The Ninth Circuit’s recent decision in Bafford v. Northrop Grumman (April 15, 2021) affirmed the district court’s dismissal of the plaintiffs’ breach of fiduciary duty claims under ERISA but vacated the district court’s holding that state-law professional and negligent misrepresentation claims were preempted.
Northrop Grumman (Northrup), sponsor of the ERISA-governed retirement plan at issue, delegated administration of the plan to an administrative committee (the Committee). The Committee, in turn, contracted with a record keeper to provide outside administrative services. One of the services offered by the record keeper was an online benefits portal to assist plan participants in estimating pension benefits.
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