendants also breached their fiduciary duties by utilizing an imprudent process to design, implement, and manage the Plan’s target-date funds, which are the Plan’s default investment option,” the Fujitsu class action lawsuit alleged.

The defendants deny the allegations but agreed to settle the Fujitsu 401k class action lawsuit to avoid the burden and expense of ongoing litigation.

Who’s Eligible

Class Members of the Fujitsu 401(k) settlement include: “All participants and beneficiaries of the Fujitsu Group Defined Contribution and 401(k) Plan (the ‘Plan’) at any time on or after June 30, 2010 through September 31, 2017 (the ‘Class Period’), including any Beneficiary of a deceased person who was a Participant in the Plan at any time during the Class Period, and any Alternate Payees, in the case of a person subject to a Qualified Domestic Relations Order who was a Participant in the Plan at any time during the Class Period.”

Potential Award

Settlement payments will be divided pro rata among eligible Class Members based on their quarterly account balances during the Class Period.

Class Members who had an account with a positive balance in the Fujitsu 401(k) plan as of Dec. 6, 2017 will automatically receive allocations directly into their accounts.

Class Members who no longer have an account at the time the settlement money is distributed will receive a check.

Former participants (defined as Class Members who did not have an active account as of Dec. 6, 2017) must submit a Claim Form to receive payment, which will be in the form of a check or a rollover.

Proof of Purchase

N/A

Claim Form

CLICK HERE TO FILE A CLAIM (PDF) »

NOTE: If you do not qualify for this settlement do NOT file a claim.

Remember: you are submitting your claim under penalty of perjury. You are also harming other eligible Class Members by submitting a fraudulent claim. If you’re unsure if you qualify, please read the FAQ section of the Settlement Administrator’s website to ensure you meet all standards (Top Class Actions is not a Settlement Administrator). If you don’t qualify for this settlement, check out our database of other open class action settlements you may be eligible for.

Claim Form Deadline

4/13/2018

Case Name

Jerry Johnson, et al. v. Fujitsu Technology and Business of America Inc., et al., Case No. 5:16-cv-03698 NC, in the U.S. District Court for the Northern District of California

Final Hearing

5/4/2018

Settlement Website

www.Fujitsu401kSettlement.com

Claims Administrator

Fujitsu Group Defined Contribution and 401(k) Plan
c/o Analytics Consulting LLC
P.O. Box 2005
Chanhassen, MN 55317-2005
(866) 997-1382
info@Fujitsu401kSettlement.com

Class Counsel

NICHOLS KASTER LLP

Defense Counsel

ORRICK HERRINGTON & SUTCLIFFE LLP

MORGAN LEWIS & BOCKIUS LLP