Articles Banking, Finance & Financial Services 24th Feb 2014
Sutherland v Bakewells
Jonathan Lewis writes about Sutherland Professional Funding Limited v Bakewells (a firm) & others.
This case dealt with a number of interesting issues under the Consumer Credit Act 1974, including:
- The court found that even though a loan agreement stated a fixed amount for interest under a loan repayable within a set period, and gave an APR, it should also have stated the rate of interest as a prescribed term, as the rate varied depending on the length of the actual borrowing.
- It found that where solicitors facilitate a loan on behalf of their client, they are the “supplier” in a debtor-creditor-supplier agreement and the agreements were therefore cancellable agreements, requiring notices of cancellation rights in proper form.
William Hibbert acted for Bakewells.