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March 24, 2026

America June 4, 2024 4 mins read

DuPont ERISA Class Actions Survive Dismissal Bid in Delaware

America ı By Rochdi Rais

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DuPont ERISA Class Actions Survive Dismissal Bid in Delaware

A federal judge in Delaware on Monday denied most motions to dismiss and overruled all objections in federal proposed class actions accusing E.I. duPont de Nemours & Co. of using outdated actuarial formulas to calculate workers' retirement benefits.

In a four-page memorandum and order, U.S. District Judge Jennifer L. Hall found most claims strong enough to clear the bar for dismissal in the two cases alleging violations of the Employee Retirement Income Security Act.

The claims had already been recommended to go forward in February by U.S. Magistrate Judge Laura D. Hatcher.

"Plaintiffs nonetheless filed objections and defendants responded," Judge Hall wrote. "I can quickly deny plaintiffs' objections" in one of the two cases based on failures to identify a standard of review and to certify that the objections raise no new arguments," she added.

Mary J. Hamrick, David B. Beckley, and Valentin Rodriguez filed the first suit in March against E.I. du Pont, alleging it violated ERISA by failing to use U.S. Treasury Department actuarial assumptions to calculate benefits they received under their pension plan's income-leveling option for those who retire before age 62.

The retirees said ERISA requires companies to ensure that ILO monthly payments are calculated using specific actuarial assumptions, including applicable mortality tables and interest rates published by the Treasury Department. However, DuPont relied on models that failed to account for improved mortality rates since the 1960s, costing retirees tens of thousands of dollars, according to the complaint.

Weeks later, James Manning lodged his complaint against DuPont, claiming its use of outdated actuarial tables also excessively reduced benefits paid out to people who opted to receive spousal benefits.

Judge Hall wrote that she also would deny the Hamrick complaint objections because they focused only on nonbinding dicta in the magistrate's report.

"I do not think I need to join in a discussion about dicta, and by adopting a report and recommendation, I do not necessarily join in every word of a magistrate judge," Judge Hall wrote.

Manning also alleged in his complaint that DuPont violated its fiduciary duty because it administered the plan knowing that its use of faulty models violated federal benefits law.

Judge Hall upheld the magistrate judge's findings that the bulk of Manning's suit should be allowed to move forward, while ruling that the plaintiff's breach of fiduciary duty claim should be tossed because fiduciaries can't infringe on their duties under ERISA simply because they followed a pension plan's documents.

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Rochdi Rais
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Rochdi Rais

Rochdi Rais is the chief content officer and financial and legal writer at USA Herald. He has been writing about finance, law, cryptocurrency and U.S. politics for years with over +4000 articles published during his career.

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