Forex Broker Says 'Flash Crash' Halted Obligations To Client

Law360, London (April 17, 2019, 7:21 PM BST) -- Foreign exchange broker FXCM has denied it is liable for losses suffered by a British investor over a "flash crash" of the Swiss franc four years ago, claiming the event suspended its obligations to close the investor’s trades at a better price than it achieved.

Forex Capital Markets Ltd., part of FXCM's international group of companies, said in defense documents filed April 11 at the High Court in London that the crash in the value of the Swiss franc was an unforeseen, or force majeure, event, which prevented it from fulfilling its contract with forex investor Target Rich International Ltd., or...

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