Latest case law in respect of the Luxembourg Act dated 5 August 2005 on financial collateral arrangements
The court has considered that the pledgee was contractually liable towards the security providers for enforcing a pledge, by converting the pledged assets, without complying with the terms of the enforcement provisions set out under the pledge agreement.
The status of the pledgee, a credit institution, has been taken into account by the judge in order to assess whether it had committed gross negligence as it should have known the fluctuation and unpredictability of foreign exchange markets (Role No.: 186213, Judgment TAL dated 8 June 2022)
