Slaughter and May succeeds for Standard Chartered PLC in LIBOR transition test case

Slaughter and May has successfully advised Standard Chartered PLC (SC) in relation to Part 8 proceedings in the Financial Markets Test Case Scheme on the use of an alternative benchmark rate to three-month US dollar LIBOR to calculate the dividends payable on a series of preference shares issued by SC in 2006.  We understand that this is the first time that effects of the cessation of the publication of LIBOR have been litigated in England and Wales.  The case is likely to have wider implications for the LIBOR transition in relation to the so-called “tough legacy” contracts.

The judgment is available here.