In a significant development, the United States District Court for the Southern District of New York has denied motions to dismiss for lack of personal jurisdiction filed by several defendant banks in the antitrust class action lawsuit. The case involves allegations of a conspiracy among some of the world’s largest banks to manipulate prices in the foreign exchange (“FX”) market.
Kehoe Law Firm represents FX Primus Ltd., which asserts that it purchased FX instruments from retail FX dealers at artificially inflated prices due to the alleged manipulation of the FX market by the defendants. The complaint, which alleges violations of state antitrust and consumer protection laws, implicates major financial institutions, including Barclays, BNP Paribas, HSBC, MUFG, RBS, Société Générale, Standard Chartered, UBS AG, and UBS Group AG.
The court’s decision, outlined in a comprehensive opinion and order, determined that specific jurisdiction could be established for Barclays, BNP Paribas, HSBC, Standard Chartered, and UBS AG, as they were found to have sufficient minimum contacts with the forum state. The same could not be established for MUFG, RBS, and Société Générale.
The ruling was based on the court’s evaluation of the minimum contacts and reasonableness criteria for establishing personal jurisdiction over the foreign defendants. The court found that none of the factors considered for reasonableness weighed against the exercise of jurisdiction over the defendants who failed to secure dismissal. Factors such as the burden on the defendants, the interests of the forum state, the plaintiff’s interest in obtaining relief, the judicial system’s interest in efficiency, and shared state interests did not render the exercise of jurisdiction unreasonable.
The court’s decision marks a pivotal development in the ongoing litigation, with some foreign defendants successfully securing dismissal on jurisdictional grounds with the remaining defendants having to continue to face legal proceedings in the Southern District of New York. The case underscores the complexity of jurisdictional challenges in multinational financial litigation, with potential implications for similar lawsuits in the future.
Kehoe Law Firm partner, John A. Kehoe, expressed satisfaction with the Court’s decision, emphasizing the importance of keeping some of the claims intact. “The ruling acknowledges the validity of certain claims against major banks involved in the alleged FX market manipulation conspiracy. We are pleased that the Court recognizes the merit of our clients’ case, allowing the litigation to proceed against those responsible for potential wrongdoing,” said Kehoe.
For more information about Kehoe Law Firm and its involvement in this matter, please contact John A. Kehoe at [email protected] or call (215) 792-6676.