Northrop Grumman $21.5M Pension open Class Action Settlement
By Steve Levine
Published: February 10, 2026
Settlement Amount:
$21.5 MillionClaim Form Required:
No — Benefits are automaticObjection Deadline:
April 6, 2026You may be part of a proposed $21,500,000 class action settlement reached with Northrop Grumman Corp. over allegations that pension benefits under the Northrop Grumman Space & Mission Systems Corp. Salaried Pension Plan (formerly the TRW Salaried Pension Plan) were improperly reduced by the ESL Offset. If you are a class member, you do not need to do anything — additional pension benefits will be calculated and paid automatically if the Court approves the settlement.
Northrop Grumman denies all allegations of wrongdoing, but has agreed to the settlement to avoid the costs, delays, and uncertainty of continued litigation.
What is This Lawsuit About?
This case, John Baleja et al. v. Northrop Grumman Space and Mission Systems Corp. Salaried Pension Plan et al., was originally filed on February 8, 2017 in the U.S. District Court for the Central District of California. The lawsuit challenged how Northrop Grumman calculated pension benefits for former employees of TRW Inc., which Northrop Grumman acquired in 2002.At the core of the dispute is the ESL Offset — a provision in the pension plan that reduced the pension benefits participants received. The plaintiffs alleged that:
• Northrop Grumman failed to adequately disclose the ESL Offset to plan participants, constituting a breach of fiduciary duty under ERISA;
• Participants were entitled to certain minimum benefits under the plan that were not being paid; and
• Changes to the plan violated ERISA's anti-cutback rule, which prohibits reducing benefits that have already been earned.
The case went through years of litigation, including a full trial in district court where the judge initially ruled in favor of Northrop Grumman on all claims in October 2022.
What Happened at the Ninth Circuit?
The plaintiffs appealed, and on August 19, 2024, the U.S. Court of Appeals for the Ninth Circuit partially reversed the lower court's decision. The appeals court:• Reversed the district court's determination that the Plan does not entitle class members to certain minimum benefits — finding in favor of the plaintiffs on this key claim;
• Reversed the entry of summary judgment on the breach of fiduciary duty claim, holding that the claim was timely; and
• Remanded (sent back) the case for a new trial on the fiduciary duty claim.
After this significant victory at the Ninth Circuit, the parties entered settlement negotiations, completed a full day of in-person mediation in March 2025, and reached this $21.5 million agreement.
Who is in the Class?
You are a class member if your pension benefits under the Plan were subject to the ESL Offset after December 31, 1984. More specifically, the class includes:All persons, excluding Defendants, whose pension benefits under the Plan, after December 31, 1984, are subject to the ESL Offset.
If you received a notice in the mail about this settlement, Northrop Grumman's records indicate you are likely a class member. This primarily affects former TRW employees who participated in the TRW Salaried Pension Plan and whose pension benefits were later administered under the Northrop Grumman plan.
Important: Class members who were deceased and had no living beneficiary as of October 1, 2025 will not receive payments.
What is the Total Settlement Amount?
The present value of the total settlement is $21,500,000. This amount includes:• Additional pension benefits to class members (which may include an initial upfront lump-sum payment and/or increased monthly pension payments)
• Court-approved attorneys' fees and expenses (Class Counsel will request no more than $7,000,000)
• Client service awards for the named plaintiffs
How Will My Benefits Be Calculated?
If the settlement is approved, each class member's additional pension benefits will be individually calculated using a points-based approach. The calculation takes into account several factors that estimate how much each person's pension was allegedly reduced by the ESL Offset:• Your ESL account balance
• Your pre-1985 and post-1985 years of service
• The interest projection period
• Whether you received any benefit from the plan other than your ESL account balance
Benefits may be paid as an initial upfront payment, increased monthly pension payments, or both. Individual amounts will vary based on each person's specific circumstances.
Do I Need to File a Claim Form?
