Simpson Thacher Obtains Dismissal of ERISA Stock Drop Case Against Pfizer
On March 29, 2013, Judge Laura Taylor Swain of the United States District Court for the Southern District of New York granted Defendants’ motion to dismiss in In re Pfizer ERISA Litigation, 04 Civ. 10071, an ERISA stock drop case filed against Pfizer, Pharmacia, and certain individual defendants. The Court analyzed the case in light of recent ERISA stock drop decisions from the Second Circuit Court of Appeals and held that a presumption of prudence applied to the Defendants’ decision to offer company stock as an investment option to plan beneficiaries. The Court further held that the presumption was not rebutted as Pfizer did not face a dire situation. Simpson Thacher together with DLA represented all Defendants.
The Simpson Thacher team representing Pfizer in these matters includes Lynn Neuner, George Wang, Patrick Shilling, Rae Adams, Shannon McGovern, David Caldwell and Rachel Sparks Bradley.