Over the last six years, Southeastern 401(k) participants have shelled out nearly $5 million in administrative fees for services that should have cost about $1.5 million, according to the complaint.
Given that Southeastern’s plan had over $1 billion in assets at the end of 2021, Whipple said, it should have used this relatively large size to negotiate lower fees and solicit bids from a variety of recordkeeping service providers in order to obtain a good deal for plan participants.
Representatives of Whipple did not immediately respond to requests for comment Monday.
Counsel for Southeastern declined to comment.
Whipple is represented by Amanda E. Heystek, Brandon J. Hill and Luis A. Cabassa of Wenzel Fenton Cabassa PA, by Lauren H. Carroway and Marc R. Edelman of Morgan & Morgan and by Michael C. McKay of McKay Law LLC.
Southeastern Freight Lines is represented by Andreas N. Satterfield Jr., Phillip C. Thompson and Rene E. Thorne of Jackson Lewis PC.
The case is Whipple v. Southeastern Freight Lines Inc., case number 3:23-cv-04583, in the U.S. District Court for the District of South Carolina.
