Multiple actions launched after mis-selling scandal
3rd July 2012
Numerous solicitors holding specialist litigation legal jobs have been instructed to represent both sides involved in the latest scandal to hit UK banks.
The Financial Services Authority (FSA) recently confirmed that the mis-selling of interest rate hedging products has had a significant negative effect on the productivity levels of many small and medium sized businesses, which has led to a provisional agreement on compensation packages being reached.
This remuneration process will be overseen by solicitors acting for the multiple businesses affected by the actions of Barclays, HSBC, Lloyds and RBS, to ensure that the redress scheme reaches a satisfactory conclusion.
Concerns have been raised, however, that some of the claims will potentially be disrupted by the fact that the banks would only be contractually obliged to issue payments in the six years after the mis-selling happened. As much of the fraud took place as long ago as 2008, there is a danger that the deadline for some disputed actions could be missed.