By Jenn Rothenberg, VP of Marketing, Financial Recovery Technologies
|Case||Canadian FX Price-Fixing Class Action|
|Settlement Amount:||$109.8m CAD|
|Court:||Ontario Court and the Québec Court|
|Claims:||Price fixing; Unjust enrichment; Controlling and manipulating FX benchmark rates|
|Relevant Period:||January 1, 2003 – December 31, 2013|
|Covered Instruments:||“FX Instruments” includes FX spot transactions, outright forwards, FX swaps, FX options, FX futures contracts, options on FX futures contracts, and other instruments traded in the FX Market.|
|Claim Deadline:||January 15, 2020 (extended from August 19, 2019)|
This class action arises from an alleged conspiracy among the defendants to fix, raise, maintain, stabilize, control, or enhance unreasonably the prices of currency purchased in the FX or foreign currency market (the “FX Market”). The class action was commenced in Ontario and in Québec in September 2015.
WHAT DEFENDANTS HAVE SETTLED?
Settlements have been reached in the class action with the following Defendants (the “Settling Defendants”):
|Settling Defendants||Settling Amount|
|Bank of America||$6,500,000|
|Royal Bank of Scotland||$13,220,000|
|Bank of Tokyo Mitsubishi UFJ||$450,000|
Canadian proceedings continue against 8 additional defendants.
According to the claims form, Class Members will be allocated into two categories:
- “(a) Direct Claimants: persons in Canada who between January 1, 2003 and December 31, 2013, entered into an FX Instrument directly with a financial institution, including but not limited to the Defendants. Direct Claimants include all Financial Customers and Non-Financial Customers that entered into an FX Trade with an FX Dealer. Investment Vehicles (discussed below) are excluded from the pool of Direct Claimants.
- (b) Indirect Claimants: persons in Canada who, between January 1, 2003 and December 31, 2013 entered into an FX Instrument indirectly through an intermediary, and/or purchased or otherwise participated in an
- i. investment or equity fund;
- ii. mutual fund;
- iii. hedge fund, or
- iv. any other investment vehicle that entered into an FX Instrument.
- Included as Indirect Claimants are Investment Vehicles.”
The Settlement relates to the FX rate including those trading both over-the-counter and on exchanges. These include, but are not limited, to:
- FX spot transactions
- Outright forwards
- FX swaps
- FX options
- FX futures contracts
- Options on FX futures contracts
- Other instruments traded in the FX market
To recover from the settlement fund, you must submit a Claim Form by January 15, 2020 (extended from August 19, 2019). At your request, FRT can help you prepare the Claim Form and submit it on your behalf.
Unlike the Foreign Exchange Benchmark Rates Antitrust Litigation case (U.S.), investors do not have a constructed trade option. Similar to the Euribor case, class members must submit their full trade details by the deadline. Read our blog to learn about the Euribor claims filing.
- Preliminary Alert: July 2017
- Full Alert: Coming Soon
SETTLED U.S. CLAIMS I GLOBAL GROUP LITIGATION I ANTITRUST I OPT-IN MONITORING I OUT-OUT MONITORING I FUTURE CLAIMS
Founded in 2008, Financial Recovery Technologies (FRT) is a leading technology-based services firm that helps the investment community identify eligibility, file claims and collect funds made available in securities and other class action settlements. Offering the most comprehensive range of claim filing and monitoring services available, we provide best-in-class eligibility analysis, disbursement auditing and client reporting, and deliver the highest level of accuracy, accountability and transparency available. For more information, go to www.frtservices.com.
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