Lowey Wins Appeal for Euroyen Derivatives Investors in Sonterra Action

by | May 7, 2020 | Homepage, News | 0 comments

On April 1, 2020, the U.S. Court of Appeals for the Second Circuit ruled in favor of Plaintiffs California State Teachers’ Retirement System, Hayman Capital Master Fund, L.P., Japan Macro Opportunities Master Fund, L.P., and Sonterra Capital Master Fund Ltd. finding that they had standing to sue Defendants Barclays, RBS, and UBS (among others) for their manipulation of Yen-LIBOR and Euroyen TIBOR.

In its ruling, the Second Circuit held that the District Court erred in dismissing Plaintiffs’ complaint because Plaintiffs had adequately pled that Defendants’ manipulation of Yen-LIBOR and Euroyen TIBOR caused them to trade derivatives price based on Yen-LIBOR and Euroyen TIBOR at unfavorable, artificial prices: “[t]he complaint also lists specific transactions in which Plaintiffs traded derivatives at unfavorable rates on days when Defendants had manipulated Yen LIBOR to their own advantage. Plaintiffs made detailed factual allegations about each type of derivative that they traded …”

This decision is another significant victory in the case for Lowey, who serves as class counsel in this matter.

The opinion can be found here: Sonterra Appeal Decision