Bed Bath & Beyond Reaches $1.95M ERISA Settlement in Proposed Class Action

June 25, 2025
Hall Benefits Law, LLC

Bed Bath & Beyond’s 401(k) committee has obtained preliminary court approval of its $1.95 million settlement of a class action lawsuit under the Employee Retirement Income Security Act (ERISA). The plan participants had accused the company of mismanaging its retirement plan, in which 2,100 employees had invested before it terminated the plan and declared bankruptcy. The parties reached a proposed settlement in December and divulged its details in February.

The case is Harvey et al. v. Bed Bath & Beyond Inc. 401(k) Savings Plan Committee et al., Case Number 2:23-cv-20376, U.S. District Court for the District of New Jersey.

The New Jersey federal district court gave preliminary approval to the proposed settlement. It appointed attorneys from Engstrom Lee LLC and Morgan & Morgan PA as class counsel for the settlement class. The class includes some 2,100 employees and their beneficiaries. A fairness hearing on the settlement is scheduled for October. 

Named plaintiffs and class representatives Paul Harvey, Meryl Eichenbaum, and Roxanne Kuzowsky claimed the plan committee violated ERISA by failing to remove underperforming investment options from the 401(k) plan. 

HBL has experience in all areas of benefits and employment law, offering a comprehensive solution to all your business benefits and HR/employment needs. We help ensure you are in compliance with the complex requirements of ERISA and the IRS code, as well as those laws that impact you and your employees. Together, we reduce your exposure to potential legal or financial penalties. Learn more by calling 470-571-1007.

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Hall Benefits Law, LLC

HBL offers employers comprehensive legal guidance on benefits in mergers and acquisitions, Employee Stock Ownership Plans (ESOPs), executive compensation, health and welfare benefits, healthcare reform, and retirement plans. We counsel a wide spectrum of clients including small, mid-sized, and large companies, 401(k) investment advisors, health insurance brokers, accountants, attorneys, and HR consultants, just to name a few. HBL is passionate about advising clients, and we are dedicated to our mission: to provide comprehensive, personalized, and practical ERISA and benefits legal solutions that exceed client expectations.

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