The Supreme Court ruled 9-0 (Yes, an unusual unanimous decision—no doubts here) in favor of 401K participants versus Edison International overturning the 9th Circuit Court of Appeals. Supreme Court Justice Breyer in Tibble v. Edison International wrote:
ERISA’s fiduciary duty is derived from the common law of trusts, which provides that a trustee has a continuing duty … to monitor, and remove imprudent investments.
So long as a plaintiff’s claim alleging breach of the continuing duty of prudence occurred within six years of the suit, the claim is timely (i.e. the statute of limitations doesn’t start to run until the imprudent actions stop and where imprudence continues the breach goes back to when it started, potentially to the inception of the fiduciary’s stewardship).
The takeaway from this case regarding UCR is the necessity for the fiduciary to have a prudent UCR strategy—one that must be prudently established and prudently monitored, otherwise the statute of limitations will never start to run.