September 24, 2025
“It comes down to the dogged pursuit of the class’ interests. It’s the Cohen Milstein way,” Michelle Yau, partner at Cohen Milstein and counsel for the class, said.
A Connecticut federal judge approved a $7.9 million class action settlement to resolve claims against hedge fund GWA LLC and its founder, George A. Weiss.
GWA and Weiss allegedly breached their fiduciary duties and misused the employee retirement plan assets to further their own pecuniary interests in violation of the Employee Retirement Income Security Act. The retirement plan investments, 401(k) assets, were allegedly 100%invested in “The Weiss Funds,” which includes GWA’s flagship hedge fund, Weiss Multi-Strategy Partners (Cayman) Ltd., and the company’s mutual fund, Weiss Alternative Multi-Strategy Fund.
“We had never seen a retirement plan 100% invested in this niche investment product,” Michelle Yau, partner at Cohen Milstein and counsel for the class, said. “Every once in a while, you’ll see an alternative fund in a 401(k) plan, but participants have the choice as to what they can invest in.”
The class action was filed in 2023, but during the course of litigation, both defendants filed for bankruptcy in New York and Florida.
“That was not something anyone could predict, but it ultimately left us with no solvent party that could pay judgment,” Yau said. “The action became way more complicated and risky due to the tow bankruptcies.”
However, the parties found a way to settle the case, and each class member will receive around $26,000. Yau said the legal team fought to preserve the class’ rights to the insurance policy, and now, the class does not have to wait for a resolution in the bankruptcy proceedings.
“It comes down to the dogged pursuit of the class’ interests. It’s the Cohen Milstein way,” Yau said.
. . .
“This was a case where the client sought us out,” Yau said. “She was laser-focused on protecting all the employees; she wasn’t in it just for herself. I just had to take it. Every once in a while, you’re asked or presented with the right thing to do. Even if it’s, from a business perspective, substantially riskier, it’s the right thing to do.”
. . .
“This is not a case that would have been brought but for our client pounding the pavement, looking for experienced ERISA counsel to bring to this case,” Yau said.
Read Approved: $7.9 Million ERISA Settlement Against Hedge Fund.