Hogan Lovells secures key court victory for London Metal Exchange in Nickel claims

Press releases | 29 November 2023

London, 29 November 2023 - On 29 November 2023, the High Court handed down judgment in respect of the claims for judicial review and damages under the Human Rights Act 1998 brought by Elliott and Jane Street against the LME and LME Clear. The Claimants challenged the LME’s decision-making regarding the status of trading activity in the morning trading session of 8 March 2022 prior to the suspension of the nickel market, and sought damages of approaching half a billion U.S. dollars for their alleged lost profits.

The Court found in favour of the LME on all grounds and dismissed the claims.

Deputy Leader of Hogan Lovells Global Regulatory practice, Charles Brasted, who led the Hogan Lovells team, said, “We have worked closely with the LME since the exceptional events of March 2022 in response to wide-ranging claims seeking very substantial damages. The LME had a legal responsibility to maintain an orderly market and intervened to do so as a matter of urgency. The Court has today confirmed that it was for the LME to determine whether the market was disorderly and the urgency of the situation and that its approach to doing so was reasonable, rational and lawful. We are delighted to have helped the LME secure this result.”

Michael Thomas, Financial Services Partner at Hogan Lovells and the client relationship partner for the LME, said “This is a great result. Not only is it a vindication of the steps taken by the LME to address the disorderly market in March 2022, but it also affirms the important role that Exchanges and Financial Market Infrastructures have in the management of such events through the use of their rulebook powers.”

Hogan Lovells instructed Jonathan Crow KC (4 Stone Buildings), James McClelland KC, Emily MacKenzie, Alastair Richardson (Brick Court Chambers), and Rebecca Loveridge (Fountain Court Chambers).

The Hogan Lovells team included Andrew Eaton (counsel), Matthew Bullen (partner), Alex Sciannaca (partner), Michael O’Donoghue (senior associate), Fraser Eccles (associate), Georgia Crawford (associate), Maddy Vincent (trainee solicitor), James Furneaux (trainee solicitor), Sam Lamsdale (trainee solicitor) and Bethany Bridges (trainee solicitor).