Pfizer 401(k) Plan Fee Claim Dismissed for Flawed Comparisons

Pfizer Inc. defeated a proposed class action challenging administrative fees in its $21 billion 401(k) plan when a federal judge said the suit was based on improper comparisons with different plans.

Pfizer’s plan paid excessive annual record-keeping fees of $52 per person, when a reasonable fee for such services would be closer to $28 per person, according to the lawsuit.

But the case is based on “apples-to-oranges” comparisons with other plans with different participant populations and asset bases, and is based on data that undermines its central theory that larger plans pay lower enrollment fees than the smallest plans, according to the judge…