No. Unlike most class action settlements, you do not need to submit a claim form, fill out any paperwork, or take any action to receive your benefits. If the settlement is approved by the Court, your additional pension benefits will be calculated and paid automatically.However, it is your responsibility to keep your contact information up to date with the official Northrop Gurmman open class action settlement administrator.
When Will I Receive My Benefits?
If the Court approves the settlement at the Final Approval Hearing on May 4, 2026, additional pension benefits will be individually calculated and increased payments will begin approximately 3-4 months after the Court's approval.This means payments could start as early as August or September 2026, assuming the settlement is approved on schedule and there are no appeals.
Can I Opt Out of the Settlement?
No. The Court certified this class under a federal rule that does not allow class members to opt out. All class members will be bound by the settlement if it is approved.Can I Object to the Settlement?
Yes. You have the right to object to the fairness, reasonableness, or adequacy of the settlement, any term of the settlement agreement, or the proposed attorneys' fees and expenses. To object, you must file a written objection with the Court and serve a copy on both Class Counsel and Defendants' Counsel on or before April 6, 2026.Your objection must include:
• The case name and number: John Baleja v. Northrop Grumman Space and Mission Systems Corp. Salaried Pension Plan, Case No. 5:17-cv-00235-JGB-SP
• Your name, address, and telephone number, and a statement that you are a class member
• The specific grounds for your objection, including arguments, legal citations, and evidence
• Your signature and whether you intend to appear at the Final Approval Hearing
File with the Court:
Clerk of the Court
U.S. District Court for the Central District of California
3470 Twelfth Street
Riverside, CA 92501-3801
Serve on Class Counsel:
Peter K. Stris / Elizabeth Brannen
Stris & Maher LLP
17785 Center Court Dr N., Suite 600
Cerritos, CA 90703
Serve on Defendants' Counsel:
C. William Phillips / William E. O'Neil
Covington & Burling LLP
30 Hudson Yards
New York, NY 10001
You do not need to appear at the Final Approval Hearing to have your objection considered.
What Are the Important Dates?
• Settlement Agreement Date: December 29, 2025
• Objection Deadline: April 6, 2026
• Final Approval Hearing: May 4, 2026 at 9:00 AM (Riverside, CA)
• Estimated Benefit Payments: 3-4 months after final approval (approximately August-September 2026)
When is the class action settlement payment date?
A specific payment date is not listed in the notice.In general, settlement payments will begin after:
• The Court grants final approval (hearing scheduled for May 4, 2026),
• Any appeals are resolved, and
• Individual benefits are calculated by the Settlement Administrator (Simpluris).
According to the notice, increased payments will occur approximately 3-4 months after the Court's approval. Benefits may include an initial upfront payment and/or increased monthly pension payments going forward.
What is the ESL Offset?
The ESL Offset refers to a provision in the pension plan related to the Employee Savings and Stock Ownership Plan Leveraged (ESL) accounts. In simple terms, this offset reduced pension payments based on money in participants' ESL accounts.The plaintiffs alleged that:
• The ESL Offset was not adequately disclosed in summary plan descriptions and other communications to employees
• Many retirees had their pensions reduced without understanding why, or without even knowing the offset existed
• The plan entitled participants to certain minimum benefits that were not being honored
The Ninth Circuit agreed with the plaintiffs on the minimum benefits issue, which ultimately led to the $21.5 million settlement.
How Much Are the Attorneys' Fees?
Class Counsel will request an attorneys' fees and expenses award of no more than $7,000,000 (including client service awards for the named plaintiffs). This amount comes out of the $21.5 million total settlement.Class Counsel have not received any payment for their services since the case began in 2017, nor have they been reimbursed for out-of-pocket expenses. The case involved a full trial, appeal to the Ninth Circuit, and extensive settlement negotiations spanning nearly a decade.
Who is Representing the Class?
Shaun Martin
University of San Diego Law School
5998 Alcala Park, Warren Hall
San Diego, CA 92110
Peter K. Stris & Elizabeth Brannen
Stris & Maher LLP
17785 Center Court Dr N, Suite 600
Cerritos, CA 90703
You will not be charged for their services. You may hire your own lawyer at your own expense if you wish.
