Too Big to Sue?
December 1, 2012
Thomas A. Dubbs comments on LIBOR-related litigation
Judge Buchwald will hear about the metaphysics of LIBOR, as well as the antitrust standing issues, at a pending oral argument. But Thomas A. Dubbs, a partner in the New York office of Labaton Sucharow who is not involved in the litigation, predicts, "The argument that LIBOR is some fictional notion out of a Borges short story is not going to carry the day."
Dubbs, however, says that plaintiffs who purchased LIBOR-based securities on exchanges, rather than directly from member banks, may have difficulty surviving the motion to dismiss. "It will be interesting to see if the requirement that plaintiffs allege a plausible conspiracy is applied in a way to trim down the pleadings or manage a huge case to give it shape."