The OFT appealed a decision denyng that a credit card issuer had connected lender liability in respect of purchase by card holders abroad. Held: The company took the benefit of having its card accepted by suppliers abroad, and therefore also had the liability sought. Judges: Waller, Smith and Moore-Bick LJJ Citations: [2006] EWCA Civ 268, … Continue reading Office of Fair Trading v Lloyds TSB Bank Plc and others: CA 22 Mar 2006
Citations: [2006] EWHC 3774 Links: Bailii Statutes: Consumer Credit Act 1974 61 Jurisdiction: England and Wales Consumer, Banking Updated: 13 July 2022; Ref: scu.408694
Citations: [2006] EWHC 3769 (QB) Links: Bailii Statutes: Consumer Credit Act 1974 142(1) Jurisdiction: England and Wales Consumer, Banking Updated: 12 July 2022; Ref: scu.347408
The court was asked whether a pawnbroker’s credit agreement was extortionate, and if unenforceable what what damages could be awarded. Citations: [2006] EWCA Civ 1088 Links: Bailii Statutes: Consumer Credit Act 1974 106 Jurisdiction: England and Wales Contract, Consumer Updated: 07 July 2022; Ref: scu.243999
Austlii (Supreme Court of New South Wales – Court of Appeal) CONTRACTS – Unjust contracts – Determination that a contract ‘unjust’ – Appellate review – Nature of decision appealed from – Conclusion that ‘unjust’ – Whether discretionary – Whether reviewable – Discussion – Contracts Review Act 1980, s7. CONTRACTS – Unjust contracts – When contract … Continue reading Perpetual Trustee Co Ltd v Khoshaba: 20 Mar 2006
(Coventry County Court) Michael Douglas discussed the 1983 Regulations, saying: ‘The 1983 Regulations prescribe, among other things, the minimum contents of a regulated agreement, the information which must be brought to the attention of the borrower and the manner in which it is to be brought to his or her attention.By Regulation 2 documents embodying … Continue reading Hurstanger Ltd v Wilson: 2006
The plaintiffs as representatives sought to restrain Amstrad selling equipment with two cassette decks without taking precautions which would reasonably ensure that their copyrights would not be infringed by its users. Held: Amstrad could only be liable as a joint tortfeasor. If they were not a joint tortfeasor they would be under no tortious liability. … Continue reading CBS Songs Ltd v Amstrad Consumer Electronics Plc: HL 12 May 1988
References: [2006] NSWCA 41, (2006) 14 BPR 26 639 Links: Austlii Coram: Spigelman CJ Handley JA Basten JA Ratio: Austlii (Supreme Court of New South Wales – Court of Appeal) CONTRACTS – Unjust contracts – Determination that a contract ‘unjust’ – Appellate review – Nature of decision appealed from – Conclusion that ‘unjust’ – Whether … Continue reading Perpetual Trustee Co Ltd v Khoshaba; 20 Mar 2006
1267 – 1278 – 1285 – 1297 – 1361 – 1449 – 1491 – 1533 – 1677 – 1688 – 1689 – 1700 – 1706 – 1710 – 1730 – 1737 – 1738 – 1751 – 1774 – 1792 – 1793 – 1804 – 1814 – 1819 – 1824 – 1828 – 1831 – 1832 … Continue reading Acts
The claimant, formerly Northern Rock, pursued repayment of many loans based on part secured and part unsecured loans. The defendants said that the loans were unenforceable against them under the Consumer Credit legislation because the requisite information had not been provided. Burton J [2014] EWHC 4174 (Comm) Bailii Consumer Credit Act 1974 8(2), Consumer Credit … Continue reading NRAM Plc v McAdam and Another: ComC 10 Dec 2014
Appeal from the decision of Bradford and Leeds County Courts concerning the application of the Consumer Credit Act 1974 (‘the Act’, as amended by the Consumer Credit Act 2006) to an agreement dated 8th July 2010 (‘the Credit Agreement’), under which the Respondent to this appeal, being the Claimant below, provided bridging finance to the … Continue reading McMullon v Secure The Bridge Ltd: CA 5 Aug 2015
The 2008 Order had made retrospective provision as to the duty to furnish certain statements to consumer borrowers. The court was now asked: ‘where a creditor has provided the debtor with a statement which fails to set out the information required by the Regulations (‘a non-compliant statement’), when does the period of non-compliance commence?’ The … Continue reading JP Morgan Chase Bank, National Association v Northern Rock (Asset Management) Plc: ChD 19 Feb 2014
