Andrew Harris of Bloomberg BusinessWeek writes that CME Group Inc. (CME) attorneys told a U.S. judge that a lawsuit by Chicago Board of Trade traders and brokers seeking to preserve open-outcry price settlement belongs in a federal court, not a state court.
Twenty-four agricultural traders and brokers filed a state court lawsuit on June 22 seeking an order blocking the world’s biggest futures market from changing their traditional method of price settlement to a blended method incorporating electronic trading activity. The new procedures went into effect yesterday.
The traders filed their suit in an Illinois state court in Chicago, seeking an injunction. CME Group attorneys had the case moved to federal court in Chicago, saying the case involved the U.S. Commodities Exchange Act provisions and that the U.S. Commodity Futures Trading Commission should be added as a party.