Frequently Asked Questions

No, you are not being sued.

Plaintiff brought a lawsuit on behalf of the participants and beneficiaries of the Plan alleging that Defendants violated the Employee Retirement Income Security Act (“ERISA”) in connection with a transaction in December 2018 (“2018 Transaction”), whereby the Plan’s Trustee, Miguel Paredes, caused to the Plan to purchase from the Lackey Family Trust and/or Bruce C. Lackey and Pamela L. Lackey as Co-Trustees of the Bruce and Pamela Lackey Family Trust dated 3/31/87, as amended (collectively the “Lackey Family Trust”) 2,000,000 shares of common stock of Ritchie for more than fair market value. The Complaint challenges the 2018 Transaction and the conduct of the Plan’s fiduciaries who were responsible for the 2018 Transaction (the “Class Claims”), and alleges they failed to take appropriate corrective action after the 2018 Transaction.

Defendants deny any wrongdoing or liability. The Court has not ruled on the merits of these claims. The Complaint is available on this website.

The Court defined the “Class” as follows:

All participants in the ESOP from December 31, 2018, or any time thereafter until December 31, 2024 (unless the participant terminated without vesting) and those participants’ beneficiaries other than the Excluded Persons.

“Excluded Persons” means the following persons who are excluded from the Class: (a) Defendants; (b) any fiduciary of the Plan; (c) the officers and directors of Ritchie Trucking or of any entity in which the individual Defendants have a controlling interest; (d) immediate family members of any of the foregoing excluded persons, and (e) the legal representatives, successors, and assigns of any such excluded persons.

If you meet the definition of the Class and are not excluded as set forth above, you are a member of the Class.

In deciding to settle the lawsuit, Class Counsel reviewed relevant documents and retained an expert to analyze the valuation of the stock and potential amounts owed to the Class in the case. Class Counsel also considered the strength of the claims and defenses and likely arguments by the Defendants, the expense, length and likely delay of further litigation, and the risks arising from the existence of unresolved questions of law and fact.

If the parties had not reached a settlement, the Court may not have certified a Class and/or could have found in favor of Defendants. If Defendants had prevailed on certain of its defenses, then the Class could have recovered nothing. Even if Plaintiff had succeeded in establishing liability, the Court could have found that any losses that Defendants caused were less than the amount paid in this Settlement. Of course, if Plaintiff prevailed on the Class Claims, Defendants may have been liable for more than the Settlement Amount.

In January 2023 the parties participated in a mediation session with an experienced mediator and then engaged in a number of negotiations with assistance of that mediator after the formal mediation session. The parties then participated in further mediation sessions in April 2024 and May 2024. The Settlement was reached as a result of those mediations and post-mediation negotiation sessions. The Settlement is a compromise of disputed claims. Defendants disputed the Class Claims and asserted various defenses. All parties determined that given the uncertainty and risks inherent in litigation, it is best to settle the case on the terms set forth in the Settlement Agreement.

The Settlement requires Defendants who were fiduciaries of the Plan to pay $485,000.00 (the “Cash Settlement Fund”) to resolve all of the claims of the Class and requires the Lackey Family Trust to reduce the debt in the 2018 Transaction by $1.4 million. As a result of the debt reduction, the Settlement also requires 115,000 shares of Employer Stock held in the Suspense Account of the Plan to be released and allocated to Plan Stock Accounts of Class Members (“Stock Settlement Fund”). After deduction of any Court-approved attorney’s fees, expenses, and service award to the Class Representative, the Net Cash Settlement Fund, if any, will be distributed to the Class pursuant to a Court-approved distribution formula called the “Plan of Allocation”.

 In exchange for Defendants agreeing to pay this amount, Plaintiff, on behalf of the Class, has agreed to release or give up claims asserted in the litigation and certain legal claims based on the same facts.

The “Net Cash Settlement Fund”—which means the Cash Settlement Amount minus attorney’s fees, expenses and any service award to the Class Representative— and the “Stock Settlement Fund” —which means the amount of stock to be released—will be divided among Class Members according to a plan of allocation that is subject to Court approval. Class Counsel’s proposed Plan of Allocation, which the Court has preliminarily approved, provides that the Net Settlement Fund will be allocated to (1) participant Class members and (2) beneficiary Class Members with an immediate right to receive a distribution through the Plan (“Payee Class Member”) based on the number of shares in their shares in their Employer Stock Account or the number of shares before that Payee Class Member took a distribution (unless those shares were reallocated from another Class Members forfeited or liquidated account). The full Plan of Allocation can be found in the Settlement Agreement.