Complaint was made that the Foxtons standard terms of acting in residential lettings were unfair. Foxtons objected to the jurisdiction of the Claimant to intervene. Held: On a challenge to an individual contract, the court would be able to see the term in the particular context and be better able to see its fairness or … Continue reading Office of Fair Trading v Foxtons Ltd: ChD 17 Jul 2008
The OFT failed in its attempt to make the defendant credit card company liable under the 1974 Act for purchases abroad. Judges: Gloster J DBE Citations: [2004] EWHC 2600 (Comm), [2005] 1 All ER 843, [2005] 1 All ER (Comm) 354, [2005] ECC 27 Links: Bailii Statutes: Consumer Credit Act 1974 75 Jurisdiction: England and … Continue reading Office of Fair Trading v Lloyds TSB Bank Plc and others: ComC 12 Nov 2004
The company sought to enforce its loan agreement and charge over the defendants’ property. The defendants appealed saying that the agreement was unenforceable under the Act, since a commission had been paid to the introducing broker, and his fee had been added to the loan amount. The agreement was a fixed sum credit agreement regulated … Continue reading Wilson and Another v Hurstanger Ltd: CA 4 Apr 2007
The parties entered into pawnbroking arrangements. In order to get around the consequences of the 1974 Act, the agreements were antedated. Held: The court would not allow parties to contract out of the 1974 Act. Also, by including a document fee which was in reality deducted in advance, the agreement misstated the consideration and was … Continue reading Wilson v Robertsons (London) Ltd.: ChD 5 Jul 2005
The bank appealed against an order for pre-action dicslosure and payment of the costs to date of its customers request for copies of the agreement under which it sought payment, and otherwise. Held: After Carey it was not to be argued that the bank was under a duty to provide the original signed agreement or … Continue reading Kneale v Barclays Bank Plc (T/A Barclaycard): ComC 23 Jul 2010
The customer sought to appeal against a finding of liability for the debt on his credit card, and that the credit card agreement which operated between Mr Brophy and the bank for a period of some 14 years, from 1994 to 2008, was a valid and enforceable agreement. Held: The appeal failed. Judges: Flaux J … Continue reading Brophy v HFC Bank: QBD 22 Mar 2010
It was a necessary part of the system of statutory transfers of insurance obligations under the Act, that the rights should be transferred before exhaustion of any policy excess, and notwithstanding the insolvency. The rights (inchoate at this stage) are transferred on insolvency even where there is an, as yet unreached, excess in the policy … Continue reading Centre Reinsurance International Co and Another v Curzon Insurance Ltd: ChD 12 Feb 2004
The test of whether a sign is confusing is how the use of the sign would be perceived by the average consumer of the type of goods in question. ‘The likelihood of confusion must therefore be appreciated globally, taking into account all factors relevant to the circumstances of the case. That global appreciation of the … Continue reading Sabel BV v Puma AG, Rudolf Dassler Sport: ECJ 11 Nov 1997
A patent infingement claim was met by the assertion that the material covered had been disclosed before the patent had been obtained. The court was asked as to the test of whether the information in a claim had been disclosed. Aldous J said: ‘Mr. Thorley submitted that if a product had been made available to … Continue reading PLG Research Ltd and Another v Ardon International Ltd and Others: ChD 25 Nov 1994
Mrs Bradley was employed by Dart Mill several times from 1933 and 1970 and acquired byssinosis from inhaling cotton dust. The company was wound up in 1975 and dissolved in 1976. In 1984 she applied to the court for pre-action disclosure under section 33(2) of the Supreme Court Act 1981 and RSC Ord. 24 rule … Continue reading Bradley v Eagle Star Insurance Co Ltd: HL 1989
The respondent appealed against a finding that the provision which made a loan agreement completely invalid for lack of compliance with the 1974 Act was itself invalid under the Human Rights Act since it deprived the respondent lender of its property rights. It was also argued that it was not possible to make a declaration … Continue reading Wilson v Secretary of State for Trade and Industry; Wilson v First County Trust Ltd (No 2): HL 10 Jul 2003
