Perez v. Roadrunner Material Distributors Inc. involving abandoned plan of defunct Placentia, Calif., building materials company

Date of Action: March 28, 2014

Type of Action: Amended Complaint

Name(s) of Defendant: Roadrunner Material Distributors Inc.; Roadrunner Material Distributors Inc. 401(k) Profit Sharing Plan

Allegations: Prior to ceasing operations in 1994, Roadrunner Material Distributors Inc., plan administrator of the Roadrunner Material Distributors Inc. 401(k) Profit Sharing Plan, failed to take sufficient steps to provide for the prudent and complete termination of the plan. The department’s complaint alleges that Roadrunner violated the Employee Retirement Income Security Act by failing to act prudently and solely in the interest of the participants and beneficiaries of the plan, including failing to take appropriate measures to distribute the plan’s assets to the participants and beneficiaries. As of May 15, 2013, the plan had seven participants and $6,089 in assets.

Resolution: The U.S. Secretary of Labor asks the court to remove Roadrunner from its position as plan administrator, and to appoint an independent fiduciary with discretionary authority to administer the plan in order to distribute the plan’s assets and terminate the plan.

Court: United States District Court for the Central District of California

Docket Number: 8:14-cv-00425-CJC-DFM

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