Portuguese Supreme Court rules against the characterisation of speculative interest rate swap agreements as illegal gambling

The ruling concerns an agreement executed in 2008 between a Portuguese bank and a Portuguese limited liability company engaged in construction and real estate development (hereinafter, the «Company»), pursuant to which the Company swapped a variable 3-month Euribor rate for a fixed rate over a notional amount of approximately 5,5 million euros for a term of five years. In the course of the performance of the agreement, the Company allegedly suffered losses in excess of EUR 320,000…