NEA Sued Over Member Annuities Program
It’s a liberal interest group clash of the titans!
The trial lawyers of Keller Rohrback filed suit against NEA and its Member Benefits Corporation for failing its fiduciary duty to members by accepting endorsement money in exchange for promoting high-fee annuity plans.
The suit is similar to the one Keller Rohrback filed in April against New York State United Teachers after the union and investment giant ING agreed to a $30 million settlement with then-New York Attorney General Eliot Spitzer.
Keller Rohrback represents two teachers, but the firm is seeking class action status for the approximately 57,000 NEA members who participate in the program.
I can hardly wait to see the memos gathered during discovery.
July 28th, 2007 at 23:17
The NEA absolutely disagreed with the findings of the Los Angeles Times article “Unions Advice Failing Teachers” of April 2006. Teachers unions only approve the highest priced 403b products and the members think that the union is looking out for their best interests. Nothing is further from the truth. I am sure all locals are looking over their shoulders now that this suit has been filed.
Steve
Los Angeles Teacher