Lifetouch directors suit alleges mismanagement of ESOP

GaryPageau ,

Bloomberg Law reports a March 1 class-action lawsuit alleges Lifetouch Inc. employees suffered “hundreds of millions of dollars” in damages by investing their retirement plans in the company’s employee stock ownership plan (ESOP). The suit alleges the company’s board did not do enough to protect workers’ retirement savings in the ESOP, as the value of the company’s stock declined more than $840 million between 2015 to 2018. The report said this represented an average loss of $22,000 in retirement savings for each of the ESOP plan’s 16,000 participants.

The case is filed as Vigeant v. Meek, D. Minn., No. 0:18-cv-00577, complaint 3/1/18.

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Gary Pageau is principal of InfoCircle LLC, continuing his marketing communications career. InfoCircle LLC is a marketing and communications consulting firm, specializing in business-to-business markets. For nearly 25 years, he was with PMA International, serving most recently as Publisher, Content Development and Strategic Initiatives. His primary responsibilities included overseeing the Association’s editorial department, marketing research unit, education and corporate relations department.