Jump Trading seeks to move Terra class action suit to California
Algorithmic and high-frequency trading firm Jump Trading is seeking to have the class action lawsuit against the firm moved from Illinois to a Northern district court in California, arguing that it would significantly speed up legal proceedings.
The lawsuit was initially filed on May 9 by Taewoo Kim, individually and on behalf of others impacted by the collapse of the Terra/Luna ecosystem. Kim is represented by Selendy Gay and Robbins Geller Rudman & Dowd LLP.
Jump Trading embroiled in controversy as lawsuit claims it manipulated TerraUSD's value. Accusations of violating regulations and unjust enrichment put the company under the legal microscope.
The suit alleges that Jump Trading and its CEO, Kanav Kariya, were involved in a price manipulation scheme tied to the infamous TerraUSD stablecoin, which allegedly resulted in $1.3 billion worth of profit for the company.
Additionally, the firm and Kariya were accused of violating Commodity Exchange and Commodity Futures Trading Commission regulations and of common law unjust enrichment.
In the latest motion, filed on June 9, the defendants argued that the choice to file the suit in Illinois was an “attempt at forum shopping,” as the main plaintiff is a New Jersey-based resident represented by law firms from New York and California.
The term “forum shopping” refers to the practice of selecting courts or jurisdictions that supposedly have the most favorable rules or laws that support the position of the plaintiff.
“There is no legally compelling connection to Illinois, and nearly all of the relevant witnesses and documents either are located outside Illinois or are just as easily accessed elsewhere,” the court doc reads.
The defendants added that the plaintiffs also have a
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