FRT Insights

RESOURCES

Case Spotlight: LIBOR Green Pond

CaseLIBOR Green Pond
Settlement Amount: $21,775,000
Claims:Alleged manipulation of over-the-counter financial derivative and non-derivative U.S. Dollar LIBOR instruments
Relevant Period:August 1, 2007 - May 31, 2010
Covered Instruments:Asset swaps, collateralized debt obligations, credit default swaps, forward rate agreements, inflation swaps, interest rate swaps, total return swaps, options, or floating rate notes
Claim Deadline:January 3, 2021

On October 5, 2020, the U.S. District Court for the Southern District of New York approved settlements with five defendant banks (see below) totaling $21.775m in the LIBOR Non-Defendant Over-the-Counter (OTC) Action, also referenced as the LIBOR Green Pond case. The London Interbank Offered Rate (“LIBOR”) has had several antitrust class actions filed related to its alleged manipulation. These actions were consolidated under In re: LIBOR Based Financial Products Antitrust Litigation, MDL #2262 that alleges the same price-fixing scheme and impact that defendant banks artificially lowered the rate and reduced payments to Class Members. While most of these cases differ in the instruments that are covered, the LIBOR Green Pond Settlement is slightly different.

The uniqueness of this case is that the Over-the-Counter based instruments are the same as the one’s eligible for the larger LIBOR OTC action, which to date has reached a total settlement pool of $590m. However, where this case differs is the other criteria that must be met to be considered an eligible class member. The most notable is that investors must have transacted with one of the Non-Defendant OTC Financial Institutions listed by the Claims Administrator. This counter-party level eligibility is a new “flavor” for understanding the related LIBOR actions and interpreting eligibility.

A deadline of January 3, 2021 has been set for filing a claim in this settlement. If you believe you transacted in the Over-the-Counter instruments or otherwise received interest payments tied to U.S. Dollar LIBOR on the instruments during the period August 1, 2007 and May 31, 2010, you might be eligible to participate. FRT can assist you with evaluating your potential for eligibility and file the claims in these cases. If you have any questions, please reach out to your FRT representative or email us.

Settling Defendants in LIBOR Green Pond Settlement

Settling DefendantSettlement Amount
BarclaysBarclays agreed to provide substantial cooperation, in lieu of any
cash payment, to assist Plaintiffs in connection with the pursuit of
their claims against all of the other Defendants
Bank of America $5,000,000
Citi$7,025,000
HSBC $4,750,000
J.P. Morgan $5,000,000
Total$21,775,000

Important dates and deadlines

  • Settlement Class Period: August 1, 2007 – May 31, 2010
  • January 3, 2021: Claims Filing Deadline – deadline for submitting Claim Forms
  • October 5, 2020: Fairness Hearing
  • August 31, 2020: Opt-Out Deadline

>> There are 50+ antitrust class actions in active litigation which could yield filing opportunities and substantial recoveries for years to come. Request a copy of our antitrust pipeline to ensure your firm does not miss significant recovery opportunities in antitrust class action settlements.

 

 

Learn More

To learn more about how FRT can help your firm automate participation and recovery in antitrust class actions, visit our website or contact us at learnmore@frtservices.com.

Subscribe to FRT’s Monthly Newsletter

Financial Recovery Technologies’ Shareholder Litigation Fast Five provides you with the top news in shareholder class actions. This is your exclusive summary of the latest industry developments related to settled, group and antitrust actions and recovery opportunities. Click here to subscribe.

 

This communication and the content found by following any link herein are being provided to you by Financial Recovery Technologies (FRT) for informational purposes only and does not constitute advice. All material presented herein is believed to be reliable but FRT makes no representation or warranty with respect to this communication or such content and expressly disclaims any implied warranty under law. Opinions expressed in this communication may change without prior notice. Firms should always seek legal and financial advice specific to their unique situation and objectives.

Search Tags

Subscribe to FRT's Monthly Newsletter

Get a monthly update with the latest industry developments related to U.S. Settled, non-U.S. opt-in, global passive and antitrust actions and recovery opportunities

 

Our Authors

avatar for Colin HolmesColin Holmes

Associate Counsel

avatar for Jenn RothenbergJenn Rothenberg

VP of Marketing

avatar for Kevin FlanaganKevin Flanagan

Marketing Manager

avatar for Mike LangeMike Lange

SVP, Worldwide Litigation

avatar for Rob AdlerRob Adler

Chief Executive Officer

avatar for Sean CooksonSean Cookson

Vice President and Managing Director - APAC

Latest News