The following is being released by Susman Godfrey LLP and Hausfeld LLP.
There is a Settlement with Barclays Bank that impacts individuals and institutions that entered into over-the-counter financial derivative and non-derivative instruments directly with Barclays or a Non-Settling Defendant that received payments tied to U.S. Dollar LIBOR. Barclays and the Non-Settling Defendants are U.S. Dollar LIBOR Panel Banks. Please visit www.BarclaysLiborSettlement.com for the list of Defendants. The instruments include certain interest rate swaps, forward rate agreements, asset swaps, collateralized debt obligations, credit default swaps, inflation swaps, total return swaps, options, and floating rate notes.
The litigation claims that the banks manipulated the U.S. Dollar LIBOR rate during the financial crisis, artificially lowering the rate for their own profit, which resulted in purchasers receiving less interest payments for their U.S. Dollar LIBOR-based instruments from the banks as they should have. Plaintiffs assert antitrust, breach of contract, and unjust enrichment claims. Barclays denies all claims of wrongdoing.
Individuals and institutions are included in the Settlement if they:
- Directly purchased certain U.S. Dollar LIBOR-based instruments;
- From Barclays or any Non-Settling Defendant (or their subsidiaries or affiliates);
- In the United States; and
- Owned the instruments at any time between August 2007 and May 2010.
The Settlement will create a $120 million Settlement Fund that will be used to pay eligible Class Members who submit valid claims. Additionally, Barclays will cooperate with the Plaintiffs in their ongoing litigation against the Non-Settling Defendants.
Class Members must submit a Proof of Claim, online or by mail, by December 21, 2017 to get a payment. They are entitled to receive a payment if they have a qualifying transaction with Barclays or a Non-Settling Defendant. At this time, it is unknown how much each Class Member who submits a valid claim will receive.
Even if they do nothing, Class Members will lose the right to sue Barclays for the alleged conduct and will be bound by the Court’s decisions concerning the Settlement. This Settlement will not result in a release of claims against any Non-Settling Defendant, and the litigation against Non-Settling Defendants is ongoing. If Class Members want to keep their right to sue Barclays, they must exclude themselves from the Settlement Class by October 9, 2017. If they stay in the Settlement Class, they may object to the Settlement by October 9, 2017.
The Court will hold a hearing on October 23, 2017 to consider whether to approve the Settlement and approve Class Counsel’s request of attorneys’ fees of up to one-third of the Settlement Fund, plus reimbursement of costs and expenses. Class Members or their lawyers may appear and speak at the hearing at their own expense.
For more information, please visit www.BarclaysLiborSettlement.com, or call 1-888-568-7640.