Dewey & LeBoeuf LLP, the failing New York-based law firm, was sued by the Pension Benefit Guaranty Corp. in an effort to take over pension plans covering 1,776 lawyers and staff.
The PBGC is seeking the termination of the law firm’s retirement plans and appointment as trustee, as well as the transfer of the plans’ records and assets. The government agency claimed in a complaint filed in Manhattan federal court yesterday that three Dewey pension plans were underfunded by $80 million as of May 11.
The move follows the PBGC’s announcement May 10 that it would take over Dewey’s pension plans. The agency said it will guarantee benefits up to limits set by the law, about $56,000 a year for a 65-year-old retiree.
The firm was sued last week by Vittoria Conn, a 55-year-old document specialist seeking to sue on behalf of employees she claims weren’t provided with the legally required notice before being fired. Conn is seeking 60 days’ pay and benefits for the fired workers. Associates in the firm have been told today is their last day, she said.
The case is Pension Benefit Guaranty Corp. v. Dewey & LeBoeuf LLP, 12-CV-3833, U.S. District Court, Southern District of New York (Manhattan).