Consequential loss claims on IRHP mis-selling
The SME Alliance have made us aware of funded legal action for SMEs failed by the Financial Conduct Authority (FCA) review into the mis-selling of IRHPs (Interest Rate Hedging Products); the review is now in its final stages.
Whilst a large number of bank customers have received a relatively satisfactory outcome in terms of basic redress, the same cannot be said in respect of the compensation being offered by the banks for consequential losses, suffered as a result of the mis-selling, particularly in larger and more complex cases. Banks are refusing to renew standstill agreements, the review process is coming to an end and offers on the table are soon to be withdrawn thus a route to fair redress is required that is within reach of all.
Mishcon de Reya, an independent Law firm specialising in complex cases, believes that a fair route can only be achieved by taking the assessment process away from the banks via court action. Their proposal is based on the premise that the banks had a clear obligation to undertake the review of the Consequential Loss claims, submitted under the Redress Scheme, in a fair and reasonable manner in accordance with established legal principles. T heir belief is that banks have failed to meet that obligation; Mishcon de Reya, have been able to secure funding in principle for action against the first of those banks.
More information can be found from Pragmaticum
16 May By Mel Loades