  The reaction $e^+e^- \to \bar \Lambda \Lambda$ is investigated for energies
close to the threshold. Specific emphasis is put on the role played by the
interaction in the final $\bar \Lambda \Lambda$ system which is taken into
account rigorously. For that interaction a variety of $\bar \Lambda \Lambda$
potential models is employed that have been constructed for the analysis of the
reaction $\bar p p \to \bar \Lambda \Lambda$ in the past. The enhancement of
the effective form factor for energies close to the $\bar \Lambda \Lambda$
threshold, seen in pertinent experiments, is reproduced. Predictions for the
$\Lambda$ electromagnetic form factors $G_M$ and $G_E$ in the timelike region
and for spin-dependent observables such as spin-correlation parameters are
presented.