Identification of Company’s Directing Mind In a prosecution under the 1968 Act, the court discussed how to identify the directing mind and will of a company, and whether employees remained liable when proper instructions had been given to those in charge of a local store. Held: ‘In the expression ‘act or default’ in section 23 … Continue reading Tesco Supermarkets Ltd v Nattrass: HL 31 Mar 1971
The court reconsidered the law relating to penalty clauses in contracts. The first appeal, Cavendish Square Holding BV v Talal El Makdessi, raised the issue in relation to two clauses in a substantial commercial contract. The second appeal, ParkingEye Ltd v Beavis, raised the issue at a consumer level, with a separate issue under the … Continue reading Cavendish Square Holding Bv v Talal El Makdessi; ParkingEye Ltd v Beavis: SC 4 Nov 2015
Decomposed Snail in Ginger Beer Bottle – Liability The appellant drank from a bottle of ginger beer manufactured by the defendant. She suffered injury when she found a half decomposed snail in the liquid. The glass was opaque and the snail could not be seen. The drink had been bought for her by a friend, … Continue reading Donoghue (or M’Alister) v Stevenson: HL 26 May 1932
Section 114 of the 1925 Act has no application to Registered Land. It provides for a transfer ‘unless a contrary intention is expressed’ in the mortgage. Thus if section 114 applies, all depends upon the true construction of the mortgage. The power under the Civil Procedure Rules to revoke an earlier order included a power … Continue reading Paragon Finance Plc (Formerly the National Home Loans Corporation Plc) v Pender and Pender: ChD 25 Nov 2003
The parties had been involved in a road traffic accident. The defendant drove into the claimant’s parked car. The claimant was unable to afford to hire a car pending repairs being completed, and arranged to hire a car on credit. He now sought payment of the cost of the credit agreement. Held: A negligent driver … Continue reading Lagden v O’Connor: HL 4 Dec 2003
The House was asked whether the liability of a credit card company under the 1974 Act applied where the contract was performed abroad and subject to foreign law. Held: The principle which disapplied an English statute in an extra-territorial situation did not apply where the creditor was within the UK. Section 75(2) is therefore an … Continue reading Office of Fair Trading v Lloyds TSB Bank PlC and Others: HL 31 Oct 2007
The court was asked whether when contracts have been induced by bribery and have been rescinded on discovery of the bribery, that constitutes a dispute which can be determined by arbitration in the context of a common form of arbitration clause. Held: a dispute whether the contract can be set aside or rescinded for alleged … Continue reading Fiona Trust and Holding Corporation and others v Privalov and others: CA 24 Jan 2007
The Directive required member states to exempt from VAT, services involving the provision of insurance, and for intermediaries. Following the Regulator’s involvement, the principal company had to arrange for the checking of existing policies, and the implementation of compensation arrangements, and sub-contracted it to the taxpayer. Had the principal privided the services itself, it would … Continue reading Commissioners of Customs and Excise v Century Life Plc: CA 19 Dec 2000
The Office sought a declaration that the respondent and other banks were subject to the provisions of the Regulations in their imposition of bank charges to customer accounts, and in particular as to the imposition of penalties or charges for the breach of the overdraft limits. Held: The relevant terms were not exempt from assessment … Continue reading Office of Fair Trading v Abbey National Plc and seven Others: ComC 24 Apr 2008
The customer appealed against an order finding that his credit card agreement was binding upon him. Held: The appeal failed. His argument that the application form amounted only to an invitation to treat, and that the contract was one made by conduct only and therefore not compliant with the 1974 Act, failed. The form was … Continue reading HSBC Bank Plc v Brophy: CA 2 Feb 2011
The defendant sought to re-open the question of whether the charge under which he might otherwise be liable was an extortionate credit bargain. The creditor said that that plea was time barred. The defendant argued that a finding that the agreement amounted to an extortionate bargain would not be a substantive relief, and was therefore … Continue reading Nolan v Wright: ChD 26 Feb 2009
