Giambrone introduces litigation funding for complex forex and binary option litigation
Giambrone introduces litigation funding for complex forex and binary option litigation.
International law firm Giambrone (SLG) has today announced a partnership with a global finance firm focused on litigation funding to finance increasing number of litigation in the forex and binary option sectors.
Third-party litigation funding in the UK and in the US has entered the mainstream. Investor groups have been pouring unprecedented sums of money into financing litigation and in recent years, well-heeled investors such as pension funds “have collectively pumped more than a billion dollars in the sector”, according to a May 2016 Wall Street Journal article.
One of the first cases in which Giambrone is considering to make recourse to litigation funding relates to a proposed class action against one of the world’s largest binary option brokers with a history of regulatory issues on four continents. Giambrone is currently investigating multiple complaints of fraudulent binary options trading by several investors against Banc de Binary/Option Fm Group, a Cypriot and Israeli investment firm trading in binary options along with ET Binary Options Ltd, BO Systems Ltd and BDB Services Ltd (which are based in Israel and the Republic of Seychelles).
Banc de Binary/Option Fm Group, which in 2015 announced that it had signed a one-year sponsorship with Liverpool FC, has recently hit the headlines with the latest adverse court judgment obtained by the U.S. Commodity Futures Trading Commission (CFTC) which forced the company to pay over 9 million dollars in restitution to a large number of American clients. This judgment has set a precedent and has provoked a number of European, Australian and Middle Eastern investors to approach Giambrone with a view to issuing civil and regulatory proceedings to seek compensation and restitution.
“There are various grounds of concern which can be used to issue legal proceedings against Banc De Binary/Option Fm Group before an English or Cypriot court – says Joanna Bailey, who is heading up the group litigation in Giambrone, one of the few global law firms with a dedicated legal team which focuses exclusively in Financial Services, Forex & Binary Option litigation worldwide – One of the major issues is that Banc De Binary/Option Fm Group acts as the counter party to their customers’ binary options transactions on a variety of assets, including commodities, forex pairs, and stock indices but its customers may not be eligible contract participants as they may be retail customers. In addition, we represent clients based in various jurisdictions such as the USA, Canada and Australia where these binary option transactions promoted by Banc de Binary/Option Fm Group violated federal laws prohibiting the trading of options off-exchange”.
International law firm Giambrone (SLG) is a global law firm with 9 offices across Europe and North Africa.
We represents investors in binary options, forex and securities arbitrations and litigation worldwide. We have successfully represented hundred of individual investors in binary options, forex and securities fraud lawsuits and arbitrations, with combined claims of millions of dollars. The combination of our background in forex and binary options litigation coupled with our particular experience in financial technology, our ability to successfully resolve cross-border multi-jurisdictional disputes and our assertive approach to litigation means we are ideally placed to take charge of a number of binary options cases.