Document ID: ./input/supremecourt_opinions/opinions/19pdf/17-1712_0971.pdf
Page Number: 15.0

2 

THOLE v. U. S. BANK N. A. 

SOTOMAYOR, J., dissenting 

held in trust, it imposes on the trustees and other plan man-
agers “ ‘strict standards’ ” of conduct “ ‘derived from the com-
mon law of trusts.’ ”  Fifth Third Bancorp v. Dudenhoeffer, 
573 U. S. 409, 416 (2014) (quoting Central States, Southeast 
& Southwest Areas Pension Fund v. Central Transport, Inc., 
472 U. S. 559, 570 (1985)).  These “fiduciary duties” obligate
the  trustees  and  managers  to  act  prudently  and  loyally,
looking out solely for the best interest of the plan’s partici-
pants and beneficiaries—typically, the employees who sac-
rifice  wages  today  to  secure  their  retirements  tomorrow. 
§§1104, 1106.  Not surprisingly, ERISA fiduciaries owe du-
ties not only to the plan they manage, but also “to the ben-
eficiaries” and participants for whom they manage it.  Har-
ris Trust and Sav. Bank v. Salomon Smith Barney Inc., 530 
U. S. 238, 241–242, 250 (2000). 

If  a  fiduciary  flouts  these  stringent  standards,  ERISA
provides a cause of action and makes the fiduciary person-
ally liable.  §§1109, 1132.  The United States Secretary of
Labor, a plan participant or beneficiary, or another fiduci-
ary  may  sue  for  “appropriate  relief  under  section  1109.”
§1132(a)(2);  see  also  §1132(a)(3)  (permitting  participants,
beneficiaries, or fiduciaries to bring suit “to enjoin any act 
or practice which violates any provision of this subchapter 
or the terms of the plan”).  Section 1109’s remedies include 
restoration of lost assets, disgorgement of ill-gained profits, 
and removal of the offending fiduciaries.  §1109(a). 

B 

Petitioners allege that, as of 2007, respondents breached 
their fiduciary duty of loyalty by investing pension-plan as-
sets in respondents’ own mutual funds and by paying them-
selves  excessive  management  fees.    (Petitioners  further 
contend that this self-dealing persists today.)  According to
the complaint, the fiduciaries also made imprudent invest-
ments  that  allowed  them  to  manipulate  accounting  rules,
boost their reported incomes, inflate their stock prices, and