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About the Course
Introduction
This CLE course will address employee stock ownership plan (ESOP) litigation involving stock purchase and sale transactions and issues related to mature ESOPs and sustainability. The course will review recent court rulings and discuss plaintiffs' and defendants' strategic approaches to ESOP litigation. The panel will discuss best practices in satisfying fiduciary duties in ESOP transactions and ongoing ESOP administration and lessons learned from recent cases to defend against and minimize litigation.
Description
An ESOP is a tax-qualified defined contribution employee benefit plan that invests in the plan sponsor's stock. ERISA provides rules for trustees and fiduciaries of ESOPs, and transactions involving ESOPs may lead to regulatory investigations or litigation.
Many complex issues arise when an ESOP purchases or sells stock. These cases center on the reasonableness of the discretionary fiduciary's process in evaluating the subject transaction, as well as valuation issues regarding the subject stock's fair market value. ESOP litigation has also expanded in recent years beyond stock purchase and sale transactions and into decisions fiduciaries and sponsors make regarding sustainability or other matters of routine plan administration, like the investment of non-stock assets.
Counsel must understand key legal theories and potential defenses along with recent trends in ESOP litigation to effectively implement appropriate litigation strategies for clients. ESOP sponsors and service providers must also stay up to date on ESOP litigation trends to protect themselves and their clients from litigation.
Listen as we discuss best practices in satisfying fiduciary duties in ESOP transactions and ongoing plan administration, legal issues that arise, and lessons learned from recent litigation to defend and minimize litigation.
Presented By
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Mr. Jara has over 20 years of ERISA and employee benefits experience, ranging from governmental compliance, fiduciary liability insurance, to the application of ERISA’s fiduciary standards and prohibited transaction provisions. Mr. Jara has extensive experience resolving issues for corporate plan sponsors and multiemployer plans before the U.S. Department of Labor, where he was formerly a senior pension law specialist and investigator.
Mr. Salek-Raham specializes in the defense of ERISA class action lawsuits and U.S. Department of Labor enforcement actions. More specifically, he frequently represents plan fiduciaries, plan service providers, plan sponsors, and directors and officers in lawsuits involving employee stock ownership plans, particularly “overvaluation” suits, and other defined contribution plans, including fee and imprudent fund selection suits. His experience spans all phases of federal litigation, including motions practice, class certification, discovery, mediation, and trial. In addition to his litigation practice, Mr. Salek-Raham represents clients involved in U.S. Department of Labor retirement plan investigations.
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This 90-minute webinar is eligible in most states for 1.5 CLE credits.
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Date + Time
- event
Tuesday, September 8, 2026
- schedule
1:00 PM ET/10:00 AM PT
I. Claims and defenses in ESOP transaction litigation
II. Recent decisions and developments in ESOP transaction litigation
III. Claims and defenses in ESOP litigation involving plan administration
IV. Recent decisions and developments in ESOP litigation involving plan administration
The panel will review these and other key issues:
- Recent ESOP litigation, including new theories of liability
- Critical steps to take to avoid litigation risks
- Handling ESOP litigation and pitfalls to avoid
Related Courses
Structuring Pension, Health, and Welfare Plans for Multinational Companies
Available On-Demand
Out-of-Network ERISA Claims: Identifying Provisions Subject to Provider Challenge
Tuesday, April 21, 2026
1:00 p.m. ET./10:00 a.m. PT
