(Reuters) – Several lawsuits have been filed over the terms of last month’s emergency deal to save Swiss lender Credit Suisse by selling it to its bigger rival UBS.
The 3 billion Swiss franc ($3.4 billion) rescue, hammered out over a weekend during a bout of turmoil in the global banking sector, upended a long-established practice of giving bondholders priority over shareholders in a debt recovery.
Around 16 billion Swiss francs of Additional Tier 1 (AT1) Credit Suisse debt was written down to zero, in a shock to markets.
Law firms such as Quinn Emanuel Urquhart & Sullivan, Pallas Partners and Korein Tillery, a boutique law firm specializing in complex litigation, are among those who have spoken to prospective bondholder clients about bringing claims.
Shareholders are also nursing losses.
Here is a snapshot of legal action, by jurisdiction.
SWITZERLAND
UNITED STATES
SINGAPORE
($1 = 0.8937 Swiss francs)
(Reporting by Kirstin Ridley in London and John Revill in Zurich; Editing by Alexander Smith)
