The lawsuit is brought on behalf of current and former participants and beneficiaries of one or more of the following plans between October 1, 1998 and September 30, 2004: the Merck & Co., Inc. Employee Savings & Security Plan, the Merck & Co., Inc. Employee Stock Purchase & Savings Plan, the Merck Puerto Rico Employee Savings & Security Plan, and the Medco Plan. Plaintiffs bringing the lawsuit allege that Defendants violated the federal Employee Retirement Income Security Act, known as ERISA, by, among other things, offering the Merck Common Stock Fund as one of the investment options for the Plans during the Class Period. The lawsuit claims that under ERISA, Defendants owed fiduciary duties to the Plan, and that they allegedly violated those duties in connection with the Plans’ investments in the Merck Common Stock Fund.

The defendants deny any wrongdoing. The Plaintiffs and the Defendants agreed to the Settlement to ensure a resolution and avoid the cost and risk of further litigation.

Members of the Settlement Class are individuals who:

(a) were a participant in, or beneficiaries of, any of the following Plans anytime in the period of October 1, 1998 through and including September 30, 2004:

1. The Merck & Co., Inc. Employee Savings & Security Plan
2. The Merck & Co., Inc. Employee Stock Purchase & Savings Plan
3. The Merck Puerto Rico Employee Savings & Security Plan
4. The Merck-Medco Managed Care, LLC 401(k) Savings Plan

(b) their Plan account held or purchased shares in Merck Common Stock Fund during this period, and

(c) are not Defendants in the lawsuit.

If you are a current or former participant in the Plans and the Plan has investment records indicating that you invested in any of the Merck Common Stock Fund in the Class Period, you do not need to take any action to join the case. You may be entitled to a portion of the Settlement Funds per the Court-approved allocation plan. This will occur only if the Court ultimately approves the settlement and any appeals are resolved in favor of the settlement, and only to the extent determined under the allocation plan.

If the Settlement is approved by the Court and becomes Final, the Settlement Amount will be allocated according to written Terms of Allocation. The proposed Terms of Allocation will be considered by the Court at the Fairness Hearing. The proposed Terms of Allocation are available along with other settlement documents on the Case Documents tabs of this website.

If you are an eligible Class Member, your share of the Net Settlement Amount will be based upon the ratio of your loss to the losses of other Plan participants. Because the Net Settlement Amount is less than the total losses alleged by the Proposed Class, each Proposed Class Member’s proportionate recovery will be less than his or her alleged loss.
You are not responsible for calculating the amount you may be entitled to receive under the Settlement. The calculations necessary to determine your allocation of the settlement proceeds will be made for you in connection with the administration of the Settlement and will determine both whether you are entitled to a share of the Net Settlement Amount and your allocation amount.

Those performing the calculations will have access to all relevant Plan records. You do not need to supply your Plan account statements or records or file a claim.

Please also note that if your allocation is less than $50, you will not receive any money from the Net Settlement Amount.

If the Court ultimately approves the Settlement, and your losses qualify you for a distribution from the Net Settlement Amount, then the Settlement Fund will be distributed in one of two ways:

If you are a current participant in one of the Plans, your share will be deposited into your Plan account and will be reflected on your account statement.

If you are a former participant and/or no longer have an account within the applicable Plans, a new account will be established on your behalf and your share will deposited into that account. If a new account is created for you, you will receive information about that account by mail.

The Court will hold a Fairness Hearing on November 29, 2011 at 10:00 a.m. The hearing will be at the United States District Court for the District of New Jersey, Martin Luther King, Jr. Building & U.S. Courthouse, 50 Walnut Street, Newark, NJ 07101, in Courtroom PO 08 or the courtroom then occupied by United States District Judge Stanley R. Chesler.
At that hearing, the Court will consider whether the proposed Settlement is fair, reasonable, and adequate. If there are objections to the Settlement, any attorneys’ request for fees and expenses, the proposed Terms of Allocation, or any request for a case contribution award to the Class Representative, the Court will consider them. Settlement Class members are not required to appear at the Fairness Hearing, but may appear at their own expense. To appear at the Fairness Hearing and speak in person, a Settlement Class member must file with the Clerk of the Court a Notice of Intent to Appear at Fairness Hearing and serve it on the parties as set forth fully in the Notice of Class Action Settlement. After the Fairness Hearing, the Court will decide whether to approve the Settlement and any requests for attorneys’ fees and expenses and any case contribution award to the Class Representatives.

Settlement Class members do not need to appear at the hearing or take any other action to indicate their approval. Lawyers for the Settlement Class will answer questions the Court may have. Settlement Class members are welcome to attend the Fairness Hearing at their own expense.

If you are a Settlement Class member as defined by the Court, you may object to the Settlement or any of its terms, the proposed Plan of Allocation, Settlementany request for attorneys’ fees and reimbursement of expenses, and/or any request for case contribution awards. To object, you must submit a written objection, which must be filed with the Court, and mailed to the Lawyers listed in the Notice of Class Action Settlement. Your written objection must be filed with the Clerk of the Court and served by mail on both Plaintiffs’ and Defendants’ lawyers on or before November 15, 2011, in accordance with the instructions described in the Notice of Class Action Settlement. For more information see the Notice of Class Action Settlement, especially the answer to Question #13 in that Notice.

If you file and serve by mail a written objection by November 15, 2011, you do not also have to come to Court to talk about it. As long as you served and filed your written objection on time, the Court will consider it. You may also have your own lawyer attend, but it is not necessary. Settlement Class members do not need to appear at the hearing or take any other action to indicate their approval.

If you file and serve a timely written objection, you can appear at the hearing and speak in person if you want to. However, to speak at the hearing, you must also file a Notice of Appearance with the Court and mail a copy to Defendants and Plaintiffs law firms as listed in the Stipulation and Agreement of Settlement by November 15, 2011. For more information see the Notice of Class Action Settlement, especially the answer to Question #16 in that Notice.

You may review and print a copy of the Notice of Class Action Settlement by visiting the Case Documents tab of this website.

You may submit inquiries via email to classact@gilardi.com or by calling the case toll-free information line at (877) 383-0727.

If sending an email, please be sure to include the name of the case, your name, the last four digits of your Social Security number for verification purposes and the nature of your inquiry.

Please do not contact the Court with questions. The court personnel will not be able to answer your questions.