Foreign exchange cartel class action

Yes - you do not need to have engaged in FX transactions directly with the respondents in order to register in the FX class action.

It is alleged that the cartel conduct caused loss by artificially increasing the cost of buying certain currencies and artificially decreasing the price received when selling certain currencies. It is alleged that this affected currency prices in the market regardless of whether you bought from one of the respondents or any other financial provider/ bank.

Group members who do not opt out or register by 4pm AEST on 12 August 2024 will remain as group members and await the outcome of the proceedings.

If a settlement is reached at or shortly after the mediation, the parties intend to seek an order that group members who did not register by 4pm AEST on 12 August 2024 will not be entitled to participate in that settlement without leave of the Court but will otherwise be bound by the terms of the settlement.

This means that, if you do nothing, and a settlement agreement is reached at or shortly after the mediation, an order may be made that excludes you from receiving any compensation from the settlement of the class action. You may also be prevented from making your own claim against any Respondent Bank relating to the subject matter of this class action.

If you wish to have the opportunity to participate in or receive any benefit from a settlement of the Australian FX Class Action, the safest course is to register as per the above option, by 4pm AEST on 12 August 2024.

If you do not wish to remain a group member in the Australian FX Class Action, you must opt-out of the proceeding by completing an opt-out form by 4pm AEST on 12 August 2024.

If you opt out of the Australian FX Class Action, you:

1. will not be affected by any orders made in the Australian FX Class Action or by any settlement reached between the parties;
2. will not be permitted to receive any distribution from any damages award or settlement outcome arising from the Australian FX Class Action; and
3. will be able to commence separate proceedings against the Respondent Banks (or any of them) on your own behalf if you wish (subject to any applicable time limits).

Opt-out forms must be submitted directly to the Victorian Registry of the Federal Court of Australia by 4pm AEST on 12 August 2024. Opt-out forms received after this time may not be accepted, with the result being that you will be treated as having not responded to this notice.

Each group member seeking to opt-out should fill out a separate opt-out form.

There is a court-ordered confidentiality regime in place in respect of any information provided in this form.  Those orders detail who can access the information and what they can do with it.  General legal principles also dictate that this information can only be used for the purposes of this litigation i.e. it cannot be used for any other purpose.  

If you have any questions in relation to the disclosure of your information, you may contact the Applicant’s solicitors, Maurice Blackburn, by email at ForexClassAction@mauriceblackburn.com.au.

On 27 May 2019 Maurice Blackburn issued the Australian Foreign Exchange Cartel Class Action in the Federal Court of Australia.

The Applicant filed its amended claim documents on 19 November 2021 and the Respondent banks filed their defences on 25 March 2022.

The Applicant has subsequently received substantial discovery of documents and transaction data from the Respondent banks. 

A mediation is scheduled to take place by 6 November 2024.

The claim only relates to FX spot trades and FX forward trades. The following transactions are not recoverable in the Australian class action: FX swaps, FX options, FX futures contracts, options on FX futures contracts, and other instruments traded in the FX Market.

At this stage, we do not require claimants to provide us with any foreign exchange transaction data. We will likely make requests for data as the matter progresses, but we will discuss this with claimants as the need arises.

For the moment, we simply ask that claimants retain and not destroy (and ask any third parties/ custodians who may hold such records to retain and not destroy) any FX transaction data and records that they have for the period 1 January 2008 to 15 October 2013.

Registration will not expose you to any out-of-pocket costs. Unless and until there is a successful outcome, all costs will be borne by Maurice Blackburn. There is no litigation funder involved in the FX class action.

In the event of a successful outcome, any costs payable to Maurice Blackburn will be deducted from, and will not exceed, any compensation that you are entitled to receive.

Yes - foreign entities that arranged foreign exchange transactions in Australia (i.e. through an Australian sales desk or broker or where the trade was otherwise effected in Australia) are eligible to register.