Farms urged to join group legal action

Farms that took out business loans from Clydesdale and Yorkshire Bank (now Virgin Money) between 2000 and 2014 are being urged to come forward and join a swelling number of claimants pursuing claims in the High Court in London as part of a group action lawsuit.

The growth of this group action is being co-ordinated by group litigation book building specialist, allSquare, who are responsible for recruiting potential claimants across the UK.

With London law firm Fladgate LLP acting for the already large group of claimants, the allegations made against the banks in the High Court action include fraudulent and dishonest conduct relating to certain types of business loans called Tailored Business Loans (TBLs) and Fixed Rate Loans.

Those businesses in Scotland who took out these loans could be entitled to compensation should the group action be successful, provided they sign up to the Court action (Scottish claims will be decided in the High Court).

More than 3,000 businesses have already registered to join from across all industry sectors, but it is the agricultural sector that is considered to be one of the most severely affected in Scotland.

These two types of loans – TBLs and Fixed Rate Loans – were widely sold across the Scottish agricultural sector, which is worth over £3.18 billion to the Scottish economy, with approximately 60% of the relevant loans taken out in this region.

Daniel Hall, managing director of allSquare, is urging claimants from the Scottish agricultural sector to come forward and participate.

“Agri-businesses could be entitled to millions in compensation from mis-sold business loans.

“The industry has faced extremely tough times over the past year, not only with coronavirus, but also Brexit bringing its own challenges, so now is the time to explore what you’re entitled to.

“We are currently recruiting potential claimants throughout Scotland, with a view to adding them to the ongoing court action over the coming months.

“The next hearing in court is scheduled for October 2021, so time is of the essence to join up.”

The legal process is well under way, having commenced in May 2019 when the first claim forms were issued and served against the banks.

However, it’s not too late to join up, but borrowers need to act quickly.

The registration process and joining up to the legal proceedings are at no cost. Funding and insurance are in place such that any fees would be payable only on success. If your claim does not succeed, there is nothing to pay.

If you think you’ve been affected, please get in touch to check by visiting www.allsquare.co.uk

SETTLEMENT: Some Scottish farmers could be entitled to millions in compensation.