Boost for claims firms as judge decides not to put a stay on cases
Share
Derek Halbert, the designated civil judge for Cheshire, had been debating whether to send a number of test cases to the High Court to decide whether they were enforce-able due to the high volume of claims cases he was receiving.
One option was to put a stay on all cases while he awaited the outcome of the judgement.
But after consultation with lenders and claims firms he has decided to continue looking at cases while a few are sent to the High Court. He has also indicated that cases under his jurisdiction will be dealt with speedily.
The news that there could be a stay on cases sparked rumours that the claims management industry would be killed off and had prompted some firms to withdraw from making Consumer Credit Agreement claims.
But Carl Wright, managing director of Cartel Client Review, says: "Rumours of the industry's death have been exaggerated. A number of firms put cases on hold while Halbert came to his decision.
"Many firms have jumped on the claims management bandwagon unprepared. In some cases they have been forced to withdraw, or have withdrawn voluntarily, from the market. This has damaged the reputation of the industry and left consumers confused about whether they can make a claim against unfair credit agreements."
Craig Feldman, head of legal claims for BrunelFranklin.com, was at the court hearing.
He says: "Any cases within the Cheshire courts' jurisdiction will be dealt with expeditiously at the judge's request."
If you enjoyed this article, sign up here to receive daily email updates from Mortgage Strategy and Follow @mortgagestrat
