Medco class settlement remanded for review

Executive Summary

A trial judge must determine whether the lead plaintiffs in a $42.5 mil. class action settlement with Medco had standing to bring the action, a New York-based federal appeals court ruled Dec. 8. The lower court failed to determine whether plaintiffs had demonstrated the required "injury-in-fact" necessary to gain standing to claim that Medco violated its fiduciary obligations, the appeals court said. The settlement, which was reached in 2002, faces objections from self-funded benefit plans that were Medco clients (1"The Pink Sheet" Dec. 16, 2002, p. 14)...