The current trustees of a medical practice’s profit-sharing plan sued the plan’s former sole trustee for breach of fiduciary duty under ERISA related to losses he caused to the plan. Ruling in favor of the current trustees on their motion for summary judgment, the U.S. District Court for the District of New Jersey found that the former trustee engaged in self-dealing and failed to satisfy his fiduciary duties of loyalty and care to the plan by making material misrepresentations, falsifying records, and improperly distributing plan assets. The former trustee unsuccessfully attempted to defend himself by arguing that he did not intend to commit fraud and that his actions were a result of being “careless, confused, and lack[ing] interest,” not bad faith. The court explained that the former trustee's argument about his lack of intent or bad faith was not helpful because a breach of fiduciary duty can be established on the basis of negligence and strict liability. As the court noted, the proper analysis focuses on whether the trustee acted with appropriate care, not fault. Furthermore, the court found that the former trustee's admissions about his carelessness, confusion, and lack of interest only bolstered the current trustees' claims that he did not behave prudently as required by ERISA. Accordingly, the court ruled that the former trustee had to pay compensatory damages with interest to the plan. This case serves as a reminder of the high standards that plan fiduciaries are held to under ERISA. (Chaaban v. Criscito, D.N.J. 2011).