Founded last year, the startup Legalpass is suddenly in the spotlight with its lawsuit against the terms of the Credit Suisse takeover. That's a coincidence, its founders tell finews.asia.
Legalpass started with the goal of making legal services accessible to all. Its involvement in one of the more headline-grabbing legal cases in recent Swiss business history is more of a coincidence than intentional, company founders Philippe Grivat and Alexandre Osti told finews.asia.
«Class action lawsuits aren't really our business goal,» the young entrepreneurs said.
Legal Matchmakers
The Lausanne-based company wants to engage in legal areas affecting the general population. It offers a system for creating legal documents, while also acting as a match-maker between those seeking legal advice and lawyers and law firms.
«What we're doing in the Credit Suisse case is basically the same thing,» Osti says. «We started looking for a lawyer in late March, early April,» Grivat added, with the decision to work with Zurich law firm Baumgartner Maechler and attorney Andreas Hauenstein coming in May.
Legalpass regrets it didn't consult or exchange information with other plaintiff parties like the Swiss Investor Protection Association, in advance.
Adequate Compensation
With the lawsuit filed on Monday, Legalpass wants to ensure small investors receive adequate compensation. Credit Suisse was sold to UBS significantly below market value, sticking shareholders with heavy losses, they allege. In the course of the proceedings, an objective valuation is at stake.
Grivat and Osti don't want to give exact odds on the chances of success or the possible duration of the proceedings, which could go all the way to the Federal Supreme Court. They caution that litigation could take several years. «However, a quick resolution would be possible through a settlement,» Osti said. In any case, financing of the litigation is secured even if the case makes its way to the supreme court.
The Ball is in UBS's Court
It's now UBS's turn to comment on the lawsuit which, with delays and deadline extensions, could take several months. Also hanging over the legal dispute are the results of the Parliamentary Investigation Commission (PUK) investigation on the takeover, which could play a role at a later date, according to the founders.
