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I know that a lot of charges to personal accounts etc are now stayed pending the court cases, but is this the same for a business account?
I have been hit with an unplanned overdraft fee of £15 and a returned cheque fee of £35 this week alone. I am sure if i go back there will be more fees as well.
Are these fees acceptable or are they the basis of me trying to formulate a claim to Lloyds to put the money back?
The current OFT case was supposedly instigated with the intention of clarifying the law regards such charges being applied to personal accounts, and primarily under consumer law such as the UTCCR99.
Thus their lawfulness was supposedly being examined under statutes that never did and still don't affect business accounts and such claimants cases.
However, as part of the case there was also surprisingly some consideration of their legality in a broader sense under common law.
The court has so far declared that it does not consider such charges as constituting penalties at common law (at least as far as current terms and conditions are concerned). To my mind (an opinion shared by many) their contested legality under common law (which has been the main backbone of business claims) has not been fought by the OFT strongly enough, nor analysed by the court sufficiently, with such possibility almost being consigned to a side issue.
Also, whether or not the courts current opinion also actually includes business contracts, and if so; which, how many, and from what period were included for consideration?
So it is also unclear as to how definitive and applicable to business account claims this current decision is, whether it can be contested, and how far back it should reach. The banks are obviously unsure about this too, which is perhaps why once many business claimants have managed to contest any stays, they have then often quickly received offers and settlements.
So the whole issue of business claims has become a bit of a grey area for all concerned, and although we have indeed heard of some claims being settled during this current period, these were mainly claims that had been instigated before the start of the OFT case, and perhaps were settled for economic reasons ie. costs already incurred and continuing to accumulate, along with the potential greater interest liability over time should the claims succeed.
The court is due quite soon to make some rulings regards whether older historical terms and conditions can be considered as unlawful or penalties (either by way of statute such as UTCCR or by common law), and perhaps a wider analysis of business accounts may then also be taken into account?
Further announcements are expected fairly soon. Dependent upon what happens next, further consideration of the strength of cases for business claims will be made, and perhaps new strategies evolve.
In the meantime, I suggest that you start to gather your evidence by way of adding up all of your charges (ever), start to read up on matters, and keep an eye on events.
Then also keep an eye on the forums and you'll find out how to act when the time is right.
I will also highlight your post, and ask for it to be moved into the business claims forum. There you will find a lot more info and news, and be amongst other business account claimants. I suggest once your there, that you perhaps read up a bit on the history of business account claims and then continue to watch out for any future developments.
Hi photoman
Thanks for above i am going to make a claim against Lloyds for unfair charges on my business account , do you think i should base my claim on Common Law of Contract and the Unfair (Contracts) Term Act 1977, and if so is this the correct title .
Lloyds TSB Business A/C - Returned Cheque Fee
fee of £15 and a returned cheque fee of £35 this week alone. I am sure if i go back there will be more fees as well.
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