Participants from three Fidelity DC plans have filed a lawsuit (free registration required) in the U.S. District Court in Boston alleging that Fidelity improperly used float income from interest bearing accounts earned from the time a participant requested disbursement to when it was actually disbursed. The plaintiffs alleged that the interest is part of plan assets and that Fidelity paid itself trust and record keeping fees beyond the authorized agreements.
The plaintiffs, who are from Delta, HP and Accenture plans, are also seeking class action status. If that request is granted, then all affected participants may join.
