Today, All Square Finance Ltd (allSquare), a specialist provider of claims management and litigation support services, announced the final phase of its bookbuild for a major High Court case against Clydesdale Bank (including Yorkshire Bank) (now Virgin Money) and the National Australia Bank in relation to its selling of Tailored Business Loans (TBLs) and Fixed Rate Loans.
The announcement comes after new data was able to identify which business types and sectors are particularly affected from the thousands who took out these loans, as well as give an indication of the size of claim which those who join the action can expect to receive. Analysis now shows that Clydesdale or Yorkshire Bank customers in the farming sector are among those particularly affected, accounting for hundreds of eligible loans, as well as businesses in the property investment, hospitality, construction and retail sectors.
The largest eligible businesses are now estimated to be owed millions of pounds by the Bank, though average claim sizes are anticipated to be in the hundreds of thousands (with even the smallest loan sizes owed thousands of pounds). In light of this new information, and due to the encouraging progress of the legal action, allSquare is today ramping up the final phase of its bookbuild ahead of the first court hearing in December.
The case is being pursued in the High Court, London, in partnership with specialist litigation firm RGL Management and Michelmores LLP. The Group Action (sometimes colloquially known as a “class action,” see Notes to Editors) alleges that Clydesdale Bank (including Yorkshire Bank) and the National Australia Bank behaved fraudulently and dishonestly in the sale of these loans. Many thousands of these Clydesdale and Yorkshire Bank TBL and Fixed Rate Loan customers may still be unaware that they have a valid claim against these banks.