The California State Teachers’ Retirement System is in ongoing discussions with private equity firms involved in a collusion case about how the costs of the settlements will be shared with limited partners, said Christopher J. Ailman, the pension system’s chief investment officer.

At the centre of these discussions is where the responsibility for making the settlement payments lies-in the funds from which the firms made the investments or the firms themselves-and if both are responsible, how the payments and related legal fees should be split.