If you believe your Plan account balance was different than the number listed on your individualized addendum to the Notice you received, or that you qualify as a Class Member (but didn’t receive a personalized notice), you can submit supporting documents to the Settlement Administrator via email or physical mail.

After the Court’s order granting final approval becomes non-appealable, your share of the Net Settlement Amount will be transferred to the Plan. If you are eligible to receive an immediate distribution, you will then receive an Election Distribution Packet from the Plan Administrator after final approval. If you do not receive an Election Distribution Packet, you will be able access it at this website after final approval. The Plan Administrator will distribute or rollover your settlement payment based on your election. There will be no charge for you to receive a distribution or rollover of the proceeds from this Settlement so long as you make this election within 90 days of receiving the Election Distribution Packet. If you fail to make a timely distribution election, you may be charged expenses related to administration of the Plan (but not costs to receive a distribution) that are typically charged to plan participants.

Yes. The Court has appointed the following lawyer to serve as the attorney for the Class:

R. Joseph Barton
THE BARTON FIRM LLP
1633 Connecticut Ave. NW, Suite 200
Washington, DC 20009
Telephone: (202) 734-7046
Email: RitchieESOPSettlement@thebartonfirm.com

Any class member can comment on the Settlement or tell the Court that you do not agree with the Settlement or some part of it, including the motion for attorney’s fees and expenses or the service awards to the Class Representative. To object, you must send a letter or other written statement with your objection.

Any written objections must be sent to Class Counsel at the address below and must be postmarked no later than December 1, 2025.

R. Joseph Barton
THE BARTON FIRM LLP
1633 Connecticut Ave. NW, Suite 200
Washington, DC 20009

Be sure to refer to “Imber v. Lackey, et al., Case No. 1:22-cv-00004-HBK (E.D. Cal.).” Include your name, address, telephone number, signature, and a full explanation of all the reasons you object to the Settlement. You or your attorney must sign the written objection.

If you have no objection to the Settlement, or the request for attorneys’ fees or expenses, then you do not need to send any written statement to the Court.

No. You do not have the right to exclude yourself from the Class or the benefits of the Settlement. The Lawsuit was certified as a mandatory (“non-opt-out”) class action. As a Class Member, you will be bound by any judgments or orders that are entered in the Lawsuit for all claims that were or could have been asserted in the Lawsuit or are otherwise included in the release under the Settlement. Although you cannot opt out of the Settlement, you can object to the Settlement as described above.

The data on which Class Counsel relied and which will be used to calculate the amount of settlement is based on data received from Defendants.

If you think that certain information about your account is incorrect or that you are member of the Class (but did not receive a personalized notice), you can submit a request to the Settlement Administrator explaining why Defendants’ data is incorrect or why you are a member of the Class and are entitled to a payment. Along with your request, you should submit any documentation necessary to support your request.  You need to submit any such request or challenge to Defendants’ data by no later than December 1, 2025 to the Settlement Administrator at the following address:

Ritchie ESOP Settlement
P.O. Box 2002
Chanhassen MN 55317-2002

If you need to update your mailing address, other contact information or provide any other updates, you should also contact the Settlement Administrator.

On December 19, 2025, at 10:00 a.m. Pacific Time, Magistrate Judge Barch-Kuchta will hold a hearing in her courtroom at the United States District Courthouse in Courtroom 6 at the U.S. District Court, Eastern District of California, 2500 Tulare Street, Fresno, California.

At this hearing, the Court will consider whether the Settlement is fair, reasonable, and adequate, whether and in what amount to award Class Counsel with attorney’s fees and reimbursement of expenses and the Class Representative with a service award. If there are objections, the Court will consider them. After the hearing, the Court will decide whether to approve the Settlement, and award attorney’s fees and expenses. We do not know how long the Court will need in order to make these decisions.

You do not have to attend the hearing. Class Counsel will present the Settlement to the Court and answer any questions the Court may have. If you file a written objection, you are not required to attend the hearing in order for your objection to be considered by the Court.

The time and date of this hearing may change, so please check this website or contact Class Counsel prior to the date of the hearing if you plan to attend. Any changes will be posted on this website.

You may contact the Settlement Administrator at RitchieESOPSettlement@noticeadministrator.com, or call at 855-493-5328.