Clydesdale Bank PLC (including Yorkshire Bank) and the National Australia Bank Legal Group Action
Here’s what you need to know
We are bringing a Legal Group Action against Clydesdale Bank PLC (including Yorkshire Bank) and the National Australia Bank. The action is based on allegations that the banks acted fraudulently and dishonestly with respect to Fixed Rate Business Loans. It is particularly relevant to businesses who have or had Tailored Business Loans (TBLs). Importantly, because the action relating to fraud and dishonesty is different from mis-selling, you could still claim even if you have already complained about the loan.
RGL Management issued the first claim form into the high court on 1st May 2019. The banks had 28 days to present a defence but, as expected, requested an extension. We expect that the bank will put forward their defence in July 2019.
Now that the first claim form has been issued, the high court will impose a deadline for businesses to join the group action. We don’t know when this will occur so if you’re interested in taking part, don’t delay. You won’t pay any upfront costs as it is strictly no win, no fee. Joining is quick and easy – we just require an e-signature. It only takes around five minutes to complete a claims management agreement online.
allSquare has teamed up with RGL Management who are leading the group action. The legal team involved in the group action is Michelmores LLP (a top 100 full service law firm with 68 partners and over 450 staff).
The team has secured litigation funding so the action benefits from being fully funded by Augusta Ventures.
Can I join?
Any business that has or previously had a Fixed Rate Business Loan from Clydesdale or Yorkshire Bank, particularly Tailored Business Loans can sign up. However, if you you’re unsure what type of lending you had, we would still encourage you to join. We will then liaise with the bank to check what kind of lending you had and if you are eligible to join. Joining is free – you will only pay fees if the action is successful.
Benefits of a Group Action
We formed the Legal Group Action in an attempt to secure full and fair redress for affected businesses. While payouts will depend on each claimant’s circumstances, compensation could be significant. Litigation can be costly and daunting, particularly for small businesses who may be put off by the risk of going it alone, hence the use of group litigation.
By grouping businesses together under a single group action, the whole group can benefit from legal economies of scale, such as:
- A genuine No Win, No Fee pricing structure. You will only pay fees if the action is successful.
- Group members share documents and information.
- Full insurance against any adverse costs if the group action is unsuccessful.
- An expert legal team with experience of dealing with commercial and banking litigation as well as running group actions
How to join the Group Action
Joining the Group Action is easy. Anyone who has, or has held in the past, a Fixed Rate Business Loan with Clydesdale or Yorkshire Bank can sign up. This includes limited companies, partnerships, and sole traders.
Remember, even if you have previously complained about a mis-sold Fixed Rate Business Loan, as this Group Action relates to alleged fraud and dishonesty, you are still entitled to join. This is the case even if your claim has been previously denied, either by the bank themselves or by the Financial Ombudsman Service (FOS).
You can even join if:
- You’ve previously had a complaint ‘time-barred’
- The complaint was previously rejected
- You have already accepted an offer of compensation
- Your company is in administration or has been dissolved. (If your business has been dissolved you will need to reinstate it in order to join. We can do this on your behalf).
It is worth noting that if it can be proved that your business went into administration as a consequence of the loan, you could be entitled to a consequential loss settlement.
If you want to join the Group Action, there are several ways to do this. You can:
- Call us on 0113 323 1950 so one of our specialist claims handlers can talk you through the process. We’ll check if you’re eligible to join the Group Action and issue a claim pack within five minutes.
- Complete a Claims Management Agreement (CMA) online to sign up to the Group Action immediately. Follow the link below that is applicable for your business and follow the on screen instructions. It only takes a couple of minutes and if you sign up and aren’t eligible, we’ll remove your details.
Please note that CMAs must be signed by an active Director and that the date on the form must match the date it is submitted.
If you need help, please call us on 0113 323 1950 or email firstname.lastname@example.org. We will then assess your case and issue you with the applicable claim pack. Over 2,000 businesses have signed up so far.
Not sure what type of loan you had? We’d still encourage you to sign up. We can check for you if you are eligible to join and if not, we’ll remove your details from the action. There is no charge for this service.
Once you have signed up using the Claims Management Agreement, you will be sent a Letter of Authority which allows us to liaise with the bank to ensure you had the relevant lending. We will also request any documents you hold to back up your case. Please take a look at this Disclosure Advice document from Michelmores LLP.
If you need further information, take a look at our Frequently Asked Questions.
Group Action in the News
There has been a considerable amount of media coverage about the Group Action. The story has been covered widely in the UK and Australia in publications such as the Financial Times, The Times and The West Australian. Click the button below to read more.
Do you want to know more? Call us on 0800 0830 286 or 0113 323 1950. Alternatively, email email@example.com or complete the form below. Once we receive your details we’ll get in touch to discuss further.