The Supreme Court issued its ruling on the Tibble vs. Edison International case on May 18, 2015. The case involved a lawsuit brought by employees of Edison International against their employer for offering high-cost mutual funds in the 401(k) plan.

The Supreme Court ruling stated that plan fiduciaries have an ongoing responsibility to monitor and document their roles and responsibilities; no period of time will absolve a fiduciary from that responsibility.

The effect of this ruling has a direct and immediate impact on all plan fiduciaries. The following is a list of best practices that plan fiduciaries are encouraged to follow:

  1. Understand fiduciary responsibilities in a legal context.
  2. Analyze all plan costs at least annually.
  3. Practice investment due diligence at least annually.
  4. Engage a consultant to assist in investment evaluations and cost analyses.

If you have any questions, please contact our Albany office at (229) 883-7878 or our Atlanta office at (404) 220-8494.