Claims judgement could trigger cases across Europe
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Cartel Client Review has won a case which could open the doors to claims being brought across the European Union.
Up until now consumers in Scotland and Northern Ireland have been prevented from using courts in England and Wales to challenge their credit agreements.
But an appeal judgement handed down by HHJ Tetlow on December 2 has decided that this should not be the case.
The case was brought by Cartel on behalf of John and Jennifer Millar against Nemo Personal Finance.
Nemo argued that there was an exclusive jurisdiction clause in the Millars’ credit agreement which stopped them from bringing their claim outside of Scotland, where they lived.
Cartel has decided to challenge the point that the Millars could not be brought outside of Scotland, and has won the right to challenge the agreement in an English court.
Carl Wright, chief executive of Cartel Client Review, says: “No longer will consumers be automatically forced to bring claims in any specific European jurisdiction, just because the credit agreements stipulate they should.
“This opens the prospect that UK consumers could bring a Spanish, French or German credit dispute in the English Court, regardless of any jurisdiction clause.”
Andrew Settle, of specialist consumer law firm CCLS, says: “This appeal ruling will send a shiver down the spine of every bank that offers credit agreements across multiple jurisdictions.
“The prospect of claims being made in English Courts for credit agreements that were written for different European jurisdictions will send shock waves throughout the banking world.”
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Readers' comments (4)
David Tyler | 3 Dec 2009 12:48 pm
Sounds like another case of someone trying to avoid paying a debt that they willingly took out and another example of our misguided legal system. Firstly, I am off to Sainsbury's to get recompense for all the food that I have bought over the years as it is their fault that I am now fat and the wording on all products did not warn me of this. Secondly, may I suggest that we all re-train in the legal profession as the opportunities look endless. We used to laugh at the American strict liability system but now they bring their cases here. Now the Europeans will come over with more laughable disputes. What a mad country I live in!
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Anonymous | 3 Dec 2009 11:18 pm
Very, very sad, I echoe the sentiments of the contributor. All those ex IFA's ambulance chasing and biting the hands that fed them clealry have no scruples or moral fibre. Providing the very products to their clients just a few years ago and receiving handsome commissions to boot are now trying to kick the very institutions the tax payers are propping-up. Avoiding financial liability on a technicality is ridiculous. They've spent their dough at Bright House on plasmas and now want the mnoney nack, where has the common sense evaporated to in our once great legal system?
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Stuart | 4 Dec 2009 10:19 pm
Well done. The rest of the country is behind you. Now for the high penalty charges, sorry 'service agreements' !!! At last a positive action to scare Ali Baba and his forty bankers!
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Anonymous | 31 Jan 2010 4:54 pm
I have had my solicitor try to source this case and it turns out to be complete rubbish. Completely made up I was told. If this is true, the it looks like Cartel is pushing out a story to gain new business from other EU countries!!! Only time will tell here.
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