Capital Market Litigation Practice
MWW has gained unique experience in handling disputes between investors and financial institutions, where the other side of the dispute is represented among others by banks and investment fund companies, as well as in pursuing claims related to bond issues, in particular against their issuers.
Our experience, supported by our successes, has allowed us to develop solutions that make it possible to handle disputes involving multimember groups of investors.
In our operations, we focus on effective out-of-court dispute resolution in the best interests of investors. In a situation where pre-litigation does not bring the expected results, we focus on instituting court proceedings and making every effort to ensure that the Court issues a favourable judgment.
Investment Funds. Our lawyers pioneered and concluded successfully for investors the first court proceedings in Poland involving the liability of an investment fund company for damages caused by inadequate management of an investment fund. The unprecedented verdict of the Supreme Court in this case was the result of hard work of the entire team of our Firm and shaped the line of jurisprudence in this type of cases. Moreover, it opened the way for many investors to recover their invested capital. Currently, the cases conducted by the Firm concern both investments in investment certificates and units of investment funds.
While assisting investors aggrieved by the actions of their fund managers, we have helped negotiate settlements and initiated and successfully participated in civil proceedings to obtain compensation. In addition, we have experience in conducting criminal proceedings related to criminal offences committed in asset management.
The Firm is currently involved in a number of civil litigations before district and regional courts representing investors, including group proceedings, and also conducts pre-court actions on behalf of investors in relation to a number of closed-end investment funds.
Bonds. In addition to activities for investors in investment certificates and units, the Firm at every stage – in pre-court and court proceedings – represents bondholders in disputes with the issuer and entities that provided collateral for the payment of benefits from the redemption of bonds. Our lawyers will carry out an in-depth analysis of your case, starting with the bond issue terms and conditions, through representation before the issuer, as well as initiate legal proceedings against the issuer and represent the bondholders before the court.
We strive to obtain the amounts due to bondholders under the bonds not only at the court stage, but also by taking action to settle the dispute out of court, which is important from the point of view of the costs of debt recovery. When negotiating with issuers, we use our experience in broadly understood business consultancy, looking for various possibilities to secure the interests of the clients we represent.
The Firm directly represents bondholders and acts as a collateral manager (both at the stage of issue and as part of a possible change of the manager). In the event of delays in the payment of bond interest or principal (or other circumstances which make it possible for the bonds to become due and payable), our activities include primarily:
- Pre-litigation activities - in particular representing the client in negotiations with the issuer;
- Litigation – comprehensive legal representation in all instances and at the stage of enforcement proceedings.
- Representation before the collateral manager – support of the manager’s activities;
Taking over the function of the collateral manager - in the event of the collateral manager’s inactivity or cessation of its legal activities, our Firm is able, after analysing the status of the case, to take over the function of the manager in order to continue the proceedings for the benefit of the bondholders.
Misseling. We also represents investors in disputes against entities, which have committed misselling against them, i.e. conducted unfair practices consisting in selling to investors financial products not adjusted to their needs and financial possibilities. More and more often, financial institutions, in order to gain financial benefits or fulfil sales plans, propose to people certain financial products that differ from their investment preferences, often concealing information about the risks associated with such investments.
In cases of this kind, out Firm, having in mind the best interest of the investor, takes action not only against the entity offering such financial products, but also closely cooperates with, among others, the Polish Financial Supervision Authority, the Financial Ombudsman, and the President of the Office of Competition and Consumer Protection.
Should you have any questions or think if we can help you select the best solution, please do not hesitate to contact our dedicated specialists at MWW.