Martone v. Robb, No. 17-50702 (5th Cir. 2018)Annotate this Case
Plaintiff filed suit against Whole Foods executives, alleging that they breached their fiduciary duties by allowing employees to continue to invest in Whole Foods stock while its value was artificially inflated due to a widespread overpricing scheme. The Fifth Circuit affirmed the district court's dismissal of the claims, holding that plaintiff failed to plausibly allege an alternative action that defendants could have taken that would have been consistent with the securities laws and that a prudent fiduciary in the same circumstances would not have viewed as more likely to harm the fund than to help it.