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(1) Smith v The Royal Bank of Scotland & (2) Burrell v The Royal Bank of Scotland

Thursday 14th October 2021

(1) Smith v The Royal Bank of Scotland & (2) Burrell v The Royal Bank of Scotland

(1) Smith – The Defendant (RBS) appeals the Order of HHJ Alan Gore QC, sitting at the County Court in Exeter, dated 13 November 2020, which dismissed the appeal on grounds 1, 2 and 3 from the Order of DJ Stone at the County Court in Bodmin dated 9 March 2020.

This is a claim under the unfair relationship provisions of ss. 140AC Consumer Credit Act 1974 (CCA) for repayment of premiums and interest paid by the Claimant/Respondent under a payment protection insurance policy (`the PPI Policy’). The PPI policy ended before the CCA came into force.

DJ Stone found that under the provisions of the PPI policy, the relationship between the Appellant/Defendant and the Claimant/Respondent was unfair within the meaning of section 140A of the CCA , in respect of which he awarded the Claimant/Respondent a remedy under section 140B in the form of an award of £735.11, interest of £611.18, and the costs. On 13 November 2020, HHJ Gore QC dismissed the Applicant/Defendant’s appeal.

The Defendant submits that authoritative guidance is needed from the Court of Appeal on  the proper construction of ss140A-C of the CCA and its transitional provisions; given the very large number of cases currently being brought against the Defendant (they suggest the issues raised in this case are recurring issues),  the impact on the County Court system; and the wider implications for other financial institutions.

(2) Burrell – The Defendant Bank (D) appeals the order of HHJ Murdoch dated 20 April 2021 (1) dismissing D’s appeal from the order of DDJ Crow dated 29 January 2020, (2) directing the claim be listed, and (3) making no order as to costs.

DDJ Crow decided there was no limitation defence to the claim; that the Claimant (C) can recover sums under s140B(1) (a) notwithstanding the transitional provisions contained in paragraph 16 of Schedule 3 of the Consumer Credit Act 2006 (CCA) and that the claim was not settled or precluded by the declaration and acceptance dated 27 February 2018

Claim for repayment of (i) all the premiums the Claimant paid under a Payment Protection Insurance policy (PPI) between 1998- 2008 (ii) contractual interest C incurred to D following the deduction of those premiums from his credit card account and (iii) compensatory interest on (i) and (ii). D has many other such claims.

View hearing:

Part 1

Part 2