HSBC Entities and BNY Mellon Win Dismissal of Madoff Feeder Fund Investor Class Actions

On November 29, District Judge Richard M. Berman dismissed three consolidated actions brought on behalf of non-U.S. investors in several Madoff “feeder funds,” Thema International Fund plc, Herald Lux Fund, Herald SPC Fund, and Primeo Fund. The actions were brought against more than sixty defendants, including HSBC entities and The Bank of New York Mellon Corporation, clients represented by two separate Cleary Gottlieb teams. The Court dismissed the claims against most defendants for forum non conveniens,holding that Ireland and Luxembourg are more appropriate forums to adjudicate the respective claims by Thema investors and by Herald and Primeo investors. The Court dismissed the claims against BNY Mellon on grounds that the claims are preempted by the Securities Litigation Uniform Standards Act (SLUSA).