Dispute Resolution Blog

The Inner House has refused an appeal by RBS to allow it to offset PPI compensation payments against debts which formed part of a protected trust deed.The Opinion, delivered by Lord Glennie, in The Royal Bank of Scotland plc v Donnelly [2019] CSIH 56 on this ‘important and novel question of law’ found that the bank was not entitled to apply insolvency set-off after Mrs Donnelly had been discharged from her debts.The factsMrs Donnelly borrowed money from RBS between 1997 and 2003, and was sold PPI in respect of the loans. She entered into a protected trust deed in 2006. RBS...

Online fraud was a commonly reported news item last year, and we anticipate that this problem will continue to gain traction in 2020. We look back at a case from the Outer House of the Court of Session from late 2019, which illustrates the risks to employers and employees alike. Peebles Media Group Ltd against Patricia Reilly ([2019] CSOH 89).What’s it about?The pursuer, a Glasgow-based media group, raised a claim for damages against the defender, a former employee, for causing the company to lose £107,984.02 to a whaling fraud.“Whaling” is a relatively new type of fraud. Many of us have heard...

The recent case of Royal Bank of Scotland Plc. v. Jamieson has rejected a previously accepted practice in relation to the sending of a Calling Up Notice (“CUN”) to the Extractor of the Court of Session. The practical ramifications of this decision are uncertain and this case has raised more questions than it has answered. Further case law is going to be needed to clarify how CUNs are to be dealt with in the future.BackgroundA creditor holding a standard security can issue a CUN to call up the loan and seek repayment.  In this case, when the creditor (RBS) attempted to...

Over the past several years MBM has had a lot of clients come to them with what they initially thought was a claim against their bank but which later turned into a claim against their previous advisers. In this blog Liina Tulk, Senior Solicitor in the Dispute Resolution team, considers circumstances where a banking dispute can turn into a professional negligence claim against previous lawyers.

Sheriff Daniel Kelly QC has allowed proof (civil trial) in a claim by Brian and Linda MacBride (“the MacBrides”) for compensation in relation to repossession proceedings taken against them by GE Money Secured Loans Ltd (“GE Money”) in 2014 in respect of a Standard Security they had previously granted.In 2009 GE Money sent the MacBrides a certificate of arrears and then raised an action for recovery of possession and ejection on the basis that they failed to pay their mortgage and were in default. The action relied on a shortcut court action for repossession, rather than the service of a calling...