Toomey Ex Rel. O'Connor Lumber Esop Participants Committee v. Jones

MEMORANDUM REGARDING DEFENDANT PENSION & HEALTH ASSOCIATES, INC.’s MOTION FOR SUMMARY JUDGMENT

PONSOR, District Judge.

I. INTRODUCTION

The plaintiffs are former employees of O’Connor Lumber Company of Westfield, Massachusetts and were participants in its employer-sponsored stock ownership plan. In 1991, all the assets of the plan were invested in preferred stock of O’Connor Lumber. In that same year, O’Connor Lumber became insolvent, closed its doors and entered bankruptcy. Consequently, the assets of the stock ownership plan became worthless and participants lost any vested pension benefits or…