On November 27, 2017, the claims administrator sent settlements notices to potential class members in the Euribor Antitrust Litigation—but claim forms are not due until August 1, 2018. Now why would they give class members over nine months to file a claim?
Perhaps it was a Corporal Work of Mercy.
Euribor, aka the Euro Interbank Offer Rate, is one of several daily lending rates now mired in class action litigation and governmental inquiry. Plaintiffs allege that defendants conspired to fix overnight lending rates and rates of other Euribor products from June 1, 2005 to March 31, 2011. (The settling defendants are Barclays, HSBC, and Deutsche Bank.) These allegations are similar to the allegations in the LIBOR, FOREX, ISDAFix, and Euroyen litigations.
So why the extra time? Because filing claims in this litigation could be very tricky:
1. The class period is old.
In 2005 Chester A. Arthur was President and people still hyphenated the word “base-ball.” So it is possible that the relevant trade data will be hard for modern Americans to find—or to decipher, because…
2. The relevant trades are unlikely to turn up easily in a search of trade data.
Euribor rates and products do not have symbols or CUSIPs or otherwise easily identifiable markers for people to put in a search field. Therefore, the headache for the claimant will be finding each qualifying transaction, and the worry will be that they miss some important transactions
3. Eligible trades will be hard to determine.
Here is how the proof of claim defines Euibor products:
“Euribor Products” means any and all interest rate swaps, forward rate agreements, futures, options, structured products, and any other instrument or transaction related in any way to Euribor, including but not limited to New York Stock Exchange London International Financial Futures and Options Exchange (“NYSE LIFFE”) Euribor futures contracts and options, Chicago Mercantile Exchange (“CME”) Euro currency futures contracts and options, Euro currency forward agreements, Euribor-based swaps, Euribor-based forward rate agreements, and/or any other financial instruments that reference Euribor.”
As you can see, the definition is a mix of specific (“Euribor-based forward rate agreements”) and some catch-alls that could mean anything (“any other instrument related in any way”). How is a busy investor supposed to know the difference between an eligible or an ineligible trade?
CCC Can Help You Find ALL of your Eligible Transactions
Chicago Clearing Corporation has vast experience filing claims in financial class action settlements. Our team of experts are currently filing claims in the FOREX litigation, and we have already filed many claims in other specialized antitrust settlements, such as the Credit Default Swaps Litigation, the US Dollar LIBOR Litigation, and the Euroyen Litigation.
While it was an act of kindness of the settling parties to give claimants until August to parse through antique trade history for arcane Euribor products, expertise may help class members more than time. Turn to the experts at CCC. We will make sure you find every qualifying transaction in every single account.