OFT Test Case
Update 23 May 2008 – banks to appeal
On 24 April, Justice Smith handed down his decision in the OFT/Banks test case (see result). However, he reserved certain matters for further consideration such as historical terms, and he gave the OFT and the banks one month to decide whether or not they would appeal his decision.
On 22/23 May, there was a further hearing at which the following was decided:
The banks will appeal his decision that their current terms are subject to the test of fairness – essentially this gives them several more months at least before the decision is ratified. Meanwhile, all those claims in the system are likely to remain on hold.
The judge will make a ruling on each of the banks' historical terms and conditions (whether they are subject to the test of fairness, whether they are penalties under the common law rules) at a further hearing on 7/8 July.
The OFT is supposed to be finishing its study into the fairness of charges by July and will then enter into discussions with the banks at that stage even though the banks' appeal will still be pending.
See BBC item at "deadline set on bank charges case"
Judge presses OFT to finish study 22 May
For background to test case, see test case
For other news stories, see news
Published and promoted by Bob Egerton, TR2 4RS