What Claims Are Being Released?
If the settlement is approved, class members will release all claims related to:• The calculation or payment of minimum pension benefits under the Plan
• The application of the ESL Offset to pension benefits
• Breach of fiduciary duty or other ERISA violations related to disclosures in summary plan descriptions
• Breach of fiduciary duty related to disclosures about the ESL Offset and minimum benefits
The full release language is in the Settlement Agreement available at www.BalejaNorthropGrummanSpaceSettlement.com.
How Do I Find Class Action Settlements?
Find all the latest class actions you can qualify for by getting notified of new lawsuits as soon as they are open to claims:What Are My Options?
• Do Nothing: This is all you need to do. If the settlement is approved, your additional pension benefits will be calculated and paid automatically.
• Update Your Address: Make sure the Settlement Administrator has your current contact information. Email info@BalejaNorthropGrummanSpaceSettlement.com or call (833) 647-9049.
• Object: If you disagree with the settlement terms, file a written objection by April 6, 2026.
Note: You cannot opt out of this settlement. The Court certified the class under a rule that does not permit exclusions.
Settlement Website: Claim Form Website Here
The case is John Baleja et al. v. Northrop Grumman Space and Mission Systems Corp. Salaried Pension Plan et al., Case No. 5:17-cv-00235-JGB-SP, in the U.S. District Court for the Central District of California.
Official Settlement Notice
Sources
• Official Settlement Website: Official Site• John Baleja et al. v. Northrop Grumman Space and Mission Systems Corp. Salaried Pension Plan et al., Case No. 5:17-cv-00235-JGB-SP (C.D. Cal.)
• U.S. Court of Appeals for the Ninth Circuit — August 19, 2024 Decision (partial reversal)
• Settlement Administrator: Simpluris — (833) 647-9049
• Settlement Agreement dated December 29, 2025
Filing Class Action Settlement Claims
Please submit only truthful and accurate claims. Submitting false information can result in denial of benefits and potential penalties. If you are unsure whether you qualify, review the official notice or contact the Settlement Administrator. OpenClassActions.com is a consumer news site and is not the settlement administrator or a law firm.
For more class actions keep scrolling below.
$25 Amazon Gift Card
Enter Here
Video Game Addicts Lawsuit
Deadline: Pending
Submit Claim
DraftKings & FanDuel Addiction Lawsuits
Status: Open
Submit Claim
Children playing Roblox and using Discord?
Pre-Qualify Here
Submit Claim
RoundUp Cancer Lawsuits: How to Qualify
Status: Open to Claims
Submit Claim
$5.5M Mid America Pet Food Settlement
Deadline: February 5, 2026
Submit Claim
$4.17M RevitaLash Conditioner Settlement
Deadline: April 20, 2026
Submit Claim
$87.5M Beef Prices Settlement
Deadline: June 30, 2026
Submit Claim
Dollar General Bait & Switch Settlement
Deadline: April 13, 2026
Submit Claim| Class Action Summary | |
| Status | Proposed Settlement — Preliminary Approval Granted |
|---|---|
| Claim Form Required | No — Benefits Are Automatic |
| Settlement Amount | $21,500,000 (present value) |
| Category | Pension / ERISA / Employee Benefits |
| Estimated Payout | Individually calculated based on ESL account balance, years of service, and other factors; may include upfront lump sum and/or increased monthly pension |
| Case Number | 5:17-cv-00235-JGB-SP |
| Case Title | John Baleja et al. v. Northrop Grumman Space and Mission Systems Corp. Salaried Pension Plan et al. |
| Court | U.S. District Court, Central District of California (Riverside) |
| Final Approval Hearing | May 4, 2026 at 9:00 AM |
| Objection Deadline | April 6, 2026 |
| Opt Out | Not permitted — class certified under non-opt-out rule |
| Settlement Administrator | Simpluris |
| Settlement Website | Settlement Site |