CME Group, Nymex Sued Over Carbon Offset Futures’ Standards (1)

CME Group Inc. and its New York Mercantile Exchange Inc. unit harmed certain investors by irrationally interpreting an emissions-offset futures contract, according to a new lawsuit.

The exchanges’ faulty interpretation removed the requirement that contracts settling in 2024 and 2025 be eligible for a United Nations agency’s aviation fuel offsets at the time of delivery, two Lombard Odier Asset Management (USA) Corp. investment funds and one Altana Wealth SARL fund allege.

The funds, which say they hold long positions in the futures, filed their complaint June 14 in the US District Court for the Southern District of New York.

CME ...