In addition to ESOP services, GreatBanc Trust Company offers alternative fiduciary services such as independent fiduciary where we can offer our expert opinion in special situations to help determine a solution.
Recently, we were engaged as independent special trustee of an internally-trusteed, 100% ESOP-owned company in the travel services industry. The purpose of the engagement was to evaluate non-ERISA class action litigation filed against the company and potential settlement options, and to direct the company’s Board of Directors accordingly.
To perform our duties, we engaged legal counsel and a financial advisor, met with the relevant parties, participated in settlement discussions, and ultimately approved the negotiated settlement as prudent for the ESOP. Our presence in this process as an independent special trustee helped to reduce potential liability for the Company and the ESOP.