LAWFUEL – The Legal Newswire – A Houston law firm said Monday that Dynegy Inc. (DYN) agreed to settle a class-action lawsuit with more than 1,900 retirement plan beneficiaries and participants for $9.98 million.
Law firm McClanahan & Clearman said the settlement was approved by a Houston judge Friday.
According to a Dynegy representative, the settlement had been agreed upon earlier this year and Dynegy’s insurance companies have already paid off the settlement.
The suit was brought on behalf of salaried employees of Illinois Power Co., a former unit of the Houston energy company, who participated in a Dynegy- sponsored retirement plan, the firm said.
The employees alleged that continued investment in Dynegy’s stock and other actions were a breach of fiduciary duties.