Interpretation of Exclusion Clauses The plaintiffs had contracted with the defendants for the provision of a night patrol service for their factory. The perils the parties had in mind were fire and theft. A patrol man deliberately lit a fire which burned down the factory. It was an unresolved issue whether the employee intended to … Continue reading Photo Production Ltd v Securicor Transport Ltd: HL 14 Feb 1980
The defendant was convicted under the 1994 Act of producing counterfeit CDs. He argued that the affixing of the name of the artist to the CD was not a trade mark use, and that the prosecution had first to establish a civil offence before his act could become criminal. The prosecutor appealed the decision of … Continue reading Regina v Johnstone: HL 22 May 2003
The court was asked to consider whether there was any implied term limiting the power of a mortgagee to set interest rates under a variable rate mortgage. Held: A loan arrangement which allowed a lender to vary the implied rate of interest, included an implied term not to impose an unreasonable or extortionate rate, nor … Continue reading Paragon Finance plc v Nash etc: CA 15 Oct 2001
A claimant sought as part of her damages for the cost of hiring a care whilst her own was off the road after an accident caused by the defendant. She agreed with a hire company to hire a car, but payment was delayed until the claim was settled. Held: The arrangement was a consumer credit … Continue reading Dimond v Lovell: HL 12 May 2000
The House was asked whether a contractual provision for interest to run after judgment as well as before in a consumer credit contract led to an unfair relationship. Held: The term was not covered by the Act, and was not unfair under the Regulations. It was by way of a default condition, rather than a … Continue reading Director General of Fair Trading v First National Bank: HL 25 Oct 2001
The parties had cohabited for a long time, in a home bought by Ms Dowden. After the breakdown of the relationship, Mr Stack claimed an equal interest in the second family home, which they had bought in joint names. The House was asked whether, when a conveyance into joint names indicates only that each party … Continue reading Stack v Dowden: HL 25 Apr 2007
The defendant operated a web-site providing a search facility of the Usenet news system which allowed its users to locate copies of films online for downloading. The claimant said this was an infringement of its copyrights. Held: The defendant had infringed the copyright of the claimants. Though its terms denied that its editors should promote … Continue reading Twentieth Century Fox Film Corporation and Another v Newzbin Ltd: ChD 29 Mar 2010
Proper Use of Corporate Entity to Protect Owner The defendant was an English company and head of a group engaged in mining asbestos in South Africa. A wholly owned English subsidiary was the worldwide marketing body, which protested the jurisdiction of the United States Federal District Court in Texas in a suit by victims of … Continue reading Adams v Cape Industries plc: CA 2 Jan 1990
Sympathetic construction of national legislation LMA OVIEDO sought a declaration that the contracts setting up Commercial International were void (a nullity) since they had been drawn up in order to defraud creditors. Commercial International relied on an EC Directive designed to protect companies and third parties from the adverse effects of the doctrine of nullity. … Continue reading Marleasing SA v La Comercial Internacional de Alimentacion SA: ECJ 13 Nov 1990
‘claim brought by the claimant for monies allegedly owed by the defendant under a credit agreement regulated by the Consumer Credit Act 1974. It is claimed that the credit agreement was made between Barclaycard and the defendant in about June 2006. It involved the provision of a credit card by Barclaycard to the defendant.! [2012] … Continue reading HFO Capital Ltd v Wegmuller: Misc 24 Jan 2012
The several cases claimed the cost of provision by credit hire companies of car hire and repair services to the innocent victims of road accidents. The transactions were ‘res inter alios acta’ – collateral to the commission of the tort. . .
