Retirement funds lawsuit against Caliber Collision settled

A class action lawsuit that alleged Caliber Collision used over $4 million in employee retirement funds to offset employer contributions has been settled.

The plaintiffs included at least one former employee, Roy Fordyce. Caliber sought dismissal of the suit in November, contending that a plausible claim hadn’t been made.

The suit argues Caliber breached the fiduciary duties under the Employee Retirement Income Security Act of 1974 (ERISA) and violated its prohibited transaction rules and anti-inurement provision. Ten unnamed plan fiduciaries were defendants in the case.

The suit claims that from 2019 through 2022, Caliber used only $112,238 to offset plan expenses while plan participants paid plan expenses, directly and indirectly, of over $6 million to third-party service providers.

A May 26 order doesn’t provide details on any settlement agreements reached. A separate court document states that mediation was held May 14. Court documents also state that no information concerning the mediation other than whether the case was settled may be given to the court by the mediator or any other party.

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