Following its success in the Court of Appeal with the West Bromwich Class Action, the Property 118 website is preparing for another legal challenge against three more landlord mortgage lenders.
Property 118 Targets Three More Lenders
According to reports in the press, the legal team from Property 118 have the Bank of Ireland, Manchester Building Societies, and the Skipton Building Societies in their sights. The Skipton is evidently not too concerned about being taken to task over their mortgage lending practices.
The Skipton Issues a Statement
The Skipton Building Society issued a statement, saying:
“We note that the recent decision of the Court of Appeal in the Alexander v West Bromwich Mortgage Company Ltd case was very fact specific to the offer letter and terms and conditions of business used by that society at the relevant time and is not of any wider application.
“Skipton remains firmly of the opinion that under the terms and conditions of its mortgage offer it lawfully had the right to remove the standard variable rate (SVR) ceiling that applied until 1 March 2010 to the majority of its borrowers with SVR-linked accounts. The decision, taken over six years ago, to exercise the society’s right to remove the SVR ceiling was permissible because of the exceptional circumstances provision in its mortgage offer.”
The Property 118 website claims it has sought opinion from numerous counsels and each is of the opinion the three lenders are in breach of their mortgage contracts, albeit not all for the same reasons.
There could be interesting times ahead…