For decades, circuit courts have held that claims arising under the Employee Retirement Income Security Act of 1974 (ERISA) are generally arbitrable. In recent years, however, there has been a growing body of cases challenging this general proposition and addressing the limits of enforceability of arbitration agreements under ERISA.
One group of cases has considered the issue in connection with claims under Section 502(a)(2) of ERISA for alleged breaches of fiduciary duty asserted by participants or beneficiaries on behalf of an ERISA plan. The Second, Fifth, and Tenth Circuits had held that arbitration agreements are enforceable in connection with claims under ERISA Section 502(a)(2), while the Sixth and Ninth Circuits have imposed restrictions on the arbitrability of such disputes.
In holding that arbitration agreements are enforceable with respect to claims under Section 502(a)(2), the Second, Fifth, and Tenth Circuits found no basis to depart from established precedent holding that arbitration agreements are generally enforceable under ERISA. See Bird v. Shearson Lehman/American Express, Inc., 926 F.2d 116, 122 (2d Cir. 1991) (holding that an arbitration agreement between a trustee-participant and an investment firm was enforceable against plan participants with respect to